Riverside condo to be launched
Nirvana Daii Plc (NVD), an MAI-listed residential developer and homebuilding firm, is due to launch luxury condominium project Banyan Tree Residences Riverside Bangkok next weekend, aiming to have 50% sold by the end of the year.
Chief executive Sornsak Somwattan said the 6.5-billion-baht condo project sold 36 units worth 1.2 billion at a soft launch in Thailand and a roadshow in Hong Kong.
“With a limited supply of luxury condos on the bank of the Chao Phraya River, we expect to have half of total units sold before year-end,” he said yesterday.
To be launched on Nov 18, the project is on a plot of over five rai by the Chao Phraya River in Khlong San area. The 45-storey building comprises 133 units from 69.4-837 square metres priced 22-300 million baht.
According to property consultant CBRE Thailand, condominium supply by the Chao Phraya River in all grades had an average sales rate of 75.7%, one of the best performances.
CBRE managing director Aliwassa Pathnadabutr said there are only three condominium projects with 634 units by the Chao Phraya River, priced 300,000 baht per square metre on average.
As riverfront plots for available for development are very rare, the riverside condo supply launched each year is minimal, comprising less than 15% of the total supply launched in Bangkok.
“Due to limited supply, riverside condos are popular among investment buyers as there is opportunity to gain from a rise in unit prices,” she said.
As of the third quarter this year, the average price of riverside condos was 319,444 baht per sq m, while that of high-end condos in the market was 269,211 baht. This was because the new supply launched in riverfront locations was under hotel brands.
Mr Sornsak said international hotel chain Banyan Tree will manage the project for 10 years. The company expects to have 50% of units sold by the end of the year and will freeze sales activity when it reaches 70%.
During the first 10 months, NVD posted 3.2 billion baht in presales and expects to have 4 billion baht by the end of the year, up from 1.7 billion baht last year.
In 2018, it will launch at least two new projects worth a combined 6 billion baht — a condo project on Rattanathibet Road and a townhouse project on new SrinakarinRom Klao intersection.
NVD shares closed yesterday on the Stock Exchange of Thailand at 4.82 baht, unchanged, in trade worth 3.72 million baht.