Supalai pumping in THB50 billion as part of major expansion plan

Supalai's latest overseas expansion plans follow a decade of success in Australia's real estate development, ensuring the company's continued growth in this market.

Speaking at a media briefing, Prateep said that 2024 would be the year of Supalai's domestic and international market expansion as residential demand improves in tandem with the falling cycle of interest rates and the reduction of loan rejection rates.

"This year will be the company's largest investment in 35 years, with a total investment value of 50 billion baht," he said, adding that the majority of the new launches in 29 provinces nationwide would be housing, with only 24% being condominiums.

Prateep Tangmatitham

As for the investment plan in Australia, he said that there would be a total of 12 new projects in six major cities: Perth, Brisbane, Sydney, Wellington, Melbourne, and Geelong across four states: Western Australia, Queensland, New South Wales and Victoria. Housing accounts for the vast majority of development projects.

"We first invested in Australia 10 years ago. All of the development was done in collaboration with local companies, and we were able to generate good returns. As a result, when opportunities arise, we do not hesitate to take action," Prateep explained.

Supalai will add new funds of approximately 12.6 billion baht to develop the new projects, he added.

According to its strategic plan, Supalai will have 24 projects under its management by the end of this year, half of which will be new ones that the company plans to launch this year. The project value in proportion to Supalai will be 8 billion Australian dollars, or more than 187 billion baht.

"The profit of some of these new projects will be realised this year as they were developed last year," he said.

Meanwhile, he revealed that the new project development would continue the collaboration with a leading local company, Stockland Communities Partnership HoldCo, to form a joint venture firm called SSRCP HoldCo.

Supalai managing director Tritecha Tangmatitham said that Supalai's business plans for this year aimed to set a new record in terms of new project launches, presales, and project transfer rates.

(from left) Tritecha Tangmatitham and Prateep Tangmatitham

He said the company would launch 42 new projects across the country with a total value of 50 billion baht, a 69% increase year on year.

"Our sales target is 36 billion baht with total revenue at 36 billion baht and 8 billion baht to buy new land," he said.

Given that Thailand's property market has already bottomed out, he believes that 2024 is an ideal time to expand.

Last year, despite all of the uncertainties associated with high inflation and interest rates, the company maintained its strong growth by increasing presales to more than 28 billion baht.