Noble Development plans to increase its low-rise project portfolio

Bangkok, 19 August 2021 – Despite the challenges brought about by the COVID-19 pandemic, Noble Development still saw an increase in revenue in the 2Q 2021. The company also plans to develop more housing projects, including low-rise condominiums.

Thongchai Busrapan, First Vice Chairman and Co-CEO of Noble Development Plc, revealed that the company recorded a total revenue of THB4,915 million in the first half of 2021, rising 22 per cent year-on-year and net profit of THB786 million, a 10 per cent year-on-year. Contributing to the rise was the recognition of revenue from the ownership transfers of completed condominium and housing projects from local and overseas transfer, both from backlog and pre-sales from ready to move projects.

Thongchai added that the company will continue to develop housing projects, including low-rise condominiums (no higher than eight-storey) to diversify its product portfolio for a wider coverage. These projects will help the company to have a faster revenue recognition as they require a shorter construction period.

The company plans to increase the proportion of low-rise projects to be 30 per cent of the portfolio, from the current 10 per cent. As a result, the company has more than 10 housing and condominium projects ready to launch, and intends to develop more in several areas such as Don Muang Road, Ekkamai Ram Inthra Road, Ratchaphruek Road and Srinakarin Road.

“We see opportunities to acquire land plots for more horizontal developments as the COVID-19 situation makes landowners sell their land at more reasonable price,” Thongchai said.

Although construction outlooks seem positive for some companies in Thailand, projected pre-sales which were set at the beginning of this year may change due to challenges caused by the COVID-19 situation. However, they still carry on other relevant development process such as applying for relevant permits while waiting for better sentiment that is expected to be from 4Q 2021.

– Construction+ Online

Source: Noble Development