Japanese developer Anabuki Group is planning to invest more than 1 billion baht in Thailand's residential market over the next five years, eyeing low-rise condos that have garnered greater interest following the recent earthquake.
Group director Masaaki Kagawa said the March 28 earthquake that rocked Myanmar, Bangkok and other parts of Thailand raised concerns about high-rise condos, particularly among those residing on upper floors who were forced to evacuate.
"Locations for our first condo venture will be near mass transit stations, with units priced at 3 million baht or less, as we aim to tap into the mass market," he said.
"We are seeking a local developer for a joint venture."
Mr Kagawa said although Thailand's residential market has slowed, it continues to expand, unlike in Japan where the population is declining and the property sector has been affected by prolonged economic stagnation.
"The US tariff hike announced last month has had no impact on our overseas investments," he said.
"Our investment strategy remains unchanged, as Japan's economy has already stopped growing."
Founded in 1964, Anabuki first expanded abroad in 2012 by launching condo management services, housing services, and security operations in Taiwan to support Japanese nationals investing and working there.
In 2018, the group began investing in real estate overseas, starting in Vietnam, followed by Indonesia and Singapore in 2019, and Thailand in 2020.
Anabuki entered the Philippines last year and expanded into the US this year.
"We are eyeing investments in Africa, where the population is growing fast," said Mr Kagawa.
"Our group aims to increase its overseas bases from 16 to 70 by 2040 and to 200 by 2065, with 60% of total sales expected to come from international investments."
Last year, the group recorded annual sales of ¥202 billion (US$1.35 billion), with businesses in residential development, construction, real estate brokerage, property and facility management, and nursing care services.
In Thailand, Anabuki co-invested with MAI-listed developer Thanasiri Group in five low-rise housing projects, comprising 774 units worth 4.92 billion baht.
Over the past five years, the group has invested 1 billion baht in Thailand.
Thailand accounts for 70% of Anabuki's overseas investment, followed by Indonesia and Vietnam, accounting for 10% each. The Philippines and Taiwan make up the remaining 10%.
"We discussed a sixth joint venture project originally planned for this year, but current conditions are not favourable," said Sutthirak Sateanraphap-a-yut, chief executive of Thanasiri.
"We'll reassess the situation in the second half of the year."