2024-10-04

From Rising Demand to Flexible Payment Plans: Navigating Sri Lanka's Real Estate Market in 2024

 

Q: What significant trends do you observe in the local real estate market today?

 

A: A key trend in Sri Lanka’s real estate market is the growing demand for compound living, where residential developments offer integrated amenities such as gyms, retail outlets, and enhanced security have become standard offerings, and customers today expect amenities and facilities that go beyond the basics. These all-in-one communities provide convenience and safety, reducing the need for residents to leave the premises for daily essentials. Urbanisation and rising middle-class incomes are fueling this demand, particularly in cities like Colombo.

 

Additionally, the decline in fixed deposit and loan interest rates has led to increased investment in real estate. Investors now view property as a stable and lucrative asset class, offering higher returns compared to traditional savings options. Expatriates, in particular, are becoming more active in the market, drawn by favourable conditions and flexible payment plans, either for investment or personal use.

 

The rise of hybrid constructions is another notable trend, combining residential, commercial, and green spaces. These developments address modern needs for sustainability, convenience, and environmental responsibility, appealing to buyers who prioritise eco-friendly living and proximity to work and services, especially in urban settings.

 

Furthermore, flexible payment options are making real estate more accessible. Developers are partnering with financial institutions to offer attractive solutions, such as low-interest loans and long-term instalment plans. These financing options are especially appealing to expatriates and first-time buyers, contributing to increased market activity and making property ownership more attainable for a wider range of buyers.

 

 

Q: What challenges do sector stakeholders face at this time? And how is your organisation overcoming them?

 

A: The Sri Lankan real estate sector faces several challenges, including economic volatility, rising material costs, and delays in regulatory approvals, all of which impact both buyers and developers. Prime Lands has adopted a strategic approach to overcome these hurdles through innovation and proactive solutions.

 

One major challenge is managing escalating construction costs, driven by global supply chain disruptions and inflation. To address this, Prime Lands employs value engineering techniques to minimize expenses without compromising on quality. By optimising construction processes and utilising cost-efficient materials, we maintain high standards while controlling costs. Additionally, purchasing materials in bulk enables us to secure better pricing, which helps keep properties affordable for buyers despite fluctuating market conditions.

 

Another significant issue is financial liquidity and debt collection, particularly as rising living costs strain consumer spending. Prime Lands tackles this by offering flexible payment plans and financing options that ease the financial burden on buyers.

 

 

Our 1% monthly instalment plan eases the financial burden of homeownership by spreading payments over time, requiring smaller amounts during construction and a larger portion after project completion. This flexibility underscores the financial strength of Prime Lands.

 

This approach not only supports our customers but also fosters stronger relationships, enhancing long-term loyalty and mitigating debt collection risks.

 

Q: What are the latest projects undertaken by your organisation?

 

A: Prime Lands is proud to present YOLO by Prime Group, one of our most exciting flagship developments. As Sri Lanka’s first modern home apartment city, YOLO offers a unique lifestyle of ‘playful luxury’ with state-of-the-art amenities, including an infinity pool with a pool bar, a bowling alley, an outdoor rooftop theatre, and futuristic design elements. Located strategically near the Kiribathgoda and Kadawatha highway interchange, YOLO provides unparalleled convenience.

 

Beyond offering a luxurious lifestyle, YOLO stands out as an incredible real estate investment, boasting a 110% return on investment. Its combination of luxury, strategic location, and strong investment potential makes it a top choice for both local and international investors. Additionally, Prime Lands continues to expand into suburban areas, focusing on projects that blend convenience and luxury, catering to the growing demand for residential spaces with easy access to city hubs. These initiatives reflect our commitment to delivering high-quality, innovative living spaces for a diverse range of buyers.

 

Q: How does your organisation ensure reliability and timely delivery, in terms of your portfolio and service offering?

 

A: Prime Lands ensures reliability and timely delivery through our dedicated in-house construction arm, Prime Construction. This division allows the company to maintain strict control over quality and project timelines. With a skilled team of labourers and strong partnerships with trusted suppliers, Prime Lands secures materials efficiently and ensures smooth, uninterrupted construction schedules.

 

Even during the economic crisis, when many competitors faced delays, Prime Lands consistently delivered key projects such as The Grand Ward Place, Prime Villas Dalugama, Beachfront 2 Uswetakeiyawa, and Prime Villas Nugegoda on time. Several upcoming projects are scheduled for completion by the end of the year, including Clover Thalawathugoda, Water Estate Bolgoda, and Scottish Island Digana. This success is a testament to the company’s robust project management practices and financial strength, which enable us to fund projects without interruptions, even under challenging conditions.

 

Prime Lands’ commitment to transparency and open communication with clients further enhances our reputation for reliability. The company’s financial stability ensures that projects remain on schedule, and any potential disruptions are mitigated swiftly.

 

What truly sets Prime Lands apart is our dedication to after-sales service. Beyond the timely handover of properties, the company continues to support customers post-delivery, offering peace of mind and reinforcing trust. This customer-centric approach, combined with operational efficiency and strategic project management, enables Prime Lands to consistently exceed expectations in both quality and delivery, solidifying our standing as a reliable leader in the industry.