Bangkok: Bangkok Commercial Asset Management Public Company Limited (BAM) has collaborated with V Beyond Development Public Company Limited (VBeyond) to propel the NPA management strategy through a business model termed 'Fast Turnover, Profit Sharing.' This initiative aims to maximize business benefits, enhance income opportunities, and foster sustainable growth. The initial project, 'Baan Sang Tua,' will offer 7,000 units priced at no more than 3 million baht, with installments beginning at a few thousand baht, available for purchase this July.
According to Thai News Agency, Dr. Rak Vorakitpokatorn, CEO of BAM, stated that the company is prepared to advance the NPA Partnership strategy, a crucial approach aimed at business expansion and income enhancement through collaboration with potential partners like real estate companies and financial institutions. BAM's strategy involves selecting and presenting Big Lots-sized NPA assets for partners to enhance and add value to, transforming 'abandoned properties' into 'profit-making assets.' This approach is intended to turn them into revenue-generating assets for BAM, reduce holding periods, and achieve higher returns in the long run.
The partnership with VBeyond exemplifies the success of the NPA Partnership strategy. Both organizations will employ the FIX and FLIP approach, a buy-repair-sell strategy, to refurbish and ready the assets for sale, promoting growth in the second-hand property market. This collaboration marks a significant step in enhancing business capabilities and advancing sustainable growth for BAM.
Currently, BAM manages over 24,000 properties with an appraised value exceeding 74 billion baht nationwide. This includes vacant land, single-detached houses, townhouses, commercial buildings, condominiums, and apartments. VBeyond is particularly interested in single-detached houses and townhouses, with BAM holding 8,310 single-detached houses appraised at 25,001 million baht, 4,667 townhouses appraised at 7,565 million baht, and 4,787 condominiums appraised at 4,265 million baht.
In collaboration with VBeyond, the initiative supports optimal use of existing assets to benefit communities by offering access to quality housing at reasonable and affordable prices, contributing to sustainable economic and real estate market growth. The project, 'Baan Sang Tua,' represents a strategic move towards this goal.
Dr. Worawut Rukphan, CEO of VBeyond, emphasized that VBeyond will select foreclosed properties from BAM to renovate under the project 'Baan Sang Tua.' The project aims to make new or second-hand houses ready for occupancy by incorporating modern innovations and technologies, such as smart home systems, solar cells, and electric vehicle charging systems. This project will provide Thais with an option to access quality homes at an affordable price, with installment plans beginning at a few thousand baht per month and a maximum credit limit of 110% of the collateral. The project will commence in Bangkok and its vicinity, eventually expanding nationwide. Initial sales will target government officials and salaried employees, with plans to reach the broader public in subsequent phases. This presents a valuable opportunity for first-time homebuyers aiming for a stable life and true homeownership amidst rising property prices, while also playing a role in sustaining economic and real estate market growth.