SET-listed developer Central Pattana (CPN) has prepared land plots for 50 residential developments to launch from 2024 to 2026, aiming to generate a combined revenue of 24 billion baht in those years.
President and chief executive Wallaya Chirathivat said all of the plots are located either adjacent to or in proximity to the company’s existing or new shopping complexes it plans to develop.
“Since we entered the residential development business in 2016, covering 18 major and secondary provinces nationwide totalling 35 projects now, our ecosystem under the concept of retail-led mixed-use development has become very comprehensive,” she said.
It comprises core business–retail including Central, Robinson and restaurants under Central Restaurants Group; office space for rent such as CentralWorld Offices, G Tower and the 9 Tower; and hotels under Centara, Centara One and Go Hotel brands.
At present, CPN’s business has seven brands: Escent and Phyll for condos close to and near department stores, respectively; Escent Town and Escent Avenue for townhouses; and Baan Niyham, Baan Ninya and Baan Nirati for single detached houses.
CPN plans to launch Baan Nirada, a new brand for single detached houses priced between 20-30 million baht, in three locations comprising Rama II, Utthayan Aksa and Ekkachai Wongwaen, worth a combined 4 billion baht, in the fourth quarter of 2023.
“As we have insights into the behaviour of domestic demand nationwide from our retail business, many condo projects we launched during the past six years received a positive response,” said Kree Dejchai, the company’s president for residential business.
Of the 35 projects in 18 provinces, 12 have sold out. CPN secured land plots for 50 new projects to be launched during 2024-26 and expects to have 6 billion baht, 8 billion baht and 10 billion baht in residential revenue in 2024-26, respectively.
During the first eight months of 2023, the company recorded 4 billion baht in revenue from residential development business and aims to have 5.5 billion baht by the end of the year, up from 3 billion baht in 2022.
“We are studying the serviced apartment business because some of the land plots are very rare,” Mr Kree said. “The trend among the new generations also pivots to renting rather than home ownership.”
From Sept 14-17, the company is holding a sales event at Central Court on the first floor of CentralWorld, where 18 projects from across the country are being introduced.
It expects to generate 250 million baht in sales from the event and an additional 500 million baht from sites nationwide.