The SET-listed L.P.N. Development Plc (LPN) plans to launch 13 condominiums and five townhouse projects worth 22 billion baht combined, aiming for sales growth of 20% to reach 20 billion baht in 2013.
One of the new condo projects will sit on a 100-rai site in the Rangsit Klong 1 area and encompass 50 buildings with over 10,000 units, on the scale of Muang Thong Thani. The project will be launched in the second quarter.
"The Rangsit project will be developed as a mega township community offering services through our partner CP All," said managing director Opas Sripayak.
Among the 13 condo projects worth 22 billion baht, 10 will be in Greater Bangkok with one launching next month in the Suk Sawat area. The rest will be in in Udon Thani and other provinces.
The five townhouse projects worth a combined 2 billion baht will be developed by a subsidiary, Porn Santi Co Ltd, which entered the townhouse segment last year.
The company has three plots of land for the townhouse business, including a nine-rai site on Sukhumvit Soi 62 for 70-80 two-storey units of 120-180 square metres, priced higher than 4.5 million baht each.
The other two sites are an eight-rai plot on Soi Sridan 18 off Srinakarin Road with 90 units worth 350 million baht, and a 26-rai site near Suan Luang Rama IX with 100 units worth 400 million baht in the first phase.
LPN expects revenue from townhouses to rise from 670 million baht in 2012 to 1 billion baht in 2013 and account for 10% overall within three years. It has a sales backlog of 18 billion baht, of which 12.5 billion will be realised in 2013 and 5.5 billion in 2014.
2012 was a year of records for LPN, including the highest-ever transfer of condo units worth a combined 6.5 billion baht over a month and a half. June 2012 saw sales of 5 billion baht in four days during the Lumpini Big Shock campaign.
Founded 24 years ago, LPN recorded an all-time high in sales last year of 19 billion baht, up 34% and beating its target of 16 billion baht.
The company has developed a total of 80 projects with 60,000 units housing 150,000 people.
According to LPN's market research, 141 condo projects were launched in Greater Bangkok last year with 63,425 units, a 41% rise from 45,106 units from 103 projects in 2011.
The newly launched condos accounted for 60% of total housing units launched, up from 50%.
The number of condo developers launching new projects totalled 85 firms, up from 63 in 2011, while SET-listed developers had the largest market share with 65%.
LPN had a 15% share last year from the launch of seven projects in Greater Bangkok with a combined 9,600 units, down from a 19% share in 2011.
In 2012 there were 48,000 condo units newly registered with the Lands Department. Of those, LPN had 9,600 units.
Most newly registered condos in 2012 were priced between 1 million and 3 million baht a unit (69%), followed by higher than 3 million baht (23%) and lower than 1 million baht (8%).
LPN shares closed yesterday on the SET at 19.90 baht, up 90 satang, in trade worth 371.24 million baht.
About the author
- Writer: Kanana Katharangsiporn
Position: Business Reporter