CapitaLand, one of the largest real estate developers in Asia, signed a joint venture agreement with Hoang Thanh, a Vietnamese property developer, for a second residential project in Hanoi, Vietnam.
The agreement is aimed at developing a 14,000-sq-m residential site in Ha Dong district in Hanoi.
The signing in Hanoi on Tuesday was witnessed by Vietnamese Prime Minister Nguyen Tan Dung and Prime Minister Lee Hsien Loong.
CapitaLand will hold a 70 percent share in the project, while Hoang Thanh will have the remaining 30 percent share.
The site will be developed into four residential towers with around 960 apartments, accounting for almost $239 million in project development costs.
This is the second joint venture project between CapitaLand and Hoang Thanh, following their first successful Hanoi residential development, Mulberry Lane.
According to the developer, Mulberry Lane got a positive response during its recent preview sales, releasing two out of the five apartment blocks.
Around 82 percent or 451 units of the 549 units released were successfully sold, with prices ranging from $121 to $171 per sq ft.
Liew Mun Leong, Chief Executive Officer of CapitaLand, said in a statement that the firm will grow its business in Vietnam to 10 percent of the total assets of the group over the next three to five years.