Sansiri targets strong condo markets
text size

Sansiri targets strong condo markets

SET-listed developer Sansiri plans to continue with its condo business strategies to cope with slow economic growth, focusing on strong demand and strategic locations in all pricing segments.

Ongart Suwannakul, senior vice-president for high-rise project development at Sansiri, said the condo market in the second half would continue to slow in line with the economic downturn as there have been no positive signs since late in the first quarter this year.

"Although property measures were initiated in April, it will take more time for them to have a significant impact," he said. "Our condo strategies set earlier this year remain effective as they were designed to cope with slow growth."

One strategy is to focus on locations with strong demand, including major provinces and tourist destinations such as Phuket, Chiang Mai, Khon Kaen, Pattaya and Hua Hin.

"Provinces with a good economy or education centres are attractive for launching new condo projects," said Mr Ongart. "We will also consider sales rates and demand in those locations."

The company plans to launch 20 new condo projects this year worth a combined 26 billion baht, the most in the industry. Of these, nine projects worth 11.8 billion baht, representing 45% of the total, are in locations with strong demand, he said.

In the first five months this year, Sansiri recorded 7.3 billion baht in condo sales and 3.4 billion in condo transfers, representing 35% and 26% of the respective annual targets of 21 billion and 13 billion.

One condo project it plans to transfer this month is The Line Vibe with 940 units worth 4.4 billion baht, which is 70% sold and projected to be sold out by next year.

The project is a joint venture between Sansiri and Rabbit Holdings Plc, a financial services subsidiary of BTS Group Holdings. The venture includes five other land plots for future development, said Mr Ongart.

Mr Ongart poses in front of The Line Vibe, slated to start transfers in June.

Do you like the content of this article?