Chewathai to Launch 7 New Property Projects in Thailand
Chewathai, a listed Thai real estate firm, is planning to revise its revenue goals for 2019. The firm will reduce its target to 1.6 billion baht from the original 2.8 billion. The decision came following a decrease in demand for residential projects during the first 6 months of 2019. Boon Choon Kiet, Chewathai’s managing director, announced the firm’s change of plans recently.
Change of Revenue Target
According to Mr Boon, in the first 2 quarters of 2019, Chewathai earned 618.65 million baht in revenue, which was lower than estimated. There has been high competition in the property market of Thailand, thereby affecting the company’s projected revenue. In summary fashion, Mr Boon narrowed down the main factors behind slow revenue growth. Firstly, there is a drop in demand for residential property in Thailand. Secondly, local commercial banks are implementing stricter loan policies, making it difficult for property buyers to expand their property portfolio.
New Thailand Property Projects
Regardless of changing public sentiments and unforeseeable economic factions, Chewathai will proceed to launch seven new residential projects. Mr Boon said that the combined worth of the aforementioned projects is approximately 7.2 billion baht. We can expect two of these projects to officially launch in the third quarter of 2019. Their combined value will be around 2.64 billion baht. In the last quarter of 2019, the remaining five projects (collective worth of 4.78 billion baht) will be open to the public.
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