Fully geared up for major business drive through 4 main strategies to further realise “AP World” vision to deliver good quality of life
Set to launch 39 new projects worth up to Bht 56,800 million in total – 5 condominium projects worth Bht 22,400 million, 34 low-rise developments worth Bht 34,400 million
To kick off first quarter with ‘Rhythm Ekkamai Estate’, a city-centre condominium with all the elements of a home, only 2 minutes away from Ekkamai BTS Station
Closing ’18 on a new high with record total revenues of Bht 38,020 million (100%JV) , bucking the trend with 30% overall growth
AP (Thailand) Public Co., Ltd., Thailand’s leading developer of residential properties and innovations, announced its realized revenue turnover for the year 2018 which stood at record Bht 38,020 million (including revenues from 100% JV), bucking the trend with 30% overall growth. The company’s total sales also contrasted the industry outlook at Bht 41,298 million, 104% above projections. Looking forward, the company has announced its business plan for 2019 when it aims for Bht 41,800 million in total sales and Bht 35,900 million in total revenues (including revenues from 100% JV). To reach the targets, the company will aggressively push all the nine brands of properties in its portfolio – a total of 39 projects worth Bht 56,800 million in total. It will also work on the strength of BC and SMART to become the No. 1 property development company which delivers on a corporate promise to build an AP WORLD of good quality of life while making AP truly the most comprehensive property developer with a complete range of products and services to meet every profound need of the market.
Mr. Vittakarn Chandavimol, Chief Corporate Strategy and Creation, AP (Thailand) Public Co., Ltd., said, “Our ‘AP World’ corporate vision calls for us to build a world with quality of life by creating a blueprint complete with an eco-system we develop through diversification into businesses outside real estate. We will continue to move forward with our core business of property development. This year we have laid down a strategy to work on four main business dimensions to strengthen our capability and confidence to ensure that AP’s products and services will serve to realise our vision to deliver good quality of life.”
The 4-dimension strategy to success of AP (Thailand) in 2019 consists of the following:
1. The launch of projects under all the nine brands in every segment to reinforce AP’s position as the company with products to meet all the needs of residents. This year AP plans to launch 39 new projects worth a total of Bht 56,800 million. They include five condominium projects worth Bht 22,400 million (including 3 joint venture projects worth Bht 18,300 million) and 34 low-rise developments worth Bht 34,400 million (of which 19 are townhome projects worth Bht 16,780 million and 15 are single detached house projects worth Bht 17,620 million).
2. The differentiation of products which meet the needs of people in every period of life. In recognition of a variety in family pattern which is different from before, AP has designed and laid out home spaces and common areas in line with the way of life of modern family to support multigenerational living. It concerns three design concepts, namely (1) Space Transformation – every square inch is designed in accordance with actual usage of today and the future (2) Human Connection – creating an eco-system that allows residents of all generations to connect in healthy fashion in AP’s community and surrounding society and (3) Life-long Community – using innovation and technology to design and build to allow AP’s projects to have a basic structure that makes the best use of limited resources and provides sustainable convenience for residents.
3. The collaboration with Mitsubishi Estate Residence (a company in Mitsubishi Estate Group) to elevate the quality of AP’s condominiums on a continued basis using ‘AI BIM’ (Artificial Intelligence Building Information Modeling) – a technology for 7-dimension high-rise building design which increases precision in every work process and whose strength lies in facility management after project delivery. In 2019, AP will use ‘AI BIM’ technology from start to finish in all of its high-rise condominium projects.
4. Working on the strength of BC and SMART to enable AP to be a total solution community developer. This year BC as Thailand’s No. 1 property agent is ready to keep making inroads into secondary cities overseas such as Kunming, Nanjing and Xian in China as well as Osaka and Fukuoka in Japan after it has had a success in major cities such as Hong Kong, Singapore and several other cities in China and Japan. In the third quarter of this year, property management company SMART will launch SMART PLATFORM which will help elevate the quality of life and living experience of more than 55,000 families in more than 200 projects, including those not built by AP.
Revealing the company’s condominium development plan for 2019, Mr. Vittakarn said, “AP is focusing on meeting the needs of urbanites looking for new condominiums at an affordable price, which offers value for money in every segment. This year AP will launch five new condominium worth Bht 22,400 million in total. The projects will come under our Aspire brand and will be built in two locations, namely Sukhumvit-On Nut and Asoke-Ratchada. They will target a working new generation. We also have three projects in our joint venture with Mitsubishi Estate Residence, a company in the Mitsubishi Estate Group. They are valued at Bht 18,300 million and will come under the brands The Address, Rhythm and Life.”
Mr. Vittakarn added that: “The main highlight of the first quarter will be the launch of Rhythm Ekkamai Estate, a condominium project in the upper high-end segment being built in the Ekkamai-Thong Lor location. This project costs over Bht 3,200 million. It will have 303 units. The price will start from Bht 6.5 million (average Bht 210,000 million/sq.m.) What is special about the project is that it will have a new building layout that will deliver a new dimension of high-rise living. The highlight of the project is the 7-floor vertical lobby design – a first time in Thailand to offer a lookout view to an outdoor terrace. The design will include green areas and existing big trees. The total green and facilities areas span over 4,800 square metres. And for the first time ever, the project will offer the sky villa, a special unit with private garden access. We will open for the first special booking at the Vertical Living event to be held on 21-24 March on the first-floor Fashion Hall of Siam Paragon.”
Commenting on the company’s low-rise development plan, Mr. Pamorn Prasertsan, Chief Business Group – Low-rise, AP (Thailand) Public Co., Ltd., said, “In 2018, AP’s low-rise products received unprecedented good response from home-buyers. In particular, our single detached houses grew 80% in revenues. Townhomes under our Baan Klang Muang brand were still No. 1 in the high-end urban townhome segment and they were No. 1 sales generators last year. The reason for the success was our continued use of Design Thinking process over the last few years to find the real important jigsaw as to what is the quality of life that Thai people desire. We have found that a house that is too big with a space that is not really used makes residents feel useless and unworthy. This means that big houses may not the answer for Thai people seeking quality of life in any location. So we have focused on giving single detached houses and townhomes under all AP’s brands flexible space functions so that they can be used today and in the future for a long time.”
“To create trust and meet the needs of residents to the fullest, we design homes to accommodate all those needs focusing on using three design innovations in 2019 Baan Klang Muang and Pleno home models. They will stand out with different architectural design to serve individuality of each family. The functional space inside will be totally different. We will offer space functions for big families with 2-3 generations to live together. Every square inch can be adapted to optimise uses. Green areas will be made a part of every home to increase peaceful comfort.
Residents will not have to spend more time taking care of their homes. All projects are located in city-centre prime locations. They will come with an affordable price package. We plan to launch a 3-floor Baan Klang Muang in the high-end townhome and a 2-floor Pleno premium townhome of the 2019 new models very soon,” said Mr. Pamorn.
“And as for the strengthening of all AP’s single detached house brands such as The Palazzo, The City and Centro to reinforce our No. 1 position as consumer’s brand of choice, apart from offering space innovations which meets the needs of people in every period of life, this year we will use new technologies which have sustainable uses for residents. These include the installation of solar cell roof and water recycle system. We will make them integral to common areas. We will also use more new construction technologies to elevate the quality of our construction,” added Mr. Pamorn.
“In 2019, AP is ready to take the offensive in the low-rise market in all locations as we pursue our commitment to delivering the best quality of life for AP home-buyers. We plan to develop 34 new projects worth around Bht 34,400 million, of which 15 are single detached house projects worth Bht 17,620 million and 19 are townhome projects worth Bht 16,780 million. The low-rise offensive will cover all locations such as Don Muang, Watcharapol, Phaholyothin, Suan Luang, Ratchapruek, Bang Yai, Suan Pak, On Nut, Rama 2, Sai Mai, among others. They are by the main roads with fast multiple connections to short cuts, expressways or large rapid mass transit systems. They will help increase the quality of life for residents by reducing the time spent on travelling,” Mr. Pamorn concluded.
In summary, AP will in 2019 launch 39 new projects worth Bht 56,800 million in total. These are divided into 5 condominium projects worth Bht 22,400 million and 34 low-rise projects worth Bht 34,400 million. Presales are projected at Bht 41,800 million and total revenues are projected at Bht 35,900 million (100% JV). In the first half of the year, AP will launch 21 new projects worth Bht 30,440 million. They are 17 low-rise projects comprising 6 single detached house projects and 11 townhome projects worth a total of Bht 16,840 million; and 4 new condominium projects, namely Aspire Sukhumvit–On Nut worth Bht 1,600 million, Aspire Asoke–Racthada worth Bht 2,500 million, Rhythm Ekkamai Estate worth Bht 3,200 million (joint venture) and Life Sathorn Sierra worth Bht 6,300 million (joint venture project).
The backlog for the period ended 15 February 2019 was valued at Bht 50,025 million, of which low-rise projects account for Bht 7,935 million which is expected to be realised in whole within this year and condominiums account for Bht 42,090 million; of which Bht 2,310 million is for AP’s projects and Bht 39,780 million is for JV projects; which is expected to be realised within this year around Bht 7,569 million and the remainder will be realised through to 2023.
“AP (Thailand) dares to be different to offer Thai people the best quality of life”