Property Perfect has embarked on a new direction by launching "Perfect Customisa-tion" homes, which are built to each buyer's order, in a bid to reduce housing stock worth Bt800 million a year.

About Bt40 million will be earmarked out of this year's marketing budget of Bt242 million to push this campaign, managing director Chainid NgowSiri-manee said yesterday.

Developers have been intensifying competition recently by moves such as discounting prices, offering free furniture and waiving transfer fees. But Property Perfect does not want to compete with them in this respect, and has instead decided to change its strategy to reduce its ready-to-move-in units from an average of 400 per project to 200 units by launching customised homes.

The company expects Perfect Customisation sales to account for up to 20 per cent of its total estimated sales of Bt8 billion this year.

"We have to adjust our product strategy from ready-to-move-in to made-to-order homes because we need to reduce our housing stock to help keep cash flow strong after the property market signalled slight growth this year," Chainid said.

Perfect Customisation will be offered at nine existing projects

- Perfect Place on Ramkham-haeng, Sukhumvit 77, Rattana-

thibet, Rama V-Ratchapruek,

and Rama V-Bang Yai, Perfect Park on Ramkhamhaeng and Rattanathibet, The Villa on Rattanathibet and Mineelin on Thiwanond.

According to the property market index, only 10,150 housing units were transferred in the first two months of the year in greater Bangkok. That was up only 2.2 per cent from 9,926 units in the first two months of last year, but by value was down 25 per cent to Bt23.34 billion from Bt31.36 billion last year.

The new concept might also be applied to the seven property projects worth Bt7.5 billion planned for this year.

Property Perfect posted net profit of Bt5.9 million on sales of Bt1 billion in the first quarter, a decline of 42.9 per cent and 10.7 per cent respectively from the same quarter last year.

"We believe that our sales will meet the annual target of Bt8 billion although our sales in the first quarter missed the target because we had Bt3 billion in pre-sales waiting to be booked as revenue. We also have existing projects worth up to Bt10 billion that will be ready to be transferred to our customers in the second half," Chainid said.

The company plans to spend Bt500 million buying land this year to be developed into two condominiums worth up to Bt2 billion next year.

Chainid said the company had to launch condo projects next year because its existing condo project, Metro Park Sathorn, will be ready to transfer units to customers this year.

Demand for condos remains strong compared with single family homes and town houses, so the company has to balance its portfolio to meet sales goals, he added.

Somluck Srimalee

The Nation