Property developers based in Vietnam said they are eager to pursue retail and residential projects in their country with Singapore partners like CapitaLand.
“I am happy to tie up with Singapore developers” with their transparency and good reputation, said Le Nu Thuy Duong, general director of Thien Duc, which has collaborated with CapitaLand for the latter’s initial residential development in Vietnam.
Thien Duc is eager to collaborate with CapitaLand once again to meet high demand for mass market housing, said Ms. Duong.
Both Thien Duc and another Vietnamese developer Phu Gia own a ten-percent share in The Vista, which is located in Ho Chi Minh City. The remaining 80 percent stake is owned by CapitaLand.
Ms. Duong was speaking on the sidelines of an occasion to celebrate the completion of structural works for the US$190-million residential project. Out of its 850 units, 74 percent have already been sold, while the remaining units are available for US$1,800 psm to $2,200 psm. The Vista will be ready for occupation by next year.
Thien Duc and CapitaLand have also partnered for another venture called Beau Rivage, where sales could begin at the end of this year, with prices starting from $2,200 psm, said Ms. Duong.
Liew Mun Leong, CEO and president of CapitaLand, said that affordable housing is the next focus of the group in Vietnam. Development of malls aimed at middle-class consumers is also being planned.
Hoang Thanh, another Vietnamese property developer, also hopes to collaborate with CapitaLand to bring the Raffles City mall trademark to the nation. Land negotiations are in progress, said Nguyen Nhu Vinh, general director of Hoang Thanh.
CapitaLand and Hoang Thanh have collaborated to develop two residential properties in Hanoi – Mulberry Lane – and an unnamed project in the Ha Dong district.
According to Do Thi Loan, secretary general of Ho Chi Minh City Real Estate Association, partnerships between foreign and Vietnamese developers have become into a trend.
Foreign players provide the expertise and capital, while Vietnamese developers have the land and understand the domestic market, she said.
Aside from CapitaLand, Mapletree, Allgreen and Keppel Land have also entered into the country, she added.