Plus Property sees opportunity in crafting new business
Villa Management being piloted in Phuket, targeted at foreign clients
Ms. Somsakul Limsuttaphan, Deputy Managing Director for the Business Development and Asset Management Department at Plus Property Co., Ltd., said “Phuket is among the provinces in Thailand with World Class reputation and is receiving governmental sector support under a plan to promote Phuket as a model city or “Smart City”. Phuket is also a real estate market that is appropriate for investing in, as well as in taking up long-term residency and short-term vacations. The current economic circumstances of Phuket province are gaining favorably from a recovery in the tourism industry. Signs point to recovery in demand for both Thai and foreign investors, especially among high-net-worth individuals who have the tendency to invest in property projects because of attractive long-term profits. Many real estate developers have shown interest and launched numerous property projects. Especially noteworthy are pool villa projects in the Choeng Thale area to the west of Phuket province. New supply created in 2023 grew by 96% in the Choeng Thale zone, in comparison with other zones in Phuket. Choeng Thale is considered a prime location that is highly popular, owing to points of attraction in many aspects. To clearly illustrate, the Choeng Thale zone can be likened to the initial parts of Sukhumvit Rd. in Bangkok. It is considered to be a new town district and is a lifestyle hub that contains the complete range of amenities, including a large shopping mall, an international school and a hospital. In the future, several more international schools and large hospitals will open in this area. Additionally, Phuket possesses numerous plans for new infrastructure development projects such as the Mueang Mai-Ko Kaeo-Kathu expressway, the Kathu-Patong expressway, the light rail mass rapid transit system, a large cargo port to accommodate shipping, and an expansion of Phuket airport to accommodate the ever-increasing number of tourists. These development plans have drawn the attention of foreign clients toward the potential that Phuket has. The province is suitable for both short and long-term relocation, with foreigners generally looking for residences for children who are studying or for use as holiday homes. The primary group of clients is made up of Russians and Europeans looking to escape cold weather at home. These clients now make up 50-60% of the entire clientele in Phuket – a remarkable increase over the pre-pandemic share when the ratio was just 15-20%”.
Plus Property is highly knowledgeable about the local scene, with 16 years of presence in Phuket province. PLUS started managing projects in Phuket since:
- 2007 – the brokerage and PLUS Sole Agent businesses were launched for projects in Phuket province.
- 2011 – Undertook sales management work for Sansiri Public Company Limited.
- 2013 – PLUS started offering its “Rental for the Holidays” service, helping owners in Phuket, Pattaya and Hua Hin look after their rental condo, house and villa properties.
- 2022 – The PLUS Sole Agent business started to expand its clientele toward the Luxury Pool Villa segment by managing sales in the Choeng Thale area for local developers as well as for Sansiri Plc.
In entering into sales management for pool villa projects, the team undertook detailed studies of information and found that in the 2022-2023 period, about 1,200 units of supply were created in the pool villa market. This was a 185% increase from 2012. At the same time, demand for purchasing and long-term renting grew by 142% and has a tendency to continue growing. The PLUS team also placed importance in its customer-centric approach, enabling it to have good insights into customers, including the investor type and self-use type of customers. PLUS found that these foreign customers were interested in purchasing a villa in Phuket as a second home and most were not permanently based in Thailand. The team thus realized a new business opportunity and proceeded to craft a new Villa Management business targeting investors who own villas. This was piloted in Phuket as the first location, with 4 types of service offered.
- Property Care Elite looks over the property comprehensively, starting from the employment of housekeepers and security guards, the maintenance of swimming pools and gardens, scheduling maintenance for machinery and equipment according to the appropriate service cycles, and generating income for villa owners by seeking out tenants for the properties. The service fee is charged as a package in accordance with the type of villa.
- Property Care On-Demand oversees the property only on a scope defined by the owner, providing flexibility as the owner only needs to pay for the services that are required.
- Living Solution provides services that make life more convenient and easier. Examples of said services are move-in and move-out assistance, parcel sending and delivery acceptance, and security guard service.
- Immigration service helps reduce complications about the TM30 form for tenants who are foreigners, making the process easy.
In 2024, Plus Property’s brokerage business will be augmented by the new Villa Management activity. This is expected to contribute to the business’s growth rate and enable a 30% growth over the 2023 revenue target. Work will be managed under a tactic based on the concept “Year of Customer : Your Partner in Property Success” where the utmost importance will be placed on understanding the needs of clients. Quality units from many developers, situated in attractive locations throughout Thailand, will be selected and offered. These will include about 10,000 condo, house and pool villa units that clients will be able pick from, so that products that are the best matches for the clients’ requirements may be chosen. Interested potential clients may get more information from the number 02 688 7555 or visit www.plus.co.th
