ORI Hits Target, Achieves Sales of 25.6 Billion in 2020

Continuing to Adjust Strategies to Face the Real Estate Challenges of 2021

"Origin" achieved pre-sales of 25.6 billion baht in 2020, exceeding the target of 21.5 billion baht, despite the overall real estate market conditions.

Key to our success has been our continuous adaptation both before and after COVID-19, such as increasing our share in the housing development sector, maintaining our condominium business, and analyzing and adjusting strategies to target demand effectively. This has led to significant sales in the Ready to Move segment, particularly with the new project KnightsBridge Space Rama 4, which has already achieved 98% sales. We anticipate that the new wave of COVID-19 may pressure the market in the short term but will not affect the overall picture for 2021, as the real estate sector has gained strong experience and the vaccine will be a game changer. We are committed to planning and adapting continuously to meet every challenge.

Mr. Pirapong Jarunek, CEO of Origin Property Public Company Limited (ORI), a comprehensive real estate developer, stated that the company's overall sales (presales) for 2020 were approximately 25.6 billion baht, exceeding the target set for this year of 21.5 billion baht, despite the overall market conditions.

“The key to our business success now is adaptability. Our continuous adjustments before and after COVID-19 have made 2020 a standout year for our Ready to Move segment, accounting for about 65% of total sales. At the same time, our company's strengths in market analysis and selecting potential locations and segments have allowed us to identify real demand and develop quality products that meet consumer needs, leading to consistent sales in newly launched projects, resulting in our total sales for 2020 exceeding our targets,” Mr. Pirapong said.

Origin Property has continuously adapted in various ways since before COVID-19, such as increasing the proportion of housing development projects under Britannia Company Limited, launching new housing brands in various segments, including the 2-5 million baht segment with the Brighton brand, the 7-10 million baht segment with Grand Britannia, and the 25 million baht and above segment with Belgravia, resulting in housing sales accounting for about 25% of total sales in 2020, reaching new customer segments.

Meanwhile, the company has maintained its level of condominium project development close to previous levels but has employed various strategies to broaden market access, such as launching the new brand SOHO Bangkok, the first project in the Ratchada area, to expand its high-end market base. Although it was just launched in late Q4, it has received a positive response with over 60% sales. Collaborating with South Korean partners to develop the KnightsBridge Space Sukhumvit Rama 4 project has also led to 98% sales. The brand The Origin has also adopted new strategies, such as Origin Next Normal, to reduce management costs without affecting product quality, making it easier for consumers to access housing projects.

Projects in the Ready to Move segment have also succeeded through the Everyone Can Sell initiative, which allows over 1,200 Origin employees to become micro-influencers, generating sales by reaching their target audiences. This initiative has contributed about 10% of total sales for the year.

Mr. Pirapong further stated that 2020 was a year of significant adjustment for the economy and real estate due to unprecedented factors and is likely to be the lowest base in many years. In 2021, the new wave of COVID-19 may temporarily pressure the market in early to mid-Q1. While the long-term situation will need to be monitored closely, he believes this will not impact the overall picture for the real estate business, and 2021 will still see growth compared to 2020.

“This year, we have a clear game changer compared to 2020, which is the gradual rollout of vaccines worldwide and the opportunity to reopen the country again. This will have both direct and indirect effects, allowing consumers to regain purchasing power and confidence in spending. At the same time, all sectors in Thailand are alert to the situation and are serious about prevention and problem-solving. Origin and other real estate developers have experience in adapting and facing various challenges throughout the past year. We believe these factors will significantly drive the overall market in 2021 compared to 2020,” Mr. Pirapong said.

Additionally, the real estate business has opportunities to receive other positive factors in 2021, such as being ranked as the number one emerging market by Bloomberg and the Thailand Elite Card policy, which will play a crucial role in boosting interest from markets like Hong Kong, Singapore, and many other countries already interested in purchasing Thai real estate. Origin is also preparing for continuous planning and adaptation to align with all potential factors that may arise in 2021.

For Origin Property Public Company Limited (ORI), it has a diverse business structure comprising: 1. Residential Development Business, developing condominiums and housing projects with 81 projects, such as PARK ORIGIN, The Origin, KnightsBridge, Notting Hill, Kensington, and BRITANIA, with a total project value of over 125 billion baht; 2. Recurring Income Business, such as hotels, serviced apartments, and retail; 3. Service Business, including property management, real estate brokerage, consulting services, and a vision to continuously expand into new business types to become a comprehensive real estate operator.