Builder to leave prices unchanged after cut in fuel costs

Real Estate September 08, 2011 00:00

By Somluck Srimalee
The Nation

Emperor Houses Co, a builder of premium homes, will leave its prices unchanged for the rest of this year after the government cut fuel prices by Bt6-Bt8 per litre.

The move has helped lower the prices of some building materials such as cement, tiles and steel. Construction costs remain nearly the same as in the first half of |this year.

The company decided to maintain its construction prices for customers who sign contracts to build their residences from now until the end of this year, managing director Suratchai Kunhakij told a group interview yesterday.

The company now expects its revenue to grow 15 per cent this year from Bt350 million last year.

Its new contracts look set to reach Bt350 million this year on continuing strong demand for luxury homes.

"We believe that our revenue and new contracts will achieve their targets after we recorded revenue of Bt300 million and new contracts of Bt300 million in the first eight months of this year," Suratchai said.

Overall demand for custom-built homes priced at more than Bt20 million is increasing 10 per cent on average over last year.

The high-end segment is worth Bt2.8 billion, or about 25 per cent of the Bt11-billion market for residential properties constructed |by home-builders on contract. This is a jump of 23 per cent from last year.

Emperor Houses sees its sales expanding by 10 per cent next year, he said.