Property juggernaut AP Thailand to launch 65 projects costing B78 billion in 2022
Property developer AP Thailand is expected to unveil a whopping 65 new projects valued at 78 billion baht this year, the most in the Thai real estate market, with units ranging from approximately 1.9 to 50 million baht each. The company’s confidence in the first quarter signals good news to investors in the SET-listed company, which is currently ranked No. 3 on FazWaz’s list of property developers in Thailand.
The new developments will be supported by the company’s strong financial position, with a low net debt to equity ratio of 0.58, said Vittakarn Chandavimol, chief of corporate strategy and creation. AP’s bold projections follows its 2021 completion of 20 projects, surpassing its initial goal of 19 investments, and 16 billion baht spent on extra plots of land in preparation for this year’s projects, which exceeded its 12 billion baht budget by 30%.
“Despite many challenges, including the pandemic, a higher inflation rate and cost of development, housing demand remains strong, particularly for low-rise houses. … The condo market is gradually picking up, but will not be hot as the past.”
This year AP Thailand plans to develop 55 new low-rise housing projects totaling 60.8 billion baht, including 26 single detached house projects worth 35.6 billion baht. It’s also planning 5 low rise projects planned for the provinces of Chachoengsao, Udon Thani and Ubon Ratchathani at an estimated cost of 4.2 billion baht, along with 5 apartment complexes totaling 13 billion baht.
The company plans to develop 29 townhouse projects across the country totaling 25.2 billion baht. It intends to debut 20 new residential designs under 6 property brands for the townhouse market, as it hopes to attract younger consumers with single detached house properties starting from 3 million baht.
2022 marks year 9 of AP Thailand’s partnership with Japanese company Mitsubishi Estate to develop 3 high rise condominium projects in the Bangkok neighborhoods of On Nut, Lad Phrao and Rama IV at a total cost of 10 billion baht. By the end of the year, the company hopes to make 50 billion baht in pre-sales and 47 billion in revenue, a significant increase from last year’s 35 billion baht, much to the delight of investors.
SOURCE: Bangkok Post
