Connect with us


Phuket Property: Land and Houses to explore new markets

Legacy Phuket Gazette



PHUKET: Residential development will continue to be the core business for Land & Houses (L & H) while it invests in related businesses as well as others with future potential.

“Our strategy is to manage our investment budget by balancing homes for sale and businesses that will generate a return in the long run,” said Naporn Sunthornchitcharoen, a senior executive vice president.

The firm’s latest investment was the purchase of an apartment building in California worth US$10 million (306mn baht), using part of its capital-expenditure budget worth US$50mn for the United States.

Up to 80 per cent of the company’s annual revenue comes from residential sales and the remaining 1.5 to 2 billion baht from investments.

For example, the company established Bangkok Chain Hospital 10-years-ago and it became successful. However, L & H believed that it did not have enough experience to drive growth further and that other firms could manage and improve the business better than it could, so its board decided to sell the stake in the hospital to new investors last year for a gain of more than 2bn baht.

The company also sold its holding in Quality Construction Products last year to Siam Cement Group for a gain of 800mn baht.

L&H’s investment portfolio is worth 13bn baht at cost but about 25bn baht by market value – or nearly double the cost basis.

A few of its businesses are Home Product Center, Quality Houses, Quality Construction Products, LH Bank, Asia Asset Advisory Co and LH Muang Mai Co.

“When we invest, we consider the benefit in the long term. This is to sustain our growth over the long haul,” Naporn said.

Part of the company’s strategy has been to branch out overseas, especially in the US.

Though the company reaps returns from its portfolio, it still develops residential projects to cover all market segments at a pace of 14-20 a year – worth 20 to 25bn baht, depending on demand.

“Some of them will replace our existing projects that sold out and are ready to be transferred to customers,” he said.

The three key criteria for proposing a project are segmentation, or ‘Who is the customer for the product?’; design, or ‘What do customers want?’; and location, or ‘Is it convenient for transport?’.

Next year will see 14-20 projects introduced, depending on market demand, but their locations will hug the new mass-transit routes.

When the government set the policy to invest in mass transit and infrastructure to link the suburbs to Bangkok’s central business districts and also to invest in infrastructure upcountry, that changed the property market to urbanization, Naporn said.

Now there are more locations to launch a business that do not concentrate only on Greater Bangkok. This is the trend for property firms – to expand in the provinces – which started this year and will extend into next year.

“We have been in business in the provinces for more than 10 years but we will continue to expand upcountry at new destinations in 2013,” he said.

The company is targeting revenue growth of 10-15 per cent this year, after aiming for an increase of 14-15 per cent last year from 23.29bn baht in 2011.

L&H showed revenue of 19.25bn baht and net profit of 4.09bn baht in the first nine months of last year.

“When we do business we’re concerned about our stakeholders,” he said. “They have to get more benefit from our business. They include stockholders, customers, staff and the communities around our projects. That’s why we have to do business under the strategy of balancing businesses while maintaining our long term growth.”

— Somluck Srimalee


Want more Thailand news from the Thaiger family?

📱 Download our app on Android or iOS for instant updates on your mobile
📝️ Join the conversation on Thaiger Talk - discuss news & life in our Thailand forums
📧 Subscribe to our daily email newsletter
👍 Like/Follow us on Facebook
🔔 Subscribe to or Join our YouTube channel for daily video updates


Join the conversation and have your say on Thailand news published on The Thaiger.

Thaiger Talk is our new Thaiger Community where you can join the discussion on everything happening in Thailand right now.

Please note that articles are not posted to the forum instantly and can take up to 20 min before being visible. Click for more information and the Thaiger Talk Guidelines.

Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Archiving articles from the Phuket Gazette circa 1998 - 2017. View the Phuket Gazette online archive and Digital Gazette PDF Prints.

Follow Thaiger by email:

Coronavirus (Covid-19)6 hours ago

Dole pineapple factory has 34 new Covid-19 cases, 413 total

Coronavirus (Covid-19)7 hours ago

Chinese Sinovac vaccine debuts in Singapore to high demand

Drugs9 hours ago

Drug smuggler caught in Kalasin with 300 kg of marijuana

Phuket Sandbox July 1st


Thaiger is getting behind local businesses for the restart of tourism in July - up to 50% discounts across all advertising packages in June!

Politics10 hours ago

Amendment to reform Constitution rejected by Parliament

Medical11 hours ago

Gender Health Clinic opens in Bangkok for transgender needs

Coronavirus (Covid-19)13 hours ago

30 million baht added to vaccine side effects compensation fund

Coronavirus (Covid-19)14 hours ago

Plan for 16-week gap between AstraZeneca vaccines dropped

Coronavirus (Covid-19)15 hours ago

CCSA: 120 day reopening will proceed with conditions

Tourism16 hours ago

Sandbox latest, CCSA says all regions reopening must reach 70% local vaccination

Coronavirus (Covid-19)19 hours ago

Covid UPDATE Saturday: 3,667 new infections and 32 deaths

Politics19 hours ago

Thamanat elected to role of head ‘fixer’ in Palang Pracharat party

Expats1 day ago

List: China has over 50% of all foreign-owned condos in Thailand

Coronavirus (Covid-19)1 day ago

Government plans 10 million vaccines for July

World1 day ago

Thailand News Today | Vaccine deaths investigation, PM heads to Phuket, BMA extends vendor licences | June 18

Thailand1 day ago

1 million AstraZeneca doses arrive, Anutin says “more” on the way

Thailand4 months ago

Thailand News Today | Thai Airways in rehab, All go for Songkran | March 4

Tourism4 months ago

Phuket’s nightlife. Yes, bars and clubs are still open | VIDEO

Phuket4 months ago

Thailand News Today | Covid passport talks, Thai Airways heads to court | March 2

Tourism4 months ago

Phuket Thai food treats you need to try | VIDEO

Thailand4 months ago

Thailand News Today | Bars, pubs and restaurants ‘sort of’ back to normal | Feb 23

Tourism4 months ago

In search of Cat & Dog Cafés in Phuket Town | VIDEO

Thailand5 months ago

Thailand News Today | Gambling crackdown, Seafood market to reopen, Vlogger challenge | Jan 21

Thailand5 months ago

Thailand News Today | Covid testing for visas, Business impact, Vaccine approval | January 19

Thailand5 months ago

Thailand News Today | Weekend Bangkok bombs, Thailand fires, Covid update | January 18

Thailand5 months ago

Thailand News Today | Stray car on runway, Indonesian quake, 300 baht tourist fee | January 15

Thailand5 months ago

Thailand News Today | Governor off respirator, sex-trafficking arrest, condo prices falling | January 14

Thailand5 months ago

Thailand News Today | Chinese vaccine, Thailand ‘drug hub’, Covid update | January 13

Thailand5 months ago

Thailand News Today | Bangkok may ease restrictions, Phuket bar curfew, Vaccine roll out | January 12

Thailand5 months ago

Thailand News Today | Covid latest, Cockfights closed down, Bryde’s Whale beached | January 11

Thailand5 months ago

Thailand News Today | Southern floods, Face mask fines, Thai Air Asia woes | January 8