TCC Capital Land has suspended its plan to launch two new condominium projects worth Bt2 billion this year following the recent political problems, the company's CEO and managing director Soammaphat Traisorat said at press conference yesterday.
TCC Capital Land is a joint venture between TCC Land, the property arm of beverage tycoon Charoen Siriwattanabhukdi, and Singapore firm CapitaLand Group.
However, TCC Land may launch two new condominium projects worth Bt2 billion in the second half of this year on its own and will appoint TCC Capital Land to manage the projects, he said.
He said the joint-venture firm had suspended new investment this year as partner, Singapore based CapitaLand Group, was concerned about Thailand's political problems although the local property market has started to recover since mid-June till now.
Currently, TCC Capital Land has seven projects in hand, six of them are condominium projects and one is a single detached-house project. With a combined inventory of about Bt9 billion, it will generate revenue over the next two years.
"About Bt5 billion of the total will be our revenue in this year, with balance Bt4 billion in the next year, as a result our board will revise our business plan to launch new projects next year," he said.
TCC Capital Land recorded total pre-sales of Bt1 billion and total revenue of between Bt2 billion and Bt3 billion in the first half of this year.
To boost its total revenue to achieve the Bt5 billion target, the company yesterday joined Kasikornbank to launch the latest promotion campaign worth nearly Bt100 million with a concept 'Ready to Move in Luxury Condo with 100 per cent Loan'.
This campaign offers special financial package to customers who buy its four condominium projects in four locations including Villa Rachatewi on Phayathai road, the Emporio Place on Sukhumvit 24, The Empire Place on Narathiwat-Rajanagirindra, and North Park Place on Vibhavadi-Rangsit Road.
The construction has already been completed and has the rest units for sale: 17 units at the Emporio Place, 50 units at the Empire Place, 80 units of the Villa Rachatewi, and 10 units of North Park Place. If all of them are sold out, they will generate total revenue of Bt3 billion in the second half of this year. The campaign starts now till the end of September 2010.
"In most of our four condominium projects, prices are now about 10 per cent higher than two years ago, because demand for condominium projects have continued to grow," he added.
Meanwhile, TCC Land has continued to expand its investment, worth over than Bt10 billion this year including a shopping center at Ekamai that required an invested of more than Bt3 billion, a project at Cha-Am worth nearly Bt5 billion in the first phase, and the purchase of a hotel in Japan worth US$100 million or Bt3.3 billion in the first quarter of this year.
"Our group has continued to expand our business although our joint-venture firm suspended its investment," Soammaphat said.