Low-rise housing developer Kanda Property Co will diversify to condo, hotel and wellness in the next few years and plans to launch six new projects worth a combined 4.7 billion baht in 2022, aiming for a growth of 10% in presales and revenue.
Hasakorn Boonyoung, deputy managing director, said the diversification plan was a new strategy for growth to boost revenue from new sources including recurring income and new markets like condo.
"The company has developed more than 100 low-rise housing projects for over 30 years and never done other properties," he said. "We have several land plots which are ripe enough to develop recurring-income properties in the next three years."
Two of them are in Phuket, including an eight-rai plot near Central Phuket where it plans to develop a condo project. Its environmental impact assessment report will be approved this year.
The other Phuket project is a 25-rai site near the island's new tourist destination Ma Du Bua Cafe in Thalang district. It plans to develop a wellness centre and hotel to capitalise on the new trend of health and wellness in one of the world's key tourist destinations.
"We aim to boost revenue from recurring income business to 10% when the wellness centre is completed," he said.
Two other sites are in Bangkok including a one-rai plot near Rama VII Bridge and a 3.5-rai plot on Kalapapruek Road.
The company plans to develop condo projects on both plots, said Mr Hasakorn, the 32-year-old second son of Issara Boonyoung, the company's managing director and chairman of the committee for real estate development at the Thai Chamber of Commerce.
This year the company will launch six new projects of single detached houses, duplex houses and townhouses in four existing locations including Rama II, Lam Luk Ka Khlong 2, Pracha Uthit and Wong Waen-Rangsit Khlong 4.
Two will be in new locations comprising Ram Intra-Ku Bon and Pattaya-Jomtien in Chon Buri as one of its strategies is to add at least one new location to the development plan.
It aims to have 3.3 billion baht in presales and 2.2 billion baht in revenue by the end of 2022, which rose from 3 billion baht and 2 billion baht in 2021.