SET-listed developer Pruksa Real Estate Plc (PS) plans to launch 70 residential projects worth a combined 55 billion baht while expecting the overall property market to expand by 10% this year.
Pruksa will launch its first project this year, Villette Lite Rattanathibet, in Bangkok next month, with prices starting from 1.98 million baht.
It will also spend 14 billion baht to buy more land, up from 6.2 billion last year.
Chief executive Thongma Vijitpongpun yesterday said the property market in 2015 was expected to reach 320 billion baht, up by 10.3% from last year's 290 billion, which itself was a decline from 340 billion in 2013.
"Positive factors are the country's recent agreements with China and Japan to build railways, the government's plan for special economic zones in border districts and Asean integration," he said.
A major driver to boost housing demand in Greater Bangkok is the government's investment in mass-transit lines.
Pruksa will develop 60 single-house and townhouse projects.
Of those, 95% will be in Greater Bangkok and the rest in Chon Buri, Rayong, Chiang Mai, Khon Kaen, Ayutthaya and Phuket provinces.
Only 10-12 condominium projects will be launched, mostly in Bangkok with one in Chon Buri.
"Greater Bangkok is the country's best-balanced population. Bangkok is always where upcountry folk want to live," Mr Thongma said.
Pruksa targets to achieve 47 billion baht both in revenue and presales this year, up by 12% and 20% from 2014, respectively.
About 20.4 billion baht will come from townhouses, 11.8 billion from single detached houses, 14.4 billion from condos and 400 million from international business.
Last year it recorded 42 billion baht in revenue, up from 38.8 billion in 2013.
But presales dropped to 39 billion baht from 41.3 billion, lower than the target of 43 billion, as the property market was sluggish.
"We did not expect economic growth to come in lower than 1%," chief operating officer Lersuk Chuladesa said. "Our estimate was 2% growth."
He said presales last year were lower than targeted, as it spent only 6.2 billion baht to buy new land, down from 13.2 billion in 2013, due to a lack of confidence in the political situation.
Pruksa has a sales backlog of 34.2 billion baht. About 22.9 billion baht will be realised this year, with 11.6 billion from condo sales.
"We are confident our condo units completed this year will be transferred to buyers, as most projects are in locations with real demand, not in resort destinations that have felt a strong effect from the Russian rouble's decline," Mr Lersuk said.
Pruksa has 177 active projects worth a combined 78.4 billion baht — 145 single-house and townhouse projects worth 60 billion and 32 condo projects worth 18.4 billion.
Mr Thongma suggested the government support first-time homebuyers, particularly in the low-end segment, through a Board of Investment programme that offers a cut in corporate tax for developers.
Declining fuel prices will not have a quick effect on housing prices this year, as prices of construction materials remain the same and land costs have increased, he said.
If lower fuel prices were to make an impact, they would probably reduce the increase in prices of single houses and townhouses to 2-3% from the usual 5% and condo prices to less than 5% from 7%.
PS shares closed yesterday on the SET at 32 baht, up 1.25 baht, in trade worth 300 million baht.