Da Nang: 96.5% of FDI pours into real estate

VietNamNet Bridge – The foreign direct investment (FDI) in real estate projects in the central city of Da Nang accounts for 96.5% of the total FDI licenced in the last nine months, according to the Da Nang Investment Promotion Centre (IPC).

IPC Da Nang Deputy Director Le Can Duong said on October 7 that city authorities had licenced 20 FDI projects so far this year with the total registered capital of over $677mil. As such, there are 112 valid FDI projects in the city, totalling $1,576mil.

Mr Duong said that the FDI capital flowing into real estate projects had been increasing sharply. The city has licenced three projects in the last nine months which have the estimated investment capital of $653mil, accounting for 96.5% of total licenced FDI capital.

The three projects include the $78.1mil Ngu Hanh Son sea tourism complex invested in by Marble Mountain Beach Resort I, II, and III. This is expected to be a complex of apartments for lease and sale, villas, hotels, entertainment and sports centres on the area of 20 ha in Ngu Hanh Son district.

The second project is Capital Square urban area invested in by VinaCapital Commercial Centre Ltd, expected to be located on an area of 90,285 sq m in Son Tra district. This will be a complex of commercial centres, high-grade offices for lease, 4-5 star hotels and associated services, and apartments. The total investment capital of the project is estimated to reach $325mil.

The Da Phuoc urban area project invested in by South Korea’s Daewon will comprise villas, hotels, high-grade apartments, entertainment centres for domestic and foreign clients, a PGA-standard golf course in Da Phuoc area in Hai Chau district. The project is estimated to cost $250mil.

Meanwhile, a lot of projects which were licenced before are now under construction. These include the $30mil Daewon high-rise apartment building south of Tuyen Son bridge, the $25mil Indochina Riverside Tower at No 74 Bach Dang, $86mil Silverhorses tourism complex, $25mil Olalani resort, $73mil VinaCapital golf course, $57mil VinaCapital sea tourism complex, and $60mil Vegas hotel and villas.  

Mr Duong said that investment promotion had been sped up; however, IPC is still facing a lot of difficulties. He said that the biggest problem now was the land fund. IPC cannot show investors the places for investment as the land plots are not ready for investors.

IPC Da Nang has proposed that the Da Nang People’s Committee implement the one-stop shop model in licencing investment in order to create the best conditions for investors.

IPC Da Nang has also proposed speeding up site clearance for the Japan-invested P&I tourism complex and South Korea-invested Ba Na golf course projects.

The city authorities are considering setting up a committee for supporting big investment projects in the city, which will be responsible for speeding up projects. The committee will comprise representatives of the Da Nang People’s Committee, IPC Da Nang, and relevant departments.