Industrial land developer Nava Nakorn Plc (NNCL) is expected to finalise its development plan for a project in Pathum Thani in the first quarter of next year, says managing director Nipit Arunvongse Na Ayudhya.
The SET-listed industrial estate developer said its new project on 100-rai of land in Pathum Thani province is likely to be residential and commercial to serve the rising population in the area in line with urbanisation.
The business plan for the new project is expected to include investment value and funding sources.
"We have a 100-rai land bank in Pathum Thani, the location of which might be suitable for shopping malls and residential use rather than an industrial estate," said Mr Nipit, adding that the city is expanding to outer Bangkok and also to the North.
"It is good for us, though, as the residential and commercial project will definitely offer higher profit per rai than industrial land," said Mr Nipit.
The pioneer in industrial land development's Nava Nakorn Industrial Park is located in Rangsit, Pathum Thani, the gateway to the North and Northeast.
In the third quarter sales stood at 537 million baht, with a loss of 84.2 million baht due to poor foreign investment and rising costs.
Mr Nipit said the company would book a loss of around 100 million baht for the whole year.
The company is expected to return to the black in the first half of next year after it is expected to win contracts for two new customers in a sale valued at 500-550 billion baht.
"Since the political conflict has been eased by the coup and the military government trying to restore foreign investors' confidence, our industrial land sales have been improving and existing investors have also begun to buy more land for expansion," he added.
The company has seen more customers recently including the existing investors who expanded their factories as well as new investors.
Around 60% of customers are Japanese investors, 20% are Thais and the rest are from Taiwan and China.
Nava Nakorn has a land bank in Pathum Thani of 700 rai available for development and 800 rai in Nakhon Ratchasima, and it is still looking for new land.
Mr Nipit said the company had not set a sales target for next year as it was difficult to predict the domestic situation and global economy.
"Next year will not be an easy one for us but we hope the Asean Economic Community will help improve business. Also I hope the political situation will be stable," he said.
NNCL shares closed on the SET at 1.97 baht, unchanged, in trade worth 1.28 million baht.