“Property Perfect” and “Grand Asset” unveil their business plans for 2020. Last year, Property Perfect reported its highest profit in 16 years, and this year aims for sales of 18 billion baht, moving forward with joint venture projects and launching 12 new horizontal projects, installing PM 2.5 dust protection systems in single houses across all brands and price ranges. Meanwhile, Grand Asset aims for sales of 3 billion baht and is preparing to pre-sell luxury villas in Rayong. The hotel business benefited from tourism stimulus measures last year, boosting revenue growth.

 

        Mr. Chaiyanit Atthayanasukul, CEO of Property Perfect Public Company Limited, revealed that despite various factors impacting the real estate business last year, the company still performed well, achieving record profits in 2019. For this year's plans, the company will continue to strengthen its group through profitability and debt reduction while maintaining growth rates from regular operations and joint ventures with international partners. There are long-term development plans in collaboration with Hongkong Land for the “Lake Legend” high-end single house project, launching two projects this year with a total value of 13.5 billion baht.

          In collaboration with Sumitomo Forestry, in addition to the Hyde Heritage Thonglor condominium project valued at 6 billion baht, this year they will jointly develop two single house projects in the new Ratchaphruek area worth 3.9 billion baht. In the joint venture with Sekisui Chemical, last year they collaborated in four locations, and this year will expand to one more location, totaling 3.1 billion baht. Overall, the group's joint ventures are currently valued at 26.5 billion baht, which is one way to strengthen the group. Last year, the company also succeeded with the “You Kiroro” condominium project in Japan, generating 1.7 billion baht in revenue, with total sales of 2.6 billion baht or 70% of all units, and it is expected to continue receiving good responses, with ownership transfers expected to close this year.

 

 

      Mr. Wongsakorn Prasithwipat, Managing Director of Property Perfect Public Company Limited stated that the operational plan for 2020 targets sales of 18 billion baht, divided into 10 billion baht for horizontal projects, 1.5 billion baht for joint ventures, 4.5 billion baht for domestic condominiums, and 2 billion baht for condominiums in Japan. Additionally, there are plans to launch 12 new projects worth a total of 18.56 billion baht, including 10 single house projects valued at 17.11 billion baht and 2 townhouse projects worth 1.45 billion baht.

 

 

 

 

 

        All new projects will be horizontal developments as this market continues to grow. The company will not launch new condominium projects due to last year's slowdown in the condominium market, leaving a significant supply remaining. The company is also developing products to better meet customer demands, including homes designed to “protect against PM2.5 dust”, as it believes that PM2.5 dust issues will persist. In addition to utilizing technology from Japan in homes developed in collaboration with Sekisui Chemical, it is also partnering with SCG to be the first to develop air filtration systems to combat PM2.5 dust, integrated with ventilation systems, installed in single house projects across all brands and price ranges. The company is also collaborating with Daikin to install PM2.5 dust-filtering air conditioning units in the Perfect Masterpiece, Lake Legend, Perfect Place, and Perfect Park projects. This year, it will also enhance the environment by planting 5,000 large trees in various projects and installing solar panels to generate clean energy for offices and clubhouses. Additionally, 26 new house designs will be introduced across all price ranges to provide more options for customers and help drive sales of horizontal projects.

 

 

       As for Grand Asset’s operational plan in the real estate business this year targets sales of 3 billion baht, comprising 2.5 billion baht for condominium projects and 500 million baht for villa projects in Rayong. The first phase of pre-sales is scheduled for the second quarter, featuring 103 luxury villas valued at 2.307 billion baht. The target market will include both domestic and international buyers, supporting the anticipated growth in Rayong from the Eastern Economic Corridor, the high-speed train connecting three airports, and the development of U-Tapao Airport.

 

          In the hotel business, last year benefited from government tourism stimulus measures, leading to revenue growth from increased domestic tourism. Last year also saw the full-year operation of the Hyatt Regency Sukhumvit hotel, resulting in a 47.7% revenue growth in 2019. However, the first quarter of this year has seen significant impacts from the virus outbreak on the international tourist market, especially for hotels primarily serving Chinese customers and the MICE business. Additionally, the company plans to renovate the Royal Orchid Sheraton Hotel, which is expected to reduce revenue forecasts for this year. It is anticipated that the domestic hotel business will generate 2 billion baht in revenue this year, a decrease of 22.1% compared to 2019.

As for this year's revenue, the total revenue of the group is expected to continue growing, with total revenue estimated at 22 billion baht, an increase of 6.3% compared to the previous year. This includes 16.4 billion baht from the real estate business, with 15.4 billion baht from Property Perfect, including projects in Japan, and 1 billion baht from Grand Asset.

Additionally, there will be 3.3 billion baht in revenue from the hotel business, with 2 billion baht from domestic hotels and 1.3 billion baht from hotels in Japan. Furthermore, there will be 2 billion baht from land sales and investments and 300 million baht from leasing businesses.