Real Asset Moves Forward with Business
Emphasizing the Vision “BELIEVING A BETTER YOU IS POSSIBLE”
to Transform the Active Wellness Brand, Targeting 5-Year Revenue Growth to Reach 4 Billion Baht

 

Real Asset is advancing its real estate business in 2021, focusing on the real demand segment by launching 4 new projects worth a total of 4.66 billion baht. The company is transforming into a mixed business model for the next phase of growth, emphasizing the vision “BELIEVING A BETTER YOU IS POSSIBLE.” We believe that everyone can truly improve and will pass on positive energy to the community to improve as well. The target is to achieve revenue growth over 5 years, reaching 4 billion baht, aligning with the mission to transform ordinary experiences into joyful ones through good health and a vibrant life, “TO TRANSFORM THE LIFELESSNESS” with a sales target of 2.35 billion baht, growing by 15%, focusing on sustainability in life. This will be supported by 5 key pillars that will be implemented in the projects, along with the unveiling of the new condominium project The STAGE Mindscape Ratchada-Huai Khwang (เดอะ สเตจ มายด์สเคป รัชดา-ห้วยขวาง) under the definition of “This is your place” starting at a price of 2.59 million baht, with online booking opening on February 18, 2021.

 

Mr. Bodinthorn Jeungruangkit, CEO of Real Asset Development Co., Ltd. revealed that the COVID-19 pandemic in 2020 led to a decrease in the launch of new projects compared to 2019, prompting operators to adjust their business plans and postpone new project launches, especially high-rise projects or condominiums. This resulted in a reduction of unsold inventory in the real estate sector since Q2 2020, along with a significant decrease in foreign customer groups due to travel restrictions into Thailand. Additionally, investors have increased their criteria for investment consideration or delayed investments to wait for clarity in the situation, resulting in a stagnant real estate market. These impacts continued into early 2021, prompting the company to consider cautious operations to align with the current situation, reviewing monthly plans and maintaining cash flow to ensure business stability. To date, the company has developed a total of 21 projects worth 30.5 billion baht, with 12 projects currently for sale and set to launch this year, totaling 8 billion baht.

Regarding the outlook for 2021, the company remains confident in the locations and products of the projects to be launched this year, focusing primarily on the real demand customer base. The company aims to conduct market research to study data and behaviors of customer groups to ensure that products meet their needs as closely as possible, emphasizing pricing strategies as a selling point. Given the current mindset and behaviors of customers, there is a demand for value at affordable prices. The company plans to develop 4 new projects this year, totaling 4.66 billion baht, which includes 3 horizontal projects worth a total of 2.51 billion baht: (1) Stories Bangna - Suvarnabhumi (2) Stories Rangsit - Ring Road (3) Viranya Bangna - Ring Road and 1 condominium project, “The STAGE Mindscape Ratchada - Huai Khwang” (THE STAGE Mindscape Ratchada – Huai Khwang) valued at 2.15 billion baht.

Additionally, there are projects taken over from Areeya Property Public Company Limited under the brand “MEGA Space 1&2”, which consists of 2 high-rise buildings totaling 2,329 units, with a project value of 4.3 billion baht.

It is expected that in 2021, the company will achieve sales of 2.35 billion baht, growing by 15% from the previous year, which had sales of 2.05 billion baht. The takeover is anticipated to allow the company to grow significantly, with a target of reaching 4 billion baht in revenue by 2024 and a total backlog of 5.66 billion baht between 2021-2024.

New trends in wellness, IoT, and diverse lifestyles among customers are becoming increasingly popular, prompting organizations to place greater importance on these aspects, leading to brand transformation under the vision “BELIEVING A BETTER YOU IS POSSIBLE.” We believe that everyone can truly improve and will pass on positive energy to those around them and society to improve as well. This will enable the company to transform into a mixed business model between real estate development and Active Well-Being Life Experience, or can be defined as today, REAL ASSET is in the Active Well-Being Life Experience business, reflected through the company's logo symbol, Active Real Icon, which starts from “self” and expands outward to “others” and elevates to “society” with a mission to transform ordinary experiences into those filled with good health and vibrant life, “TO TRANSFORM THE LIFELESSNESS INTO THE ACTIVE WELL-BEING LIFE EXPERIENCE.”

The strategy will be implemented through 5 key pillars of longevity that will be integrated into the company's project development under the project name “NEVERLAND”, which includes ...

-Ever Active  encouraging everyone to exercise or engage in various activities regularly.

-Ever Smile reducing stress and anxiety for residents by ensuring safety and promoting good mental health and a positive outlook.

-Ever Green increasing opportunities for residents to consume natural food free from chemicals and caring more for nature.

-Ever Love creating opportunities for family members to spend more time together, prioritizing the health of adults and children playing at home, as well as neighbors.

-Ever Care providing access to modern medical technology to care for residents' health and check their bodies to reduce the risk of serious illnesses.

 

“This marks an important step in transformation. We are not only focused on developing residences but are also committed to enhancing society, both in terms of living and well-being, both physically and mentally. Today, the issue of Well-Being has become increasingly important, as everyone is paying more attention to health. Therefore, we aim to create a blend of businesses for good living and a good life sustainably.” Mr. Bodinthorn said.

Mr. Natthaporn Klunruengsaeng, Deputy CEO of Business Strategy at Real Asset Development Co., Ltd. stated that the company is committed to developing condominium projects to cover all segments of diverse customer groups.

The company has already developed brands including “THE STAGE” for the Main Class customer segment, “LAVIQ” for the Super Luxury segment, and “AESTIQ” for the Ultimate Luxury segment, while continuing to expand project development into new locations in Community areas that are easily accessible, as well as community sources that are well-equipped for consumption and use, along with extending the brand THE STAGE to the new brand “THE STAGE Mindscape” with new projects in the Ratchada-Huai Khwang area.

Mr. Natthaporn added, “We have chosen to establish new projects in the Ratchada-Huai Khwang area under the name THE STAGE Mindscape Ratchada – Huai Khwang which is a new location for expanding project development. The Ratchada-Huai Khwang area is well-equipped for living and lifestyle sources, and the demand in the area remains high for housing, with convenient access close to the MRT Huai Khwang station, just 250 meters away, surrounded by job sources and the New CBD area. It represents a diverse living environment from day to night. We have spent considerable time studying this land and gathering consumer behavior data to ensure that the THE STAGE Mindscape Ratchada – Huai Khwang project truly meets consumer needs through thoughtful design and functionality that caters to relaxation before stepping out into the world. The THE STAGE Mindscape Ratchada – Huai Khwang will be a condominium where you can trust to be yourself, stepping away from the roles and burdens of daily life to recharge your happiness in your own unique way.”

The THE STAGE Mindscape Ratchada – Huai Khwang project consists of 1 building on a 2-0-68 rai plot with 477 units, valued at 2.15 billion baht, providing parking for 46%. It is developed under a concept that, while appearing simple, conceals a variety of emotions within, designed to accommodate new lifestyle patterns, reflecting confidence without ostentation, allowing you to relax in a space that is truly yours without the need to compare your happiness with others. Because “this is your place,” just 250 meters away from the MRT Huai Khwang station, featuring 1 Bedroom units sized 26-35 square meters, 1 Bedroom (T) units sized 31-41 square meters, and 2 Bedroom units sized 45-60 square meters, starting at 2.59 million baht, with online booking opening on February 18, 2021. For more information about the project, call 1232.

 

Mr. Weerachai Harnjariyakul, Director of Strategy for Housing and Commercial Buildings at Real Asset Development Co., Ltd., revealed that in 2020, there was a significant increase in demand for homes in suburban areas due to behavioral changes since the lockdown. The work-from-home trend has led people to seek homes with private spaces and work areas. It is anticipated that in 2021, the horizontal housing market will continue to grow well, especially for single-family homes and townhomes, but caution is needed regarding purchasing power, which may not recover strongly, as reflected in the ongoing high household debt. Projects must act as financial advisors to customers. Furthermore, project development must focus on value, paying attention to changing lifestyles and creating living environments that promote good hygiene for a sustainable society.

This year, the company will launch a total of 3 new projects, including:

1. Stories Bangna - Suvarnabhumi on a 15-3-22 rai plot, developed as 2-story townhomes with 187 units, average price of
3.21 million baht, project value 600 million baht.

2. Stories Rangsit - Ring Road on a 16-2-42 rai plot, developed as 2-story townhomes with 233 units, average price of
1.99 million baht, project value 462.6 million baht.

3. Viranya Bangna - Suvarnabhumi on a 42-1-73.5 rai plot, developed as 2-story twin houses and 2-story single-family homes
with 207 units, average price of 7.34 million baht, project value 1.497 billion baht.

“The company has grown from developing horizontal projects and remains committed to continuing to meet the needs of customers at all price levels. Not only do we develop projects, but we also incorporate the care for living into our efforts to enhance lives, promoting health and well-being to create a true turning point towards sustainability, as we believe that everyone can improve and will pass on positive energy to society as well,” Mr. Weerachai stated.