SET-listed developer SC Asset Corporation plans to invest 40 billion baht to launch new residential projects worth a combined 130 billion baht during 2022-25, aiming for revenue of 100 billion baht over four years.
Of the total investment budget, 11.5 billion baht is allocated for land acquisitions this year, mainly focusing on low-rise housing development, said chief executive Nuttaphong Kunakornwong.
"The 2022 land budget will be 15% higher than last year, when we invested 10 billion baht for 25 plots," he said. "Our main products remain low-rise houses, which we expect to comprise two-thirds of revenue."
This year SC will launch 27 new projects worth a combined 40 billion baht.
Only two of them will be condos worth a combined 6.5 billion baht, while the rest will be single detached houses, townhouses and duplex houses, mostly priced above 10 million baht a unit.
One of the two new condo projects will be in the super-luxury segment in the Thonglor area, with 20 units priced from 140 million baht each.
The project is under the development of Scope, one of SC's subsidiaries in which it holds a 90% stake.
This year SC expects to earn 22 billion baht in both revenue and presales. It will also be the first time in history that it will realise revenue of more than 20 billion baht.
Of the 130 billion baht it plans for new launches in 2022-25, 20 billion baht will be for 10 condo projects with unit prices between 100,000-200,000 baht per square metre.
In 2025 it aims to have 30 billion baht in revenue, with two thirds coming from low-rise houses.
"The condo market this year will definitely be better than last year as existing supply was reduced but demand did not fall," Mr Nuttaphong said. "It will return to normal in 2023 as the number of foreign travellers will be higher in the second half of 2022."
As the company will invest in more new ventures, it expects the proportion of revenue from recurring income to double from 10% to 20% over the next few years.
At present, SC's recurring income comes from office buildings, property services and apartments in the US.
It will open a new hotel -- Yanh -- in the Ratchawat area, in the second half of 2022.