TOKYO: After a four-year joint venture covering 11 condominium projects worth a combined 50.8 billion baht, SET-listed developer AP Thailand Plc is applying innovations from its Japanese partner Mitsubishi Estate Group, which will be used as its development standard going forward.
Vittakarn Chandavimol, APs chief of business group for condominiums, said there were three innovations the developer had picked up from Mitsubishi, which it plans to apply at its condo projects being launched from next year.
The first is durable home innovations of bathroom pods or prefabricated bathrooms, which can improve the quality assurance process and reduce defects at condo units before being delivered to customers, he said.
"Prefab bathrooms cost double that of conventional ones, but they have zero defects and can reduce construction time by two months," said Mr Vittakarn.
"After we applied this process at some condo projects a few years ago and received good feedback from customers, we decided to use it at all future condo projects."
Siam Steel International Plc produces bathroom pods for AP. They cost 60,000-65,000 baht per unit sized 2x3.5 metres, compared with a conventional bathroom that costs 30,000-35,000 baht a unit for the same size.
Creating economies of scale should reduce the price of bathroom pods, he said. Some 10,000 units over a three-year period should cut the cost of prefab bathroom pods to close to that of conventional bathrooms, said Mr Vittakarn.
The first project where AP employed the bathroom pod model was the 1,218-unit Aspire Sathorn-Thapra, launched in late 2014. The first model was made with fibreglass, after which AP upgraded the material to tile from its second project onwards, as customers felt it was more durable.
To date, AP has used bathroom pods at seven projects with a total of 8,930 units, comprising five projects done in conjunction with Mitsubishi and two others the company developed on its own.
To improve construction quality and development standards, AP also began applying a checklist guideline the developer learned from its Japanese partner.
The other two innovations AP has brought on from Mitsubishi are space innovation and technology with the Internet of Things concept and 24/7 safety and convenience assurance.
The convenience innovation is i-locker, a smart depository which can be accessed 24/7 by both senders and recipients. Currently, the technology is installed at Rhythm Sukhumvit 42, and AP plans to have it installed at all new projects.
From the second quarter of 2014 to the third quarter of 2017, AP and Mitsubishi launched a total of 10 projects worth a combined 41.8 billion baht, with an average sales rate of 86%.
Next month the partners will launch a new condominium project, Life Asoke-Rama 9, with 2,248 units worth 9 billion baht. AP expects to sell 50% of the condominiums during the launch period.
During the first nine months of 2017, AP recorded 28.3 billion baht in presales, up 48% from the same period last year. It comprised 16.6 billion baht from condominiums and 11.7 billion from single houses and townhouses.
With presales of Life Asoke-Rama 9, AP aims to secure 4.5 billion baht. AP's presales this year are likely to be higher than 32 billion baht, said Mr Vittakarn.
AP shares closed yesterday on the Stock Exchange of Thailand at 8.15 baht, up 25 satang, in trade worth 342 million baht.