The heat in industrial estates from moving foreign production bases to Thailand to reduce risks has become 'Opportunity' of the condo market in industrial estates. Recently, L.P.N. launched a low-rise condo brand 'Earn' worth 2,124 million to support hidden labor, support increased demand for buying and renting as well as investors.

Praphansak Rakchaiwan Managing Director Said that from research by Lumpini Wisdom and Solution Co., Ltd., it was found that the real estate market in the Eastern Economic Corridor (EEC) area had many developers launching projects over a period of 5 years. In the past, by the beginning of March, the past There are a number of housing projects launched. and is in the process of being sold in the areas of Bang Pakong, Chachoengsao Province, Amata City Chonburi, Mueang Chonburi District, and Sri Racha - Laem Chabang District, Chonburi Province, totaling 9,495 units, valued at 35,000 million baht.

From the survey results, it was found that there is a group of buyers who have purchasing power in this location. It is both a group of investors and employees working in the industrial estate area. with an average income of 20,000 - 50,000 baht per month, it is also found that each year There are 100,000 hidden workers entering the Chonburi Industrial Estate, with approximately 10% or 10,000 people staying in the Amata Industrial Estate.

While buying for investment, the average return is 5-6%, with the average rental fee being 3,500-9,000 baht per unit for a 26-30 sq m unit with the demand for housing for rent in the EEC location. High rental rates for apartments and serviced apartments average 80-90%, reflecting the demand for housing. Therefore, it is an opportunity for investors to buy for investment and rent out.

Opas Sripayak Chief Executive Officer and Managing Director of L.P.N. Development Public Company Limited or LPN said that based on this trend, the company has developed the Earn by L.P.N. project worth 2,124 million baht. New generation group aged 25-30 years who want to live in the Amata Nakorn Industrial Estate area. which can meet the needs in terms of work and living Including a group of new investors who started investing in the form of real estate and support groups of customers who come to work in the estate has a ratio of 50:50

By bringing the investment model of the Lumpini Township Rangsit Klong 1 project to provide services to investors as a package for renting and renting in the Earn by L.P.N. project near Amata City Industrial Estate. On an area of more than 20 rai, it consists of 6 8-storey residential buildings, 1 6-storey building with a total of 1,810 units, consisting of 3 types of residential units, 1,796 units divided into studio, 1 bedroom. and 1 bedroom plus, starting size 24- 36 sq. m. and 14 units of retail space, starting price 1.1- 1.69 million baht, project value 2,124 million baht, which is scheduled to be completed in November 2024.

“In the past VVIP cycle, sales were 100 million baht. This September, there will be sales of 200-300 million baht.”

In addition, in 2024, the company plans to open a project in Ayutthaya province, along with breaking up a new brand to support student groups. In a location close to the university to expand the customer base. who want to invest and rent out In addition to locations in various industrial estates, this is due to the group of investors. It is a group with purchasing power. Therefore, there is no problem of being denied credit, just having to develop projects in locations with potential for renting.

Opas said that this year The company still maintains a sales target of 13,000 million baht, which in the past 8 months has achieved sales of 7,000 million baht, more than 50% of the yearly target.

However, during the rest of this year, there are plans to launch 12 new projects, 10 of which are low-rise projects and 2 condominium projects. The transfer of ownership this year is set to be 7,000 million baht. As of June 30, there are pending sales. Transfers (Backlog) 2,750 million baht come from condo projects in the amount of 2,360 million baht, representing 85%, and from low-rise projects in the amount of 390 million baht, representing 15% of all sales awaiting transfers, which will gradually be recognized in 2023 and 2024

“The overall economy in the second half of the year should improve. After the government was established The urgent problems that should be addressed first are: 1. Tourism which is easy, fast and effective immediately 2. export sector and 3. real estate sector because it is a big engine to drive the economy which various measures Should start to see from October or November onwards, ”said Opas.

Source:https://www.bangkokbiznews.com/property/1086407

Date 1/09/2023