This forms part of the NHA’s 10-year plan through to 2025 to develop housing worth more than Bt500 billion to serve these segments under five programmes, Tachaphol Kanjanaku said.
These comprise the development of community homes – including Din Daeng project flats – housing for civil servants, Baan Pracha Rath units, a “home appreciation” scheme for young people buying a home in which they will with their parents, and the renovation of 100 communities developed by the NHA.
Tachaphol said at a press conference late on Monday that the authority would spend Bt35 billion from this year through to 2025 to develop 6,546 Din Daeng community flats, with Bt1.4 billion of the budget allocated for the |development of two buildings comprising 334 units by the end of next year.
“We are studying whether to raise capital for the development of the next 6,212 units in the Din Daeng project by opening it up for joint public-private investment, which would reduce the debt burden of the NHA for developing this project,” he explained.
While this is one of a number of funding methods being studied, a proposal for such joint investment may be proposed to the NHA board for consideration, he said.
Meanwhile, the authority plans to develop housing for civil servants under a hire-purchase system, with the first phase of 3,000 units being submitted for Cabinet approval next year.
Work on the development of a further 10,000 units is planned for the following year, Tachaphol added.
The NHA also has an inventory of 12,754 Baan Pracha Rath homes that it aims to sell over the next two years, with some 6,822 of the units already completed and ready for people to move into, and another 5,932 under construction and due for completion in the second half of 2018.
Pilot project
For the “home appreciation” scheme, the authority has a pilot project in Nonthaburi province, at which 352 units have been put on the market at a special-offer |price.
The Government Housing |Bank provides mortgages under |the programme, the NHA chief said.
As to the renovation of its 100 existing community projects, or about 100,000 units in total, work will commence early in the new year, with completion scheduled for the year’s end.
The NHA’s business strategy for 2017 is to concentrate on developing accommodation for the middle- and lower-income markets by creating innovative homes with a focus on energy-saving, homes for senior citizens, and housing for the disabled and underprivileged, in collaboration with private firms providing expertise on construction under the “Smart City” concept, Tachaphol said.
“For example, we collaborate with Siam Cement Group to develop energy-saving homes, while we will join with other innovative companies for the development of unique homes to serve all the categories that we are involved in,” Tachaphol said.
Meanwhile, he said the NHA planned to manage its debt structure by maintaining its debt-to-equity ratio at no more than 3:1 by using other financial tools to fund its investment plan.
Besides joint public-private investment, it is considering issuing securitised bonds and a property fund. The NHA has total debt of about Bt38 billion.
Tachaphol expects 2017 revenue and net profit to exceed this year’s estimated Bt7.29 billion and Bt572 million, respectively.
Meanwhile, the NHA also plans to manage its debt structure by maintain its debt-to-equity ratio not over than 3:1 by use others financial tools to funding its investment plan.
Tachaphol said that the NHA is studying to do public-private joint investment, issue the securitization bond, property fund, and etc. They will reduce its financial cost and also maintain its debt not over than 3:1.