Da Nang gets aggressive with real estate

VietNamNet Bridge - The central city of Da Nang granted licences to 14 new projects, and approved increases in registered capital to two others in the first five months of the year, according to the city’s Investment Promotion Centre (IPC).

The projects represent combined new foreign direct investment of US$924 million.

Six of the new projects, plus one existing project which enlarged its charter capital, were licensed in May alone, and were worth a combined $542 million, said IPC deputy director Le Canh Duong.

Real estate development remained the most attractive sector for foreign and domestic investors, Duong noted, pointing to such projects as a $300 million high-end apartment complex developed by GVD 1 Viet Nam Co Ltd and a $180 million hotel, commercial and offices complex financed by Vien Dong Meridian Joint Stock Co.

Eighteen other projects worth an estimated $1 billion were still awaiting approval, most also in the real estate sector and including GCC Capital Limited’s 34ha condominium and villa complex worth $500 million and two tourist developments valued at $220 million.

Set to rise

A number of major real estate projects previously licensed are now under construction in the area, including Vina Capital’s $325 million new urban area, the $100 million Vegas hotel and villas, the $86 million Silver Shores resort, the $73 million Hoa Hai golf course, and the $78 million Ngu Hanh Son beach resort.

Not everything was rosy, Duong said, pointing to sluggish land clearance as a factor slowing the progress of many projects in the city.

In order to speed up FDI disbursement, the IPC has proposed that the city’s People’s Committee implement a one-stop shop model in investment licensing, as well as provide updated information on planning and land-use rights transfers.

The central city has 78 other projects outstanding on its list of projects calling for investment over the next three years, according to its Department of Planning and Investment.

The projects seeking investment were in IT, electronics, agriculture products and seafood processing, industry and manufacturing, textiles and garments, footwear and service sectors, as well as in real estate, the department said.

Dubai-based group begins Raffles sale The Dubai-headquartered Kingdom Hotel Investments (KHI) group has commenced sales of Raffles Residences on Non Nuoc Beach in the central coastal city of Da Nang. Raffles Residences are luxury homes that will be built for private ownership, created to complement the Raffles Hotels&Resorts brand. The homes will comprise three residential buildings offering one, two and three bedroom residences with prices ranging from US$285,000 to $1 million. "Viet Nam’s leisure and business tourism and investment opportunities are in a phase of enormous growth, with the Viet Nam National Administration for Tourism reporting a 15.7 per cent increase in visitors in the first quarter alone. Our premium location and luxury residences offer a unique opportunity to acquire beachfront real estate in a fast-growing destination with excellent international connections." said CEO of KHI, Sarmad Zok. The announcement follows the successful launch of a Raffles Estates in the Seychelles.