High-end market boosts PropNex, Latest Business News - The New Paper

High-end market boosts PropNex

This article is more than 12 months old

Real estate agency PropNex Realty turned in far higher revenue last year despite facing a challenging property market still feeling the effects of the cooling measures.

It recorded a 21.5 per cent year on year jump in gross revenue to $278.9 million, thanks partly to better sales performance in the luxury residential segment.

Overall transaction volume surged 10.4 per cent last year to 46,229, from 41,875 in 2015, it said yesterday.

"The main driving force last year was the high-end market penetration which had substantial growth for us. We were also actively involved in new launches last year and did well in the HDB resale segment," said chief executive Ismail Gafoor.

Training initiatives to improve agents' professionalism and market knowledge also helped spur sales.

Last year, its agents sold more than 250 luxury units from new launches, up from about 80 in 2015. Recently, it helped shift 40 out of 50 units sold at The Peak@Cairnhill II in prime District 9.

Mr Ismail expects sales in the high-end residential market to remain active this year.

The agency also announced its expansion to Indonesia via a master franchise contract with PT PropNex Realty Indonesia.

Mr Ismail expects the Indonesian expansion to boost revenue by about 5 per cent this year. He is eyeing Vietnam next.