SC Asset launching 9 residential projects

By Somluck Srimalee The Nation

Published on August 12, 2010 

SC Asset Corporation, a property arm of the Shinawatra family, plans to launch nine new residential projects worth Bt8.5 billion in the second half of this year after delaying their launch from the first half.

The new projects will boost the company's total revenue to the targeted Bt6 billion by the end of the year after recording revenue of Bt2.65 billion in the first half, the company's chief operating officer, Flight Lieutenant Kree Dejchai, told a press conference yesterday.

The company has a backlog of Bt1.9 billion that will transfer to customer booking and account for the company's revenue in the fourth quarter.

In the second quarter, SC Asset Corp recorded total revenue Bt1.22 billion, comprising Bt991 million from sales of residential projects and Bt229 mil?lion from rental income, and net profit of Bt188 million. That boosted its total revenue to Bt2.65 billion and net profit to Bt478 million, or up 56 per cent and 69 per cent respectively from the same period last year.

Four of nine projects being launched in the second half will be lowrise residential projects priced between Bt5 million and Bt100 million per unit.

They are Life Bangkok Boulevard Ring RoadOnnut worth Bt900 million, Grand Bangkok Boulevard SathornRatchaphruek worth Bt1.2 billion, Grand Bangkok Boulevard Vibhavadi worth Bt550 million, and a new brand that focuses on the superluxury market in the Pinklao area worth Bt2 billion.

Three of the projects are condominiums with starting prices between Bt90,000 and Bt130,000 per square metre. They are on Soi Phaholyothin 11, Soi Ruam Rudee, and the RatchadaSuthisan area.

The remaining two projects are townhouses: Life Bangkok Boulevard Ramindra 23 worth Bt1.1 billion, and Vista 180 (OneEightO) Ratchavipha worth Bt450 million.

Kree said the company had continued to focus on the middle toupper income market by launching residential proj?ects priced up to Bt5 million per unit.

The company has retained its investment plan to buy undeveloped land worth Bt3 billion this year, Bt1.5 billion of which will be spent in the second half.

The company has 400 rai (64 hectares) of undeveloped land on hand, enough to develop residential projects until 2012, chief financial officer Attapol Sariddipuntawat said.

"We still have cash and a project loan from the bank, so we don't need to issue a debenture at this time," he said.

Yesterday, the company's share price closed at Bt13.8 per share, up Bt0.10.