Eastern Star Real Estate Public Company Limited (ESTAR) has announced its Q1 2024 performance, achieving sales exceeding 510 million baht, a remarkable 75% increase quarter-on-quarter. The company has also unveiled its plans for 2024, focusing on the development of premium single-family homes and townhomes, with the launch of 3 new projects in Rayong and Bangkok, totaling over 1.6 billion baht, aiming for a revenue growth of over 40% by year-end.


Mr. Pairoj Watthanaworodom, Managing Director of Eastern Star Real Estate Public Company Limited (ESTAR), stated that 2023 was a bright year for ESTAR, as the company developed residential projects including condominiums, single-family homes, twin houses, and luxury homes to meet the diverse needs of customers across various segments in high-potential locations in Bangkok and Rayong, which is notable for its industrial estates, international airport at U-Tapao, and dense population, along with various transportation routes.


Last year, the company launched new projects in both horizontal and vertical developments, achieving sales of 1.58 billion baht, surpassing its target with a growth of over 30% compared to the previous year. In Q1 2024, the company also set a new sales record of 510 million baht, a 75% increase compared to Q1 2023, which recorded only 292 million baht. The first quarter's transfer value was 300 million baht, up 21% QoQ, with sales from projects in Bangkok, both high-rise and horizontal, valued at over 400 million baht, and transfer value at 165 million baht. Sales from horizontal projects in Ban Chang, Rayong, amounted to over 109 million baht, with a transfer value of 135 million baht.


“The real estate market in 2024 presents both opportunities and risks. The main factors that could stimulate purchasing power in the real estate sector include a reduction in mortgage interest rates from the government, as well as measures to lower transfer and mortgage fees to 0.01%, which would positively energize the real estate market once again. Nevertheless, ESTAR is moving forward with full force, aiming to launch 3 new projects between Q1 and Q3 2024, with a total value of over 1.6 billion baht. This includes 2 projects in Ban Chang, Rayong: the VELANA HYDE single-family home project at U-Tapao-Ban Chang, valued at 800 million baht with prices starting from 5-9 million baht, and the GRAND VELANA POOL VILLA project in Ban Chang, Rayong, consisting of 6 units valued at 120 million baht with prices starting at 15 million baht. Additionally, there will be 1 project in Bangkok, the ESTON townhome project in Lat Krabang-Suvarnabhumi, valued at 700 million baht with prices starting from 3.29 to 5 million baht, alongside pushing forward a total of 11 projects this year.


The development strategy for this year involves assessing the overall market direction in advance, navigating various factors, such as focusing more on the mid-to-high market segment, which still has continuous demand and purchasing power despite rising interest rates. Furthermore, there is an increased focus on foreign buyers, including those from China, Taiwan, Russia, and Myanmar, who are facing internal conflicts and security issues in their countries. This group of customers remains interested in Thai real estate, as property prices in Thailand are relatively affordable compared to other countries, leading to continued purchases for residence, investment, and even joint ventures in project developments, aligning with ESTAR's 3 new projects set to launch this year:


The VELANA HYDE project at U-Tapao-Ban Chang, Rayong, is a 2-story single-family home project with 128 units, valued at approximately 800 million baht, targeting the mid-high level market. The company builds on the success of the previous Velana Amoda project in the same location, with a Luxury Classic concept reflecting the beauty and perfection of living, inspired by European architecture. Additionally, the GRAND VELANA POOL VILLA project in Ban Chang, Rayong, consists of 6 units valued at over 120 million baht, with starting prices at 15 million baht, designed as luxury resort-style homes for high-level executives working in the Map Ta Phut industrial estate, medical personnel, and business owners, as well as customers in the Ban Chang area, which has high purchasing power and a very low reject rate.


Moreover, the ESTON project in Lat Krabang-Suvarnabhumi, featuring 2-3 story townhomes with 160 units, adopts a British Georgian concept, providing convenient access to all transportation routes near Suvarnabhumi International Airport, with prices starting from 3.29 to 5 million baht. ESTAR aims to develop this project to cater to customers, including employees working in the Suvarnabhumi airport area, Lat Krabang industrial estate, Rama 9, and Srinakarin, who are looking for homes not far from their workplaces and existing residences.


For this year, the company targets overall sales of over 2 billion baht and aims to recognize revenue of over 1.7 billion baht. Currently, the company has pending revenue recognition for condominium projects in central Bangkok, totaling over 600 million baht, Mr. Pairoj concluded.