Kunalai eyes Bang Khun Tien, Rangsit
MAI-listed Nonthaburi-based housing developer Villa Kunalai Plc will diversify to Rangsit and Bang Khun Tien in the second half, aiming at revenue growth of over 10% in 2020.
Chief executive Praweerat Dheva-aksorn said the company was interested in developing single detached houses and duplex houses in Rangsit and Bang Khun Tien as the locations had strong demand but limited supply at affordable prices.
"Locations in neighbouring provinces are a choice for mass market homebuyers. We'll offer affordable houses priced only 2-3 million baht a unit in those areas," she said.
The company was studying the low-rise market in Bang Khun Tien and Pathum Thani's Rangsit area and plans to finalise the location and launch a new project in the fourth quarter of 2020.
In November it debuted a project in Chachoengsao, selling 20 units.
"There were no mortgage rejections at our Chachoengsao project as the province is a source of jobs. Customers came there financially ready," said Ms Praweerat.
She said the Eastern Economic Corridor had a strong impact on housing demand in Chachoengsao. The company saw rising relocations to the province in response to job offers.
Kunalai anticipates its core market, Bang Bua Thong in Nonthaburi, which saw mortgage rejection rates as high as 30% last year, will have lower loan rejection rates by the end of 2020.
"The low-rise housing market the first two months saw a healthy number of visitors at project sites. But with concerns about economic conditions, bookings and mortgage approvals decreased," said Ms Praweerat.
This year the company plans to launch two new low-rise housing projects worth a combined 2.3 billion baht in Nonthaburi and push revenue growth to more than 10% from 2019.