After posting strong presales growth in the opening 6 months of this year, Supalai Plc is ready to launch 22 new projects to close out the remainder of 2017. The new developments include condos and housing projects and are worth a combined THB 21.5 billion, reports local media.
Supalai will launch a total of 4 new condos in the coming months with 3 of these being in the middle- to lower-end segment. Half of the new condo developments will be located near the MRT Blue Line extension. The company is also set to launch 18 single-house and townhouse projects during this year.
“This is the largest segment. We aren’t worried about purchasing power in this segment as supply has contracted in the 1st half. Most developers are shifting to the higher end of the market and the central business district area,” says Supalai Managing Director Tritecha Tangmatitham to the Bangkok Post.
Supalai has no plans to launch condo projects along the Skytrain Purple Line as that area suffers from oversaturation. It has also launched fewer condo projects in Thailand’s provincial areas due to a sluggish market. Even with condo sales in the provinces struggling, Supalai did record good presales in the region during the 1st half.
“This doesn’t mean the market for condos in provincial areas has recovered. It remains sluggish but the absorption rate is improving because of a lack of new supply,” says Tritecha.
Thailand’s residential market has not performed as well as expected, but Supalai has recorded respectable presales so far this year. Part of the reason for this success is due to the fact it has launched more new single houses and townhouses projects in the provinces.
However, the company’s largest presales growth was from Bangkok condo projects, which rose by 50 per cent when compared to 2016. There was more good news for Supalai as it remains on track to meet its goals for unit transfers in 2017.
Featured Image via www.supalai.com
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