Asian Property Development announced yesterday a plan to launch four new condominium projects worth up to Bt7 billion by next April. As a result, the company expects its income from condo projects to rise from this year's 10 per cent of revenue to 30 per cent next year and 40 per cent in

2008.

Chief executive Anuphong Assavabhokhin said the company was adjusting its portfolio from 60 per cent town houses, 30 per cent detached houses and 10 per cent condominiums to 60 per cent town houses and 40 per cent condominiums. The change will be complete within two years.

"We had to revise our business plans by suspending the launch of new detached-housing projects for the rest of this year and the next two years, due to a change in home-buyers' behaviour. They are focusing more on condominiums located in the city that will save them the cost of driving to and from the office," he said.

The company's research suggests that nearly all buyers in the market are now looking at condominiums that are located near mass-transit services, especially the Skytrain and the subway.

"Home-buyers these days want to live near their office so they can save energy costs after the oil price rise," Anuphong said.

The company has also rebranded its condominium projects, changing from The Vogue Siam to The Address Siam. This will be the company's brand for condos targeting the middle to high end of the market and offering prices between Bt3 million and Bt5 million per unit.

Asian Property Development will launch the first of The Address projects next week.

It will also use the brand name The Life for its condominium projects targeting the middle of the market, with prices between Bt1 million and Bt2 million.

The first of The Life condos will be on Tha Phra Road.

Presales for the first of The Address condos, on Sukhumvit 42, will open on September 23 at the Grand Hyatt Erawan Hotel.

The Address Sukhumvit 42 will be valued at Bt900 million.

Two more condominium projects under The Address concept will be located at Chidlom and Thong Lor. They will be worth Bt3 billion and Bt2 billion respectively and will be launched in the first quarter of next year.

Meanwhile, the company says The Life condo on Tha Phra Road has already received positive feedback from customers, so it will launch a second The Life project - worth up to Bt1

billion - in the first quarter of next

year.

With its new project launches, the company believes total revenue will reach its target of Bt5.5 billion to Bt6 billion by the end of the year and will

be Bt7 billion in 2007, Anuphong

said.

Asian Property Develpment reported revenue of Bt3.29 billion and a net profit of Bt467.82 million for the first half of the year.

Another leading property developer, Raimon Land, released a research report on the condominium market yesterday.

The results mean the company will go ahead with the launch of a new condominium project - The River - worth up to Bt12 billion, in the final quarter of the year.

Managing director Nigel J Cornick said demand for condominiums priced between Bt2 million and Bt5 million showed strong growth.

Bookings of condo units are 80.4 per cent of total new projects launched on the market.

Raimon Land's research said 14 condominium projects launched in the first half of the year, offering 4,282 units, had succeeded in selling out. This means that other property sectors, especially detached semi-detached housing, have suffered because of the economic downturn.

Somluck Srimalee

The Nation