MBK is best known for shopping centres, but the company hopes its real estate arm, MBK Real Estate Co Ltd, can become a major developer in the next few years. The company will launch more than THB10 billion worth of residential projects between now and 2020, according to local media reports.
“We plan to launch residential projects worth more than THB2.5 billion a year from this year till 2020 in Bangkok and suburban areas and in Phuket. We are also looking into the possibility of launching residential projects in Chiang Mai, Chon Buri, Udon Thani and Khon Kaen. This is part of a goal to drive our total revenue growth to an average of 20 per cent a year from 2018 to 2020,” says MBK Real Estate Managing Director Hatchapong Phokai to The Nation.
The Riverdale Residence
Earlier this year the company launched Riverdale Residences, a luxury villa development and will also launch a luxury, detached house project on Rama 9 Road later in 2017. The company has a budget averaging THB1 billion per year to spend on residential projects. MBK Real Estate hopes these projects will allow it to reach its revenue targets in 2020.
“Our total revenue and net profit this year will lower than what we achieved last year when the condominium project Quinn on Ratchada 17 was transferred to our customers. However, with the launch of two new projects before the end of this year, that will generate income for the company in 2018 that will be higher than that for this year,” says Hatchapong.
The strategy of the company is to develop residential sites at locations that are either attached or near MBK’s proposed new hotel and retail projects. This will make them more attractive to potential buyers.
“The property market now is marked by high levels of competition. When we launch new projects that are close to the commercial projects of the parent company, this will meet help buyers’ demands. One of our business strengths is that our parent company has services to offer our customers, covering demand for retail, hotel and office needs,” says Hatchapong.
Receive the latest property news on email from Thailand’s No.1 property website here, or read more project reviews
