Nexus Property Consultants Co saw its sales drop at least 15% last month as a result of political turmoil, but has yet to see an impact from global economic difficulties, said managing director Apisit Limlomwongse.

"Our property sales have dropped by between 15% and 20% since late August when the political crisis was at a critical stage," said Mr Apisit.

But projects under Nexus's management had not been affected by the global financial crisis, largely because around 80% of clients are Thai, he said.

"The property market in Thailand is still strong. Both Thai and foreign clients are mostly rich business owners who are hardly affected by the crisis," he said.

However, he said the credit crunch might discourage banks from approving loans, which could slow the property industry's growth and also help screen the quality of new projects entering the market.

In the first eight months of 2008, Nexus recorded six billion baht worth of sales, up 30% from the same period last year, reflecting its involvement in more projects. Currently, it has 15 projects under sales management, compared with seven last year.

Despite weak market sentiment, Nexus also hopes that participating in property exhibitions will help it achieve a sales target of 10 billion baht this year.

"Homebuyers are more likely to buy property in exhibitions as they can conveniently compare the details of each project," said Mr Apisit.

Sales from exhibitions, in which Nexus participates three or four times a year, contribute about 25-30% of the company's total sales revenue.

Nexus plans to stage its first property fair, Innovative Living@Central World from Sept 25-28, the beginning of the property market's high season.

Bangkok Post
Published: 24/09/2008 at 12:00 AM