CapitaLand adds new S$247 million residential project in Ho Chi Minh City
CapitaLand bolsters portfolio with new S$247 million residential project in Ho Chi Minh City to meet rising demand for quality real estate
Charts record growth as home sales value in first nine months surpasses FY 2016
Singapore, 16 November 2017 – CapitaLand Limited has strengthened its foothold in Vietnam with its ninth residential development in Ho Chi Minh City and 11th residential development in the country. The 1.45-hectare site in District 4, will be developed into a 870-unit residential development with a retail component at a total value of US$177 million1 (about S$247 million). Strategically located within a five-minute drive from Districts 1 and 7, residents at the new 24-storey development will also enjoy panoramic views of the Saigon River and city skyline. The latest acquisition comes on the back of a year of record home sales growth for CapitaLand in Vietnam. At the launch of its newest residential development, d’Edge Thao Dien in Ho Chi Minh City, close to 100% of the project was sold in less than two months after its launch in July 2017.
Mr Chen Lian Pang, CEO of CapitaLand Vietnam, said: “2017 marks a record year of growth for CapitaLand in Vietnam with the highest home sales value achieved in nine months, surpassing that of FY 2016 by close to 50%2. Beyond the residential market, we have made strategic inroads and expanded our footprint in the country with prime assets in gateway cities. To scale up fast and be nimble in seizing opportunities, we are also working with reputable capital partners who want to invest through CapitaLand given our deep local insights and execution know-how.”
Mr Chen added: “We are delighted with the record sales at our newly launched 273-unit residential development, d’Edge Thao Dien. This is a testament of customer confidence in the CapitaLand brand and underscores the strong demand for quality projects in Vietnam. With our latest development in a prime location, we are optimistic that it will similarly be well-received. For the first time in Vietnam, we plan to introduce dual-key apartments to cater to the young and vibrant rental market in District 4 and to attract potential investors. Our latest acquisition reaffirms CapitaLand’s commitment as a long-term partner in Ho Chi Minh City’s urbanisation journey and we will continue to explore opportunities to expand our presence and grow our market share in Vietnam.”
CapitaLand’s 11th residential development in Vietnam will be in a highly sought-after residential district in Ho Chi Minh City District 4 – formerly a port city, the area has been redeveloped into a residential neighbourhood with a plethora of dining options and lifestyle offerings. It will comprise three 24-storey towers – two single blocks and one triple block, as well as retail units on the lower floors. The average size of the apartments will be around 79 square metres.
Vietnam is the third largest market for CapitaLand in Southeast Asia, after Singapore and Malaysia. As at end September 2017, it has S$2.0 billion worth of gross assets under management in Vietnam. The latest acquisition will expand CapitaLand’s portfolio to 11 residential developments, 21 serviced residences with around 4,700 units and one international Grade A office development across six cities in Vietnam.
1 Refers to gross development value of project; acquisition cost is S$53.5 million. 2 Sales value as at 30 September 2017: S$412.9 million; sales value for FY 2016: S$282.1 million.