Plus Property, the property-brokerage arm of Sansiri, a leading Thai property-developer, expects its brokerage fees to reach Bt278 million this year, an increase of 42 per cent over last year. In addition, the company plans to appoint two new agents and a property broker in Phuket this month. It has also entered into a cooperative arrangement with UK-based Quintessentially Estates as part of its drive to attract more foreign buyers for up-market property in Thailand.

Chief executive Meytha Chanchamcharat said demand for property in Phuket, especially on the part of foreign investors, continued to show strong growth. Customers are interested in property on the resort island both as investments and for long stays there.

The company said that from 2003 to last September it had handled 95 property projects totalling 2,917 units with a total value of Bt40 billion. Of these, 945 units were detached housing or villa projects and the rest condominiums. Both categories included properties at offering prices of up to Bt5 million per unit.

Half of the 2,917 units have already been sold. Ninety per cent of the buyers were foreigners, who signed 30-year renewable leases.

The main home-buyers in Phuket are from the UK, Finland, Denmark, Sweden, Norway and Hong Kong.

Meytha said that the recent amendment to the Foreign Business Act had not had a negative effect on sales of property in Phuket because foreign buyers had been able to arrange deals that did not include nominees.

Plus Property now has four brokerage offices in the provinces, two in Phuket and one each in Pattaya and Hua Hin.

The company expects Bt30 million in brokerage fees from its provincial agents out of total fees of Bt278 million this year. It expects the Bt30 million to come equally from the three resort areas.

"We have our foreign network to help us sell property using the Internet. Our latest partner is British-based Quintessentially Estates, which lists property around the world. The network will help us meet our sales targets," Meytha said.

The company also plans to exhibit at property fairs in Hong Kong and Singapore.

The company has about 10,000 units for sale. They are worth about Bt17 billion and are expected to generate the brokerage fees of Bt278 million mentioned above.

Plus Property hopes to book revenues of Bt4.5 billion this year, of which Bt3.3 billion will come from condo and town-house projects that began presales last year and will be delivered to buyers this year.

The remaining Bt1.2 billion will come from property sales this year and fee income from its brokerage and project-management operations.

Last year, its revenues rose 17 per cent to Bt2.86 billion, from Bt2.43 billion in 2005, with 88 per cent coming from property sales and 12 per cent from brokerage and property-management fees.

Somluck Srimalee

The Nation

Phuket