Property Perfect banks on strong demand up-market

Real Estate March 05, 2014 00:00

By Somluck Srimalee
The Nation

Property Perfect has focused on the luxury market as it sees strong demand in the well-off sector that suffers little impact from political turmoil, deputy chief business development officer Wongsakorn Prasitvipat said.

“We target Bt1.8 billion in revenue from the luxury market – homes price at more than Bt10 million – or about 12 per cent of our total revenue target of Bt15 billion for this year,” he said.
He accepted that the property market in the first two months was down compared with the same period last year, especially homes priced between Bt3 million and Bt5 million. But the demand for homes costing less than Bt3 million and more than Bt10 million was still growing. 
The company’s presales in the first two months of this year recorded Bt1.7 billion, up 13 per cent from Bt1.5 billion in the same period of 2013. This was thanks to the demand for luxury homes and its projects far from the areas of Bangkok besieged by anti-government protesters. 
For all of 2014, Property Perfect targets presales of Bt16 billion, which will drive revenue to Bt15 billion. Of that revenue total, Bt3.6 billion will come from the company’s backlog. 
It plans to launch 20 new projects worth Bt23.18 billion. Seven of these will be condominium projects in Greater Bangkok worth Bt6.2 billion, 10 projects will be detached-housing and townhouse projects in metro Bangkok worth Bt9.25 billion, and three will be in the provinces. The upcountry launches will comprise two detached-housing projects in Chiang Mai and in Nakhon Ratchasima’s Khao Yai area and a condominium project in Hua Hin. 
Meanwhile, the company has set aside an investment budget of Bt1 billion to buy land to develop residential projects next year, Wongsakorn said.