Alvarez & Marsal Sees Thai Real Estate Distress on Trade Risks

US advisory firm Alvarez & Marsal Inc. sees the real estate sector the most at risk in Southeast Asia this year due to headwinds such as global trade frictions and a glut of residences.

“Several factors are contributing to rising real estate distress, particularly in Thailand,” said Alessandro Gazzini, a managing director at Alvarez & Marsal in Jakarta. “These include oversupply, the growing stock of household debt, relatively high interest rates, slower economic growth and limited access to new credit from banks.”

Thailand had the highest ratio of financially distressed publicly traded companies in the region at ...