CBRE Vietnam Real Estate Spotlight – W33 2018

Growing purchasing power buoyed up retail stores

VIR

Vietnam’s growing retail service revenue and a big number of newly-established enterprises in the sector mirror the uptrend in local purchasing power and retail stores.  Since the beginning of the year, there were about about 25,700 newly-established wholesale and retail businesses in Vietnam, accounting for 33.9 per cent of the total newly-founded enterprises

Indirect investment aims at Vietnamese real estate

VIR

Hanoi: A nearly 200ha super residence will be placed along the Yen Son Lake

Vietnamnet

The Yen Son Lakeside Residence and Yen So Park (the B area of Yen So Park) project has been approved. The total area is 191.67 ha, of which the area of Yen So Park accounts for 149.61 ha (including 95 ha of water surface); the construction land area is 29.95ha, the rest is the transport and urban area. The population size of the residence is about 12,800 people.

District 9 is allocated the largest portion of urban land

CafeF

118,890 ha of non-agricultural land are allocated to 24 districts. Of these, five suburban districts were allocated the largest portion. In specific, Can Gio is allocated 22,984 ha, Cu Chi (16,746 ha), Binh Chanh (15,740 ha), Nha Be (7,993 ha) and Hoc Mon( 7,495 ha). Among 19 districts, District 9 is allocated the most non-agricultural land with 9,929, while district 4 is allocated the least with 418 ha.

US$41 billion is poured to HCMC real estate market each year

Cafe Land

By the end of July 2018, the total mobilized capital of HCMC is VND2.50 trillion, increases 7.21% comparing to the beginning of the year. Capital mobilization activities in HCMC account for 1/3 of the country’s mobilized capital. In addition to the growing real estate credit, FDI inflows and overseas remittances are also making an important contribution to the city’s capital. On average, during the last 3 years, overseas remittances amounted to US$ 5 billion, of which 21% was spent on real estate, which equivalent to over 1 billion dollar is poured into its real estate market each year.

Macau’s Suncity again defers Hoiana casino-resort stake purchase

VnExpress

Hong Kong's Suncity Group Holdings has twice delayed a deal in the last two months to acquire 34 percent of a casino-resort in Quang Nam Province. The Macau casino operator and investor said it is waiting for the joint venture between VinaCapital and Hong Kong’s Chow Tai Fook to obtain approval from a Vietnamese bank, which has given a loan to the developers of Hoiana. So it is postponing completion of the deal, worth $76.8 million, until August 31 this year. Hoiana is one of eight casinos to be licensed in Vietnam now. To be built in 7 phases it will have a casino with 140 tables and around 1,000 slot machines, guest rooms and a golf course.

Quang Nam approves an international education project of VND1.5 trillion
 

Vietnambiz

The project has a total land use area of 41 ha, located in Binh Duong, Binh Minh, Binh Dao communes (Thang Binh district) with designed capacity of 12,000 students. The total investment of the project is VND1,500 billion. In which the capital contribution is 500 billion, the remaining loan. The duration of the project is 50 years from the date of issuance of investment policy decision.

Novaland signs MoU for two new tourism projects in Can Tho city
 

VIR

Novaland signed a Memorandum of Understanding with the Can Tho People’s Committee to conduct a study and build a database to implement 2 new tourism projects in the city. These Novaland projects are Can Tho Marina serving passengers, cargo, and tourists on 3.5 ha in Ninh Kieu District and Con Son Tourism Area, located on 74.4 ha in Binh Thuy District. Novaland is cooperating with its consultant Boston Consulting Group and leaders of other provinces of the Mekong Delta to find suitable tourism models which can combine local advantages and elevate the region to international standard while keeping the environment pristine and local cultural characteristics undisturbed. 2018 is the first year Novaland joins tourism and resort projects. The group has also recently opened Azerai Can Tho—its first resort project in Vietnam.

Moody's upgrades Vietnam's ratings to Ba3, changes outlook to stable

Moody's

Moody's Investors Service ("Moody's") has upgraded the Government of Vietnam's long-term issuer and senior unsecured ratings to Ba3 from B1 and changed the outlook to stable from positive. The upgrade to Ba3 is underpinned by strong growth potential, supported by increasingly efficient use of labor and capital in the economy. Moody's estimates that Vietnam's growth potential is strong, at around 6.5%, supported by increasingly efficient use of labor and capital in the economy. 

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