MAI-listed property developer J.S.P. Property Plc will form a joint venture with China’s Zhongtian Construction Group to develop a mixed-use project worth 15 billion baht in Chon Buri next year.
J.S.P. will own 51% of the joint venture, which will buy two adjacent plots of land with a combined size of 161 rai in tambon Bang Sare of Sattahip district.
Chief executive Tanongsak Manotamraksa said the Chinese partner would pay 1.3 billion baht for the plots, partly funded by the Bank of China.
“Zhongtian is our construction partner in two projects, in Bangkok and Samut Prakan. It has been very interested in property development in Thailand and will draw Chinese buyers to the new project,” he said.
The Chinese contractor, based in Hangzhou, will construct the Chon Buri project, while J.S.P. will provide marketing and management.
The project will take five years to develop. Phase one, to be launched next year, will include 200-300 pool villas priced from 6-10 million baht and 300 shophouses priced from 6.5 million.
Phase two will comprise four high-rise condo buildings with about 2,000 units sized from 35 square metres and priced at 85,000 baht per sq m, a hotel with 600 rooms and an entertainment complex.
After spending 4 billion baht on land acquisition this year, J.S.P. will freeze buying new plots next year, Mr Tanongsak said.
The developer will launch two new projects on a 90-rai plot in Nonthaburi’s Bang Bua Thong district worth 4 billion baht and on a 74-rai plot in Chachoengsao’s Bang Pakong district worth 1.7 billion.
Both will be a mix of shophouses, townhouses, duplex houses and single houses under the JSP City brand.
J.S.P. will spend 30 million baht to expand two prefabrication factories in tambon Bang Pu of Samat Prakan province, giving them a production capacity of 700 townhouses each.
It expects to record 7 billion baht in presales and 5 billion in revenue next year, up from respective targets of 3 billion and 4 billion this year.
It will use a 140-rai site in Rangsit Khlong 1 area to develop 1,216 units of commercial houses, townhouses and duplexes with units priced from 1.59 million baht. Sales value will be 3.4 billion baht.
It will also develop a 210-rai plot in Samut Prakan’s Muang district into 1,748 commercial houses, townhouses and duplexes worth 3.6 billion baht.
JSP shares closed on Thursday on the MAI at 1.44 baht, up four satang, in trade worth 59.8 million baht.