SET-listed developers Property Perfect Plc (PF), Supalai Plc (SPALI) and Sansiri Plc (SIRI) are optimistic about the property market, expecting a recovery from the second quarter onwards.
Supalai deputy managing director Tritecha Tangmatitham said the overall property market was improving, with more condo projects being launched in the second quarter than in the first.
In the first quarter, Supalai recorded 3.2 billion baht in presales, lower than the targeted 3.4 billion, as no new projects were launched. It expects 7 billion baht in presales in the second quarter.
"Competition remains high among large developers, as small firms find it difficult to get project loans," Mr Tritecha said.
However, competition for plots for development has slowed down. Supalai is taking the chance to buy more plots near current and new mass-transit routes.
It has plots on hand worth more than 70 billion baht for development in the next four years.
Risk factors include the economic situation and slow income growth, Mr Tritecha said.
Property Perfect chief executive Chainid Adhyanasakul said his company recorded 2.9 billion baht in presales from houses and condos in the first quarter, close to its target and an increase of 23% from the same period last year.
"Sales were satisfying amid a slowdown in decision-making among homebuyers as consumers waited to see an economic recovery," he said.
In the first quarter, revenue from a ski resort in Japan totalled ¥1.67 million (453,000 baht), also close to target.
Property Perfect plans to launch 24 residential projects this year worth a combined 29.5 billion baht, with targeted presales and revenue of 18 billion baht each.
The company also aims to raise its profit margin to 10% this year from 4% last year, mainly through buying construction materials in bulk.
It owns a land bank of 2,000 rai in Greater Bangkok it bought decades ago. The plots are expected to cover new projects for the next three years, meaning the company will spend only 2 billion baht a year to buy new plots from 2015-17.
The company's land bank includes a 400-rai site on Rattanathibet Road near the future Purple Line, a 700-rai plot adjacent to the University of the Thai Chamber of Commerce's Chaeng Watthana campus and 1,000 rai near the Orange and Pink mass-transit lines.
Sansiri yesterday revised up its presales and revenue targets this year to 35 billion and 36 billion baht from 30 billion and 34 billion, respectively.
President Srettha Thavisin said property market sentiment was picking up after the company recorded sales from campaigns for projects in Hua Hin and Bangkok and sales from a Phuket project roadshow in Hong Kong last month.
In the first quarter, Sansiri recorded 2.4 billion baht in presales, comprising 300 million baht from a new single-house project in Pin Klao in Bangkok, 600 million from residential units in Hua Hin and 1.5 billion from other projects.
In the second quarter, it plans to launch The Monument, a condo worth 1.4 billion baht, 300 metres from Sanam Pao skytrain station, and The Line, a 5-billion-baht joint venture condo project with BTS Group Holdings near Mor Chit station. The project will be developed by BTS Sansiri Holding One Co with registered capital of 100 million baht in which each party holds 50%.
PF shares closed yesterday on the SET at 1.06 baht, up one satang, in trade worth 17.6 million baht.
SPALI closed at 21.90 baht, up 40 satang, in trade worth 110 million baht. SIRI closed at 1.91 baht, up six satang, in trade worth 195 million baht.