The SET-listed developer Major Development Plc (MJD) is shrugging off a prospective economic slowdown with plans to launch seven projects worth a combined 10 billion baht.
All seven projects in the second half of this year will be condos, said executive director Petrada Poolvoralaks.
The company launched three projects worth nearly 10 billion baht in the first half.
"Though the economy in the second half is likely to be volatile, we expect the situation will be short-term, as there will be some investors shifting their money from fluctuating stocks and the capital market into the property sector to reduce risk," Ms Petrada said.
Major plans to become more aggressive in launching new projects, targeting 7-10 a year to raise sales and revenue growth by at least 50%.
By the end of the year, it expects to have 6 billion baht in sales and 4 billion in revenue, up more than half from last year.
Next year, it aims to achieve 10 billion baht in revenue from the transfer of condo projects.
Major also plans to launch more low-rise condo projects with only eight storeys to generate quicker revenue after launching Maestro Sukhumvit 39 with 90 units worth 600 million baht.
The company normally focuses on three major segments _ mid-to-low with prices of 50,000 baht per square metre, mid-to-high priced at 70,000 to 100,000 baht per sq m, and super-luxury at 300,000 baht per sq m.
Major is developing a hotel in Pattaya and a mixed-use project comprising an office and hotel in Bangkok's Sukhumvit Road before putting them into a real estate investment trust worth about 3 billion baht.
The company is also studying whether to develop its first single-house project to diversify risk. It has a land plot for a low-rise development in eastern Bangkok that will be launched by the end of the year or early next year.
However, research by the Real Estate Information Center (REIC) found that most developers remain concerned over economic prospects, political risk, the labour shortage and an oversupply that may slow down housing sales.
Director-general Samma Kitsin said concerns were reflected in the housing developers' sentiment index for the second quarter.
The current situation index in the second quarter was 54.7, down from 57.8 in the first quarter and 55.8 in the second quarter of last year.
The index of listed developers was 59.2, down from 62.2 in the first quarter, while that of non-listed firms was 50.1, down from 53.3.
"Developers were concerned about sales, investment, employment and launching new projects amid rising costs and signs of economic slowdown," Mr Samma said.
The expectation index for the next six months was 67.4 in the second quarter, down from 71.6 in the first quarter and 67.9 in the second quarter of last year.
The listed developers' index was 72.0, down from 77.1 in the first quarter, while that of non-listed firms was 62.7, down from 66.1.
The survey was done among 166 developers comprising 30 listed firms and 136 non-listed ones. REIC gives both types equal weight. The mean is 50, meaning if the index is higher than 50, sentiment is good. If it is lower, sentiment is poor.
Shares of MJD closed yesterday on the Stock Exchange of Thailand at 2.24 baht, up 12 satang, in trade worth 4.94 million baht.