Prime Nature Group Co Ltd plans to develop a low-rise condominium and 23 pool villas worth a combined 800 million baht to tap strong demand in Hua Hin, according to chairwoman Sunattee Nerngchamnong.
She said the Hua Hin resort market had changed from drawing mainly Thais to more foreigners from Europe who are now investing in, developing and buying property, largely on hillsides.
"Some foreign investors have developed residential projects and sold or rented out units to their nationals during their winter season," she said.
"Though the political situation is a concern among Thais, higher inflation rates will make the property market more attractive for investment."
Prime Nature will begin development of two six-storey buildings for a condominium project worth 500 million baht on the site of its Prime Nature Villa Hua Hin in a few months. Construction would be completed by the end of the year and units would be transferred in April next year.
The project will have 72 fully-furnished units sized from 100 to 250 square metres and priced from seven million to 25 million baht or 70,000 to 110,000 baht per square metre. Half of the units are sold and they expect to be sold out by year-end.
The company will also develop 23 pool villas worth 300 million baht by the end of the year and sell them on a timeshare basis at unit prices ranging between 10 million and 30 million baht.
Each investor has ownership rights for a 30-day vacation and obtain an annual yield of 8% to 13.62%. A third of the units have been sold, all to Thais.
In Prime Nature Villa Hua Hin where the company has 100 rai, 30 rai would be developed for eight villas on lots of 200 to 400 square wah with prices between 25 million and 85 million baht.
The company also owns the Prime Nature Villa single-housing project covering 300 rai in the Onnuj area of eastern Bangkok. It plans a joint venture with a Thai contractor to develop a seven-rai plot for 12 units with a total investment of 250 million baht.
"We're studying the services sought by Japanese as all units will be rented out to medium- to top-executive Japanese expatriates working for industrial estates along the Eastern Seaboard," Mrs Sunattee said.
The majority share in the new project to be set up in the third quarter will be held by the company, as it wants to maintain the concept and manage sales and marketing. To date, 30 plots of 100 square wah each have been allocated for sale at 70,000 baht per square wah. Bangkok Post.