Sat, 10 May 2014. Last updated Thu, 07 May 2015 16:26
On May 8th, Mr. Kim Kyoo Chul, a member of the Board of Directors of National Housing Organization (N.H.O), a joint venture between joint stock company TAG and NIBC Investment Company, stated that NHO has been investing in 14 affordable housing projects in Vietnam real estate market with a total scale of 230 hectares, capital of 20,612 billion VND, equal to $ 1 billion. The majority of projects are mainly located in large cities like Ho Chi Minh City, Hanoi, Da Nang, Binh Duong, Quang Ngai, An Giang. Mr. Kim Kyoo Chul also said that all projects had the commercial name of First Home and aimed to provide affordable houses in various types: apartment, private house, social house, and commercial center…
In particular, First Home Binh Chanh complex, which is located in Ho Chi Minh City, has the largest scale of 79 hectares in width and the total investment up to 4,000 billion VND. The project is expected to complete in the late second quarter of 2015, of which the price of an apartment is only 400 million VND or 9 million per square meter.
Mr. Kim Kyoo Chul revealed that based on his experiences of working with many major investors in different global markets, he found them extremely interested in Vietnam market. The reason why they have not approach Vietnam market seriously yet is that Vietnam has few projects in accordance with real needs of the market. However, because Vietnam is a young-population country and most of them have not possessed a house, Vietnam is an attractive and worth-investing housing market.
Directors of NHO said that the ambition of the enterprise is providing 100,000 affordable houses in next 10 years. 14 ongoing projects with 25 thousand apartments are expected to be completed from 2015 to 2018. In the near future, through the investment channel of NHO, South Korea and Singapore will pour money into Vietnam real estate. Prior to NHO, a domestic investor named Novaland has announced the acquisition of 3 projects with a total capital up to 3,000 billion VND, equal to nearly $ 15 million. On May 8th, Mr. Phan Thanh Huy, General Director of Novaland Corporation, declared that the Galaxy project sold 200 apartments, Lexington project sold 500, and especially Sunrise City sold 1,600 of the total 2,200 apartments.
Many economical experts have assessed that Vietnam real estate market has overcome the frozen period, also the most difficult period, and now entering a new cycle, the recovering period. Therefore, both domestic and foreign investors are pouring a huge capital into Vietnam. Particularly, with supporting policies of Vietnamese government, Vietnam real estate is anticipated to flourish in next few years.