The chairman of the NHA Board breaks the siege of the COVID-19 pandemic crisis, joins the cabinet’s resolution to appoint a new governor, “Thaveepong Wichaidit,” taking the opportunity to adjust the image of the National Housing Authority to a new version, accepting the new normal trend. The executive structure adds 18 deputy-assistant-director seats to grade the land, sank cost 4.4 thousand rai, to build a low-income home for 5 hundred thousand, moving forward to the elderly home in 4 corners of Bangkok. Accelerate the closing of deals for cheap rental houses at 999 baht per month, another 20,000 units.
The chairman of the National Housing Authority (NHA) revealed “Prachachat Business” that the situation of the COVID-19 epidemic. Causing a trend to adjust to a new way of life or new normal, together with a cabinet resolution on July 8, 2020, approving the appointment of Thaweephong Wichaidit as the NHA’s governor. The new board therefore sees it as an opportunity and a good time to adjust the housing organization into a proactive management style with the goal of building homes for low-income people. junior government officials and the disabled, which is the main mission in the establishment of the organization
“Big Bang” raises the level of housing
In this regard, the housing management policy from 2020 onwards is known as a big bang policy with 3 aspects: 1. Investment for the people policy through housing projects for low-income earners of 1.5 million people who will need to delve into the annual action plan 2. Driving PPP investment to diversify investment opportunities of housing together with the private sector.
and 3. Taking care of 808 community housing units to become self-reliant communities. Developing community products to sell for a living Since accepting the position, he has visited the community and distributed 230,000 lunch boxes, of which 100,000 boxes of juristic persons and private sectors have participated, and 10,000 survival bags for vulnerable people in society.
Restructure the deputy-assistant
The chairman of the Board of Housing said that for the past 8 months, there was a new story that happened. Organizational restructuring to accommodate more diverse policy missions Including the original structure has not been improved at least 4 years ago.
The latest position, the deputy governor’s plane, from the original 4 positions, added 2 more positions, a total of 6 positions, the original assistant governor’s plane had 8 positions, added 3 more positions, a total of 11 positions, the rest are executive director-level positions. Various, including a revised organizational structure, adding 18 new executive positions
The reason for the organizational restructuring is because there are at least 2 new policy tasks: 1. The government established the National Housing Fund. There is an initial fund of 5,000 million baht for the NHA to be responsible by sharing 400 million baht to do first. The NHA must have an agency that is responsible for lending under this fund. 2. Mega project to revitalize Din Daeng flats There must be up to 32 PPP auctions for buildings.
“This restructuring for 1.organization An upside down pyramid means more executive roles with a more decentralized work structure. Power and responsibility are not concentrated too much on one person. 2. to have principles check&balance according to international principles, strategically setting up a strong check and balance system When it is put into practice or implemented, it will concretely solve the problem of non-transparency in the organization.”
Clear Sank Cost 4.4 thousand rai
Mr. Nuttaphong further said that the cumulative problem of the NHA is the liquidation of assets awaiting development or sank cost from the original amount of 7,500 rai, now to 4,400 rai, which is graded as ABCD-grade property.
“The problem of sank cost has accumulated for ten years. It used to be a crisis, but now it’s an opportunity because more than 70% of the land is unattractive. Today it becomes a Grade A location. The definition is access to transportation, water supply systems, factories, and sources of work. The NESDB tells us that this is Grade A land. A already.”
Grade B land refers to land with unfinished buildings. Easier demolition, and Grade C is a land with buildings full but unsold or abandoned or abandoned at least 10 years ago.
coupled with low-income housing The latest master plan has 2-4 million people who do not have their own homes. In this amount, share the quota. The NHA is responsible for 1.5 million people, the price is lower than 500,000 baht per house, with the National Housing Strategy Committee having a resolution to try 20,000 units a year first.
The management approach is to bring sank cost to construct projects to support low-income earners. Scheduled by the end of the year, start a pilot project before 900 units in Bangkok’s 4 corners of the city. If successful, it will expand to 20,000 units per year by 2021-2022.
Auction PPP 13 plots
for project investment plans The NHA is waiting for approval to go ahead with the bidding in the PPP format (inviting private investors to co-invest in the construction) organized into 3 levels: investment projects worth more than 5,000 million baht, with 1 place: the Din Daeng Flat Restoration Project. Due to the high investment value, it must be subject to the Public-Private Joint Venture Act of 1992.
2. Investment projects worth 2,000-5,000 million baht are under the authority of the Ministry to present to the Cabinet meeting. The NHA has 13 project plans already set up. Investment areas spread across the country such as Chiang Mai, Surat Thani, etc. There are 2 in Bangkok. Plots on Din Daeng and Rom Klao locations
“13 plots waiting to be invested are worth hundreds of millions of billions. Therefore, small and medium-sized contractors with a job value of 200-300 million will benefit from employment and stimulating the economy in various periods. causing purchasing power to recover to a certain extent This is an investment for the people according to the big bang policy.”
and 3. Investment through CEMCO, which is an investment without using the state budget. But there is a condition that Semco must be listed on the stock exchange first.
Accelerate the closing of the deal for a house for rent 999 baht
Previously, at the end of 2019, the MSDHS together with the NHA created a policy for low-income housing rentals starting at 999-2,500 baht per month, with the NHA bringing 20,000 vacant houses – vacant rooms from projects across the country. room to join the campaign As a result, 28,000 people showed interest, exceeding the available supply.
However, the 999 baht rental housing project has a problem with complaints of delays. overtaking the queue and delivery of rental rooms, etc. It is a project that must be continued to be completed within this year.
“The COVID pandemic has caused more people to be unemployed. directly affecting the purchasing power of low-income earners At this minute, a cheap house for rent would be a good choice. Another picture we see is a lot of factory closures resulting in labor migration. I’m going to join hands with the Ministry of Labor. In which he gave the numbers, there are 25,000 workers who need housing. The good thing is that most housing estates are located near the market or near the school.”
moving forward to build a home for the elderly
For the mission assigned by Mr. Chuti Krairiksh, Minister of Social Development and Human Security (PhD) about the elderly home project Viewed from the perspective of housing At present, there are 808 community housing projects in the community and many more projects will be developed in the future. Taking into account the factors that Thailand is counting down to becoming an aging population society, the emphasis on the elderly home project has to be increased gradually.
“If counting only 808 communities, we will find that There are quite a number of elderly people living in the same community. It is a problem that must be followed to see what can be done. Because most of them are 4-5 floors high and do not have an elevator. As a result, the population that used to be young in the past is entering an aging state. At the same time, the development of new projects requires designing products that accommodate the living of the elderly. In the past, some models of homes for the elderly have been launched. Designed as a single house According to the ministry’s policy, the investment in the 4 corners of Bangkok pilot project will be better, ”said Mr. Nattapong.
CEMCO, the ultimate treasure in the National Housing Authority
CEMCO, a subsidiary of the National Housing Authority Established by resolution Cabinet on June 14, 1994 in the name of “Property and Community Management Company Limited”
The initial registered capital is 20 million baht, the majority of shares are held by the Housing Authority 49%, amounting to 9.8 million baht, the Crown Property Bureau 15%, 3 million baht, and a private entity that is a juristic person related to a group of businesses that is beneficial to the Company’s business. 36% 7.2 million baht
Recently, under the current board with the chairman of the board named “Nattapong Phanthakiatpaisan” , a 46-year-old executive with a degree as a financier. Presenting a vision to promote CEMCO to become a listed company on the Stock Exchange of Thailand
if successful The future role and mission of CEMCO will be a “source of work – source of money” for the Housing Authority directly. It has the advantage of being a highly flexible working unit in management. At the same time, it is an agency that supports the management of the organization’s benefits for maximum efficiency.
Importantly, the benefits will be returned as bonuses to the Housing Authority employees. without worrying about the front and back able to move forward with the mission aimed at building housing for low-income people with peace of mind
CEMCO’s business remodeling operation takes the first step with a complete shareholder reorganization. The Housing Authority still holds 49% of the shares as before, after which the role of individual shareholders will be reduced. and then add state shareholders
And to confirm most of the benefits still fall on the housing. There will be an increase of 10% of the shareholding to be the quota of the Housing Authority staff. (May hold shares in the name of the employee cooperative) which is equal to major shareholders 49+10 = 59% is a quota by the Housing Authority. and people of the Housing Authority
Preliminary calculation of CEMCO, a subsidiary that will come to manage community benefits in the projects of the National Housing Authority. At least should have an income of 480 million baht / year, share of the portfolio that holds 49% or 59% of shares, representing more than 200 million baht per year.
It is the amount that “Nattapong” is confident that he can take care of employees and executives throughout the organization. Both in fixed cost + bonus
“For example, bonuses. If considering the framework of the Housing Authority. There must be a lot of KPI indicators, but if going with CEMCO and setting up a fund to look after employees, it’s easier. more flexible.”
Next, a new normal perspective, gradually increasing the role of CEMCO, in addition to being a protagonist in managing all communities of housing, in the future, housing construction policies for low-income people Able to separate subsidiaries to be directly responsible
Based on this approach, the Board expects it to be a two-bird-killing policy with one stone.
Way 1: Accepting the project’s construction mission is equal to reducing the risk of complaints and non-transparency. At the same time, the other way 1 makes CEMCO’s portfolio in the future attractive and attracts investment. If successful, the new CEMCO will automatically be a treasure on the horizon of housing.
There was only one condition… if it was successful.
