Harrison to sell used homes

Business News - Tuesday December 11, 2007

PROPERTY / BROKERAGE SERVICES

Harrison to sell used homes

KANANA KATHARANGSIPORN

The property brokerage firm Harrison Plc plans to shift focus to second-hand homes and tourist destinations in 2008 due to good potential in the segments, according to chief executive officer Alan Lin.

The company next year plans to manage sales of more projects in Pattaya, Phuket, Samui, Chiang Mai and Hua Hin, where many resorts, condominiums and hotels are likely to be launched.

Each year it manages sales of residential property amounting to between 20 and 30 projects. In 2008, the number of projects for sales management will rise by 20% from this year, Mr Lin said.

The company has a goal to handle transactions worth 10 billion baht in 2008, up from seven billion baht this year. Currently, it charges 2% of the project value as a commission.

In 2008, it will also expand to manage sales of second-hand condominium units as the condominium resale market will grow, he said.

''Condominium sales have many speculators as investors want high capital gains from investments in condominium units. Some speculators have tried to boost the sales price by more than 20-25% which is overpriced,'' said Mr Lin.

Currently, the company has 3,000 buyers in its database. It is selling 7,000 to 8,000 units from 20 projects worth around 15-20 billion baht. Most of them are condominiums.

It is also managing sales of more lower-priced units with prices of around 1.5 million baht each as demand shifts to the lower-end segment. The company this year also acted as a land broker for big developers, including L.P.N. Development, Raimon Land and Eastern Star.

Mr Lin also said the company's stock market listing plan would be postponed for another year as the current market outlook does not support an initial public offering.

By : Bangkok Post