More Golden Land Plots Sought By Foreign Investors

VietNamNet Bridge - Cash from Chinese investors continues to flow into Vietnam via large-scale M&A deals, especially in the real estate market.  

Foreign investors are eyeing 'golden land plots' in Vietnam

Hongkong Land has announced it has acquired 70 percent of benefits in a project on Nguyen Dinh Chieu street in district 1 of HCM City. The housing project covers an area of 0.5 hectares with total construction floor area of 57,000 square meters. It is expected to provide 530 high-end apartments and hit the market by 2021.

The land plot is estimated to be valued at no less than VND1.4 trillion.

Prior to that, Hongkong Land signed a 50/50 profit sharing contract with Son Kim Land to implement the high-end project The Nassim. 

An unfamiliar name has emerged in the real estate market: Alpha King. Nhip Cau Dau Tu quoted sources who said Alpha King has acquired the valuable Ngan Binh Complex project located at the Nguyen Cu Trinh – Cong Quynh street corner in HCM City.

With the new investor, the project has resumed operation after seven years of interruption. Once operational, this will be a new feature in the city’s centre, where Bitexco Group and Van Thinh Phat projects are also being implemented.

On Hai Ba Trung street, Me Linh Square, the high-end complex of Sabeco, has fallen into Hong Kong investors’ hands. Sabeco once teamed up with Novaland to develop the project, but it later gave up the project.

The chair of the board of management of the company for the Me Linh Square project is held by Ngo Van An, who is also the legal representative for eight companies headquartered in Hong Kong.

The M&A deals from Chinese investors also include A-class Lim Tower 1, SJC Tower and Sunwah Pearl.

These ‘golden land plots’ in the central area have with views of the river and are near important transport routes such as subway lines and the Thu Thiem bridge system linking districts 1 and 2.

According to CBRE Vietnam, Hong Kong ranked fifth in 2017 among the biggest foreign investors in Vietnam with investment capital amounting to 9 percent. The other four included Singapore, South Korea, Malaysia and Japan. 

However, counting the capital (2 percent) from mainland China, the investors from China are on the same par with Japanese.

Jonathon Clarke, CEO of Colliers International Vietnam, commented that the capital from Asian countries, especially from China, will keep flowing to Vietnam, as it is in line with China’s “one belt, one road” policy.

RELATED NEWS

Bridges projects boost land prices in Hanoi's eastern area

Sand mining erodes farm land

Kim Chi