|
|
| • EXCH RATES |
|
Baht/$ 34.24/29 (Bid/Ask)
|
GOLD |
14050
-400
|
|
KANANA KATHARANGSIPORN
The Sansiri Plc subsidiary Plus Property Co Ltd aims to convince customers of banks' wealth management units to invest in real estate during times of higher inflation and jittery stock markets, says chief executive Mayta Chanchamcharat.
He said Plus now offered a property agency service as an alternative investment to the private banking clients of Kasikornbank and Siam Commercial Bank.
He said yield from real estate investments was higher than current deposit interest rates - with the minimum gross yield for a rental condominium at 5%, and as high as 7% if the property is in a good location.
"Even after the deduction of the commission fee, the yield remains better than the deposit rate," he said. Normally, the commission is one month for one year's rent.
He added that property purchasing was a more attractive investment due to higher gains from appreciation in prices. In some locations - such as the central business district to Sukhumvit Road within the Ekamai area - condominium prices could rise annually by between 25% and 100%, he said.
Currently, the company has more than 10,000 units of resale property in its portfolio - 90% condominiums and 10% single houses and townhouses. About 70% of the property is for sale and 30% is for rent. Most of the properties offered by the company are completed or under-construction Sansiri and Plus units.
Beyond rental and resale property, investment in real estate includes property funds that can offer many kinds of property for investment. Investors looking to diversify risks have many choices of investment in real estate, said Mr Mayta. He added that risks in real estate investment include liquidity and details such as unit location and condition.
During the first nine months of the year, Plus rented out 342 units and posted sales of 2.1 billion baht from 300 resale units. It targets revenue of 270 million baht from its rental service and three billion baht from resale property by the end of the year.
Prev
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
Next
