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Bangkok Homes for Sale – Developers Rejig Plans

By on Apr 04, 2014 in Property News, Residential

Sansiri, Leading property companies have had to revise their business plans and income structure in order to maintain growth by developing residential Bangkok homes for sale that can generate revenue this year.  They are also expanding their rental-income business both domestically and overseas, as the residential sales market is showing signs of dropping by between 2 per cent and 5 per cent this year – the first contraction since the aftermath of the economic crisis in 1997.  This is largely due to the country’s political turmoil, according to a survey carried out by The Nation early this week, with the prolonged political crisis now carrying over until at least the second quarter.

This year, Supalai will focus on detached housing and townhouse projects rather than developing condominiums, due to slower overall market growth, especially for condos, said president and CEO Prateep Tangmatitham.  The company plans to launch 26 residential projects worth Bt32 billion in total, 18 of which will be detached housing and townhouses and just eight condominium projects.  Detached houses and townhouse take between four and eight months to construct, which will generate much speedier income than condominium development, which generally takes 18 months to three years – depending on project size – before a full income stream is possible, he said.

Land & Houses is a leading property firm that is balancing its portfolio between investment income – largely dividends from its subsidiaries – and sales income from the development of residential projects for sale.  “At a time when the economy shows only slight growth and the property market is falling, income from our subsidiaries’ dividends and our investment will balance our financial results at nearly last year’s level,” president Naporn Sunthornchitcharoen said during an interview with The Nation earlier this year.

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