K-Land to launch 3 luxury projects
Krungthep Land is planning to launch three new residential projects with a combined market value of Bt7 billion next year in an attempt to maintain its presales at a value of Bt5 billion to Bt6 billion a year.
K-Land chief executive Thongchai Kunakornporamut said yesterday that the three new projects would be low-rise developments. Two of the three projects will be on Buddhamondhol II and Buddhamondhol III roads, with a combined value of Bt5 billion. The third project, with a market value of Bt2 billion, will be on Soi Onnuj in Bangkok.
The company’s investment budget will come from its own cash flow, he said.
Meanwhile, K-Land is also looking for foreign investors to jointly develop a community retail mall on Rama III Road. This follows its successful joint venture with Singapore-based Fraser & Neave in the development of a Bt6-billion condominium project, The Pano, on Rama III.
Thongchai said his company was focusing on luxury residences priced at more than Bt10 million because this market had stronger demand than that for medium- and lower-cost housing. When the country’s economy grew only slightly after the global economic downturn, this affected the medium- and lower-income markets more than the market for luxury residences.
He said K-Land was aiming for total presales worth Bt5 billion to Bt6 billion from its three new projects, to be launched next year, as well as its existing residential projects.
The company is currently selling from three residential projects. These include The Pano, construction of which is now complete and the project 80 per cent sold. The others are The Grand Ring Road-Pracha-Uthit and The Grand Rama II. About half of the units in these projects, which have a combined market value of Bt10 billion, have been sold.
The company is aiming for presales worth between Bt3 billion and Bt4 billion this year, Thongchai said.
The Pano is ready to transfer units to customers and the other two are low-rise residential projects that will not suffer any negative impact from an expected shortage of construction materials.
“We believe that the property market will face a shortage of construction materials when demand for them rises as people renovate their homes after the floods. The shortage could last into next year,” he said.
