Monthly Real Estate News | March 2020 by Vietnam Realty

COLLIERS INTERNATIONAL

VIETNAM MONTHLY REAL ESTATE NEWS - March 2020 -

COLLIERS INTERNATIONAL &CONTACT

ABOUT COLLIERS INTERNATIONAL Colliers International is a leader in global real estate services, defined by our spirit of enterprise. Through a culture of service excellence and a shared sense of initiative, we integrate the resources of real estate specialists worldwide to accelerate the success of our partners. We connect through a shared set of values that shape a collaborative environment throughout our organization that is unsurpassed in the industry. With more than 100 professionals in 3 offices in Vietnam, the team is market driven and has proven and successful track record with both international and localexperience. From Hanoi, Danang to Ho Chi Minh City, we provide a full range of real estate services The foundation of our services is the strength and depth of our experience.

396

offices

countries

continents

$2.60

15,000

158 million

billion in annual revenue

square meter under management

professionals and staff

Publication

Coverage

Frequency

Content

Availability

Knowledge Report/ Market Insights

Vietnam

Quarterly

All marketsectors

Publicly available

Knowledge Report/ Market Insights

Ho Chi Minh City

Quarterly

All marketsectors

Publicly available

Knowledge Report/ Market Insights

Hanoi

Quarterly

All marketsectors

Publicly available

Knowledge Report/ Market Insights

Danang

Quarterly

All marketsectors

Publicly available

Asia PacificOffice Report

Asia Pacific includingVietnam

Quarterly

Office market

Publicly available

VietnamProperty Market Report

Vietnam cities

Quarterly

All marketsectors

On subscription

Development Recommendatio n

Vietnam cities

At request

All marketsectors

On subscription

For further information, please contact us:

DAVIDJACKSON DAVIDCEO JACKSON CEO david.jackson@colliers.com

david.jackson@colliers.com +84 28 3827 5665

HUAN NGUYEN Research Manager huan.nguyen@colliers.com

OFFICE

COLLIERS INTERNATIONAL|VIETNAM

HO CHI MINH CITY HO CHI MINHCITY Deutsches Haus, 3rd floor 33 Le Duan Blvd, Ben NgheHaus, Ward, Deutsches 3rd Floor District 1, HCMC, Vietnam 33 Le Duan Boulevard,

CAMBODIA CAMBODIA 93 SI Building, Preah Sihanouk, Sangkat Chaktomok, Khan Doun Penh, Gelex Tower, 9th Floor 93 SI Building Phnom Penh, Cambodia 52 Le Dai Hanh, Preah Sihanouk HA NOI

Ben Nghe Ward, District 1

Hai Ba TrungDistrict

Sangkat Chaktomok

HCMC, Vietnam

Hanoi, Vietnam

Khan Doun Penh

Tel: + 84 243 265 6969

Phnom Penh, Cambodia

HANOI Tel: + 84 28 38275665 Toong IPH, 2nd floor 241 Xuan Thuy, Cau Giay District, Hanoi

KONGSBERG FACILITY Dong Xuyen IP, Ba Ria-Vung Tau Province

Accelerating success.

Daily Real Estate News Highlights Vietnam - 03 March 2020

Top 5 - Daily Updated Real Estate News Colliers International’s Residential Highlights is daily news summary which features the latest updates on the Residence, Serviced Apartment, Office, Retail, and Industry Real Estate market.

Samsung starts construction of new R&D centre in Vietnam

Vietnam Investment Review Samsung Electronics Vietnam announced that it started construction of its largest R&D centre in Southeast Asia at the new township of Tay Ho Tay in Hanoi, Vietnam. Samsung’s establishment of the Vietnam R&D centre proceeded quickly after it was discussed as a key agenda when Prime As the very first Samsung R&D Ministre Nguyen Xuan Phuc and Jay Y. Lee, vice chairman of Samsung centre outside its home market, the Electronics, had meetings in Hanoi and Seoul. Hanoi facility is the culmination of

The inflow of FDI to Vietnam saw a strong decline in the first two months

Vietnam Insider The two month’s FDI capital equalled only 53.4 per cent of the same period last year, excluding the Singapore-financed US$4 billion Bac Lie u liquefied natural gas (LNG)-fired thermal power plant, which received an investment licence in January, the agency said in a monthly report released on Tuesday.

US firms eye stronger investment cooperation in Vietnam The Voice of Vietnam

Samsung’s investment in Vietnam

The inflow of FDI to Vietnam saw a strong decline in the first two months

A 40-strong business delegation from the US will launch an investment promotion programme in Vietnam from March 3-6, aiming to expand trade and investment cooperation in the Southeast Asian country, according to an official from the US-ASEAN Business Council (USABC). In a meeting with Vietnamese Ambassador to the US Ha Kim Ngoc on February 25, USABC Chairman Alex Feldman said the delegation will hold many activities to interact with officials from the Vietnamese Government, ministries and sectors, and work with local businesses and partners. VASB proposes tax cut to increase trading liquidity Viet Nam News The Vietnam Association of Securities Businesses (VASB) may propose market regulators reduce trading taxes for investors, according to general secretary Nguyen Thanh Ky. The move aims to encourage investors to increase their activity on the Vietnamese securities market amid the spread of novel coronavirus (COVID-19) and its impact on the global economy, Kỳ told Dau tu Chung khoan (Securities Investment) newspaper. The VASB will suggest Ha Noi and Ho Chi Minh stock exchanges cut trading fees for brokerage firms, then the companies will consider doing the same for investors, he said.

Businesses help each other mitigate Covid-19 hardship

Viet Nam News Businesses are supporting one another by buying goods from each other to help mitigate the worst effects of the Covid-19 epidemic. Business groups and authorities are helping link farmers and businesses. Besides the agricultural sector, the garment industry is also facing difficulties. The HCM City Textile and Garment Embroidery Association has helped companies sign contracts to supply anti-bacterial cloth masks to the city Union of Trading Cooperatives (Saigon Co.op) and the Pharmacity Drugstore chain.

colliers.com/vietnam

Daily Real Estate News Highlights Vietnam - 05 March 2020

HCM City’s first metro line will have trial run in third quarter

Vietnam Plus HCM City plans to launch a trial run of the first metro line section between Binh Thai intersection and Long Binh Depot in District 9 in the third quarter of this year. The completion rate of the entire line, which runs between Ben Thanh Market in District 1 and Suoi Tien Theme Park in District 9, has reached 71 percent.

A corner of Ho Chi Minh City

Quang Nam calling for investment in Chu Lai International Airport

Vietnam Investment Review Chairman of Quang Nam People’s Committee Le Tri Thanh requested the completion of the planning and expediting investment mobilisation and development of Chu Lai International Airport in the central region. Chu Lai International Airport is Chairman Thanh has just given conclusions on the planning scheme of expected to become a a centre for local transport network as well as the investment orientation and strategy transshipment of goods in the not of key transport works in the province in the forthcoming period. distant future

Vietnam’s PM orders ministries to study US$110 billion infrastructure investment projection

Vietnamnet An ADB expert’s projection that Vietnam will need to invest US$110 billion in infrastructure development between 2021 and 2025 has led PM Nguyen Xuan Phuc to order relevant ministries to look into it in earnest. The Cabinet leader told the Ministry of Planning and Investment, the Ministry of Finance and the Ministry of Transport to consider what Donald Lambert, a principal private sector development specialist at the bank’s Southeast Asia Department, had discussed regarding the country’s infrastructure development needs between 2021 and 2025.

HCMC exports to China up despite Covid-19

VnExpress Exports to China by registered enterprises in HCMC grew 22.5 percent year-on-year to $1.19 billion in the first two months of 2020. Despite the ongoing novel coronavirus outbreak, China still accounted for the largest proportion of HCMC’s export turnover in January and February at 21.1 percent, the Ho Chi Minh City Statistical Office’s (HSO) says in its latest report. The city’s second largest export market in this period was the U.S., with a turnover of $1 billion, up 6.6 percent year-on-year and accounting for 18.5 percent of the total. Coming in third was Japan, with $508.1 million, up 1.5 percent and accounting for 9 percent.

VN posts trade deficit of $176 million in two months

The Voice of Vietnam Vietnam reported an estimated trade deficit of US$176 million in the first two months of the year, according to the General Statistics Office of Vietnam (GSO). The domestic economic sector posted a deficit of $3.94 billion while the foreign-invested sector (including crude oil) grossed a surplus of $3.76 billion. The GSO said that total export revenue during January-February picked up 2.4 per cent year-on-year to $36.92 billion despite the impact of the COVID-19 epidemic, partly thanks to Samsung’s export of its new mobile phone model S20. colliers.com/vietnam

Daily Real Estate News Highlights Vietnam - 06 March 2020

CapitaLand achieves growth of 21 percent in PATMI

Bizhub CapitaLand Limited has achieved a total profit after tax and minority interests (PATMI) of over S$2.1 billion (US$1.5 billion) in fiscal year 2019, 21.2 per cent higher than that of last year. Operating PATMI was S$1.1 billion ($793 million), a record high for the group, it said. The group attributed the good results to Ascendas-Singbridge (ASB) businesses, assets acquired in fiscal year 2018, and assets that turned operational in fiscal year 2019.

NovaWorld Ho turnaround

Tram

graces

surroundings

with

A project of CapitaLand. The group has posted a growth of 21 per cent in profit after tax and minority interests in 2019

Vietnam Investment Review The coastal stretch spanning over 30km from Loc An to Binh Chau – one of most stunning coastal ring belts in Vietnam – is undergoing a facelift after Novaland announced the launching of its premier resort entertainment complex named NovaWorld Ho Tram with the scale of around 1,000ha in Second home at Tropicana is overlooking the sea the area.

Vietnam and India should increase bilateral trade

Vietnam Insider The trade war between the US and China wreaked havoc on global supply chains. The tit-for-tat imposition of tariff duties prompted many international manufacturers in China to move operations to other regional markets. A manufacturing exodus from China was initially seen as a potential opportunity for both India and Vietnam. The expectation was that the abundance of cheap labour in both economies would make them a viable alternative to China and bring manufacturing jobs to their shores, boosting exports, GDP growth and generating jobs.

Investors upbeat regarding EVFTA

Vietnam Investment Review European companies are eager to grasp new business and investment opportunities from the EU-Vietnam Free Trade Agreement and the EU-Vietnam Investment Protection Agreement. Magdalena Krakowiak, head of Public Affairs & CSR at Poland’s pharmaceutical firm Adamed RO Vietnam is upbeat about the European Parliament’s recent approval of the deals. In 2017, Adamed Group spent $50 million acquiring a controlling stake in Davipharm Co., Ltd., to capitalise on Vietnam’s fastest-growing pharmaceutical. Davipharm manufactures 300 medicinal products in most therapeutic classes.

Deutsche Bank to support Vietnamese cross-border trade

The Saigon Times Deutsche Bank on March 4 announced it is investing further in Vietnam to support larger trade flows from Europe, which are expected to increase following the recently ratified EU-Vietnam Free Trade Agreement. Deutsche Bank Vietnam Chief Country Officer Hans-Dieter Holtzmann noted in a statement: “The rise in FDI can be attributed to more foreign companies investing in supply chains in Vietnam to support intra-Asian trade. With supply chains facilitating more trade, we are clearly seeing more demand for both inbound and outbound Vietnamese dong (VND) currency payments.” colliers.com/vietnam

Daily Real Estate News Highlights Vietnam - 09 March 2020

Top 5 - Daily Updated Real Estate News Colliers International’s Residentail Highlights is daily news summary which features the latest updates on the Residence, Serviced Apartment, Office, Retail, and Industry Real Estate market.

Vincom Retail reserves $13 million support for tenants hit by COVID-19

Vietnam Investment Review Vincom Retail JSC, the retail arm of Vingroup, on March 5 announced reserving VND300 billion ($13 million) to support tenants in its 79 retail centres nationwide who are impacted by COVID-19. The majority of the Vincom Retail reserves $13 million will be used to subsidise rental charge for tenants and offer discounts and support for tenants hit by COVID-19 vouchers for customers who visit Vincom retail centres.

Samsung starts construction of new R&D centre in Viet Nam

Bizhub Samsung Electronics Viet Nam on Monday started construction of its largest research and development (R&D) centre in Southeast Asia in the new town of Tay Ho Tay in Ha Noi. With a total investment of US$220 million, the new R&D centre will be built over 11,603sq.m of land and 79,511sq.m of floor area. The building is designed with 16 stories above ground and three below ground, and is expected to be completed in late 2022.

Samsung starts construction of new R&D centre in Viet Nam

Vietnam banks’ 2019 results show improved solvency: Moody’s

The Saigon Times Rated banks in Vietnam posted solid profit growth and asset quality improvements last year, benefitting from the country’s robust macroeconomic environment, the U.S.-based ratings agency Moody’s Investors Service stated in a new report. “For 2020, capitalization will broadly stabilize, as assets grow at a similar pace to the rate of internal capital generation,” said Rebaca Tan, a Moody’s assistant vice president and analyst, in a statement. Moody’s pointed out that among 16 rated banks, 13 had adopted Basel II standards in 2019, and all of them already had capital adequacy ratios exceeding 8% as of late last year, the minimum under the new capital rules.

30th COVID-19 infection case confirmed in Vietnam

The Voice Of Vietnam The Ministry of Health on March 8 confirmed the 30th case of the novel coronavirus (COVID-19) infection in Vietnam, who was on the same flight VN0054 from London to Noi Bai International Airport with the 17th COVID-19 patient. The latest infection case was the 66-year old British female who has been currently under treatment in Hue city of the central province of Thua Thien Hue.

Compulsory health declarations for all in Viet Nam

Vietnam News Deputy Prime Minister and head of the National Steering Committee for COVID-19 Prevention and Control Vu Duc Dam on Sunday requested compulsory health declarations for all citizens in the country to start on March 10 at the latest. He made the announcement at a meeting of the committee in Ha Noi. He asked the Ministry of Information and Communications, Ministry of Health, Viet Nam Social Security and all network providers to plan and prepare technological tools so the declarations can be done online across the country.

colliers.com/vietnam

Daily Real Estate News Highlights Vietnam - 10 March 2020

Hong Kong-listed Suncity Group to invest US$34 million in Vietnam integrated resort Hoiana

Vietnam Insider The latest in a series of recent cash injections provided by Suncity Group, via its wholly-owned subsidiary Star Admiral Limited, and fellow stakeholder Alpha Era Investment Ltd – each of which hold an equal 50% Hong Kong-listed Suncity Group share – will see GYE receive a total of US$34,045,000 of which Star to invest US$34 million in Vietnam Admiral and Alpha Era will contribute US$17,022,500 each. integrated resort Hoiana

$5.5 million mega eco-urban area in Bac Ninh submitted to the PM

Vietnam Investment Review The mega eco-urban area is located in Tien Du district and Tu Son town, Bac Ninh province with a total area of nearly 1,700 hectares with seven phases. The Bac Ninh People’s Committee has approved the project’s 1/2000 zoning plan. With the total area of nearly 1,700ha, the project will be able to accommodate a population of about 80,000 people. The project will function as an eco-tourism urban area.

$5.5 million mega eco-urban area in Bac Ninh submitted to the PM

ADB: COVID-19 impact cost 0.41 per cent of Vietnam’s GDP

Vietnam Investment Review The Vietnamese GDP will sustain the ninth-largest impact from the COVID-19 among developing countries in Asia, according to the latest brief from the Asian Development Bank (ADB). The ongoing COVID-19 outbreak affects the People’s Republic of China (PRC) and other developing Asian economies in numerous ways, including sharp declines in domestic demand, lower tourism and business travel, trade and production linkages, supply disruptions, and health effects.

Hanoi ready to meet shopping surge over Covid-19 fears

VnExpress Big supermarkets in Hanoi have raised their volume of goods dramatically to meet Covid-19 induced demand in the city. After authorities announced the first confirmed case of the novel coronavirus in the capital Friday, thousands of residents rushed to markets and supermarkets to stock up on supplies. The most popular items were dry food, instant noodles, cooking oil, rice and fresh meat. Some big supermarkets in Hanoi told VnExpress on Saturday that there would be enough goods for the worried shoppers.

Aeon Vietnam plans US$2 billion expansion

Inside Retail Asia Japanese retail giant Aeon Vietnam says it will invest US$2 billion expanding its presence across the country. Aeon Vietnam opened its fifth shopping centre in the country last November, its second in the capital city Hanoi. Now, the general director of Aeonmall Vietnam, Iwamura Yasutsugu, says the company is eyeing 25 centres across the country. Aeon launched in Vietnam in 2013, opening its first mall, Celadon City, in a remote suburb of Ho Chi MInh City, which was expanded last June.

colliers.com/vietnam

VSIP II-A DEVELOPMENT LAND VSIP II-A IP, Binh Duong Province

Daily Real Estate News Highlights Vietnam - 11 March 2020

Property firm projects revenue to jump 3.5 times in 2020

Bizhub Property developer LDG Investment JSC hopes its total revenue in 2020 will jump 3.5 times from 2019’s figure to VNĐ2.75 trillion (US$119.3 million). Post-tax profit is forecast to rise by 16 per cent year-on-year to VNĐ700 billion. The company in 2019 earned VND785 billion in total revenue, down more than 50 per cent year-on-year. The figure was equal to 24 per cent of the full-year plan. The company managed to accomplish the profit target of VND603 billion set for 2019 and recorded a lot of income from selling financial assets, worth VND502 billion.

Property firm projects revenue to jump 3.5 times in 2020

ADB: Vietnam to lose 0.41 percent of GDP due to COVID-19

Vietnam Plus Vietnam is forecast to lose some 0.41 percent of GDP due to the novel coronavirus (COVID-19) outbreak, according to the latest report by the Asian Development Bank (ADB). Under ADB’s report titled “The Economic Impact of the COVID-19 Outbreak on Developing Asia” released late ADB: Vietnam to lose 0.41 percent last week, Vietnam’s damage was much better than that of other Asian of GDP due to COVID-19 economies, ranking ninth after Taipei (0.44 percent), Singapore (0.57 percent), Mongolia (0.74 percent), mainland China (0.76 percent), Hong Kong (0.85 percent), Thailand (1.11 percent), Cambodia (1.59 percent) and the Maldives (2.05 percent).

Foreign investors withdraw $147.7m in 20 days

Vietnam News Foreign investors have net sold a total of VNĐ3.4 trillion (US$147.7 million) in the last 20 trading days. Net foreign selling was attributed to worries about the downtrend of the global economy amid the spread of the novel coronavirus. Foreign capital has been flowing out of the Vietnamese market since the country returned from Tet holiday on January 30. Foreign investors offloaded a net value of VNĐ227 billion of local stocks on Monday. Net selling on the Ho Chi Minh Stock Exchange and the Ha Noi Stock Exchange hit VNĐ231 billion.

Vietnam reports 32nd COVID-19 infection case

The Voice Of Vietnam The latest female patient came into close contact with the 17th COVID-19 patient in the UK on February 27. She started coughing on March 2 with no fever and went to a hospital in London for medical check-ups. She was then given medicine to go home for treatment. On March 7, immediately after getting information about the 17th patient infected with COVID-19, she came back to the hospital for medical check-ups and was given more medicine. However, she displayed the symptoms of continued dry cough. The patient chartered a private jet to Vietnam and entered the country at 08:15 on March 9 with symptoms of mild fever and dry cough. She was immediately transferred to the Cu Chi field hospital by a specialized vehicle for strict isolation. Her X-ray result showed that she got interstitial pneumonia.

colliers.com/vietnam

Daily Real Estate News Highlights Vietnam - 12 March 2020

Vingroup sets foot in industrial park development

Vietnam Investment Review Jumping in industrial park development will help Vinhomes, a member of Vietnamese conglomorate Vingroup, make a definitive step towards sustainable development by covering the three key areas residential, office, and industrial park property. Vinhomes JSC has released information that Vingroup sets foot in industrial park it acquired part of the shares owned by Vingroup in Vinhomes Industrial development Park Investment JSC to become its parent company.

Vietnam greenlights controversial micro apartments in big cities

VnExpress Vietnam has approved a controversial regulation allowing the construction of micro apartments in commercial projects, which could intensify overpopulation in big cities. The Construction Ministry has approved the Vietnam greenlights controversial construction of commercial apartments as small as 25 square meters micro apartments in big cities (270 square feet), compared to the earlier minimum requirement of 45 square meters (480 square feet).

EVFTA adds fresh impetus to exports amid COVID-19 epidemic

The Voice Of Vietnam The European Union-Vietnam Free Trade Agreement (EVFTA) will serve as a new driving force to spur on export growth in the context of the spread of the novel coronavirus (COVID-19) epidemic which has caused plenty of challenges for export businesses. According to Deputy Minister of Industry and Trade Dang Hoang An, the nation’s import-export activities enjoyed strong growth during the first two months of the year despite facing various hurdles. Specifically overall import and export turnover reached US$74 billion, an annual rise of 2.4 per cent, as a result of Samsung boosting exports of their latest S20 products and therefore maintaining growth momentum over a two-month period.

All citizens, foreigners living in Việt Nam to provide health declarations

Vietnam News From Tuesday, Vietnamese citizens and foreigners living in Viet Nam will be able to declare their health status via smartphone-based apps co-developed by the Ministry of Health (MoH), Ministry of Information and Communications (MIC) and domestic IT companies. The two apps – NCOVI for Vietnamese nationals and Vietnam Health Declaration for foreigners in Viet Nam – launched on Monday afternoon are now available on Android’s Google Play Store and pending approval on the Apple’s App Store. These apps are recommended for all people living in the country to update their health status, helping the healthcare sector proactively control and prevent COVID-19.

US coronavirus cases have doubled in 3 days, Italy still under lockdown

Vietnam Insider There are now 1,000 coronavirus cases in the United States. The number of coronavirus cases in the United States has reached 1,000, according to a CNN tally. The number of patients identified has doubled since Sunday. Thirty-one people have died. Washington state remains the hardest-hit, with 273 patients and 24 fatalities. colliers.com/vietnam

Daily Real Estate News Highlights Vietnam - 16 March 2020

CapitaLand commences handing over Feliz en Vista to homebuyers

Vietnam Investment Review CapitaLand Ltd. (CapitaLand), together with Thien Duc Trading Construction Co., Ltd. (Thien Duc), has completed the first phase of Feliz en Vista and commenced handing over apartments to homebuyers. According to Andre Lim, general manager (South Vietnam) of CapitaLand, Feliz en Vista’s inspiration stems from the abstract notion of “The City Fabric” – a metaphorical city composed like a form of textile art, with interlacing threads of modernity and nature.

CapitaLand commences handing over Feliz en Vista to homebuyers

Authorities begin work on Biên Hòa-Vũng Tàu Expressway pre-feasibility study

Vietnam News The Ba Ria-Vũng Tàu People’s Committee has held a meeting to discuss the Biên Hòa-Vũng Tàu Expressway project with the construction consultant, Transport Engineering Design Inc, and related entities.

Port cargo volume records double-digit growth

Authorities begin work on Biên Hòa-Vũng Tàu Expressway pre-feasibility study

The Voice Of Vietnam Despite the falling number of ships arriving in Vietnamese ports as a result of the impact of the novel coronavirus (COVID-19), the volume of goods going through seaports has posted impressive growth. Figures indicate that there has been approximately 6,790 cargo ships and boats entering and leaving Vietnamese seaports from or via China and other nations that have been hit by the outbreak of the COVID-19 as of early March. The first quarter of the year has seen the number of cargo ships entering and leaving Vietnamese seaports, primarily from China, fall by approximately 15% in comparison with the same period last year.

Trump suspends travel from 26 European countries to US

Vietnam Insider In a primetime address to millions of Americans, President Trump misrepresented the travel restrictions he is imposing on travel between the United States and Europe. Trump said “we will be suspending all travel from Europe to the United States for the next 30 days” before adding that there will be “exemptions for Americans who have undergone appropriate screenings.” Those exemptions are far more extensive than the President made them out to be. They apply to all US legal permanent residents, citizens and some of their family members, according to a statement from the Department of Homeland Security.

Finance Ministry proposes 5-month extension of VAT and land rent payment for businesses

Vietnam News The Ministry of Finance has submitted to the Government a five-month extension of value-added tax (VAT), personal income tax and land rent fee payments for those affected by the COVID-19 epidemic. The extension is a key part of the Government draft decree on extension of tax payment and land rent to those affected by the epidemic, which is expected to come into effect soon to help businesses recover production and overcome difficulties, contributing to gaining the set economic growth target of 2020.

colliers.com/vietnam

Daily Real Estate News Highlights Vietnam - 17 March 2020

Đà Nẵng seeks approval for four property projects

Vietnam News The People’s Committee in the central coastal city of Da Nang has asked the city’s People’s Council to grant in-principle approval for four property projects expected to cost more than VNĐ3.67 trillion (US$158 million). The projects are an ecological urban area complex spanning 87.4ha in Hoa Son Commune, Hòa Vang District with 1,845 adjacent houses and 134 villas; two other complexes with a total area of 157ha and providing 2,517 adjacent houses, 323 villas and 394 apartments; and a 100ha lakefront eco-villa complex to be developed in Hoa Nhon Commune with 92 villas.

Da Nang seeks approval for four property projects

Real estate, travel firms optimistic about tourism recovery after epidemic

Vietnam Insdider Phung Quang Thang, deputy chair of the Vietnam Travel Association, said the industry’s growth hit a record high in December 2019 and then tumbled in January 2020, and has fallen into crisis since then. Travellers have cancelled tours, airline bookings and tour services. The loss to the tourism industry is estimated at tens of trillion of dong.

Real estate, travel firms optimistic about tourism recovery after epidemic

Can Tho solicits investment in housing Bizhub Can Tho City, the most developed locality in the Cuu Long (Mekong) Delta, continues to seek investment in housing projects. According to analysts, the city housing market will enjoy steady growth this year. Thieu Quang Thai, vice chairman of the Can Tho Real Estate Association, said the market would continue to grow thanks to the Government’s investment in transport infrastructure. Investment by city-based real estate firms as well as those from other localities in lands has perked up the market. VN and China to promote cooperation on trade activities though pandemic: minister Vietnam News Viet Nam and China, especially Guangxi Province, need to promote cooperation in resuming trade activities during and after the novel coronavirus (COVID-19) pandemic, according to Minister of Industry and Trade Tran Tuan Anh. Specifically, the two sides should resume supply chains and facilitate customs clearance for goods of the two countries, he said during a call at the weekend with Lu Xinshe, Communist Party Secretary of Guangxi Zhuang Autonomous Region, China.

Economy growing against the flow

Vietnam Investment Review Despite serious blows from the the global health epidemic, Vietnam’s lowered economic growth this year is nevertheless expected to remain far higher than that of regional nations due to its great efforts to create a business-friendly climate, and the knock-on implications of free trade agreements. Global economic analysts Trading Economics last week released its fresh forecast on the country’s economic growth this year, taking into account the COVID-19 outbreak which has reached over 80 countries across the world.

colliers.com/vietnam

BAU BANG DEVELOPMENT LAND Bau Bang IP, Binh Duong Province

Daily Real Estate News Highlights Vietnam - 19 March 2020

Unsold real estate inventory surges due to legal obstacles

VnExpress The unsold inventory value of listed real estate firms in Ho Chi Minh City last year surged 38 percent amid legal challenges. The figure rose to VND223.5 trillion ($9.6 billion), with 30 companies holding an unsold inventory value of over VND1 trillion ($43 million) each, according to Ho Chi Minh City Real Estate Association (HoREA).

Buildings in Ho Chi Minh City

Ministry tightens corporate bond issuances to prevent risks

Bizhub The corporate bond market had seen exponential growth in recent years as banking credit for several sectors was narrowed, forcing firms to shift to bond issuance to raise capital, Nguyen Khac Quoc Bao, head of the Financial and Bank Department at the HCM City Economics University.

Hong Kong is no longer in the Top 10 cities with the fastest house price increase

Ministry tightens corporate bond issuances to prevent risks

Thoi Bao Kinh Doanh Even though Hong Kong was in Hurun’s “Top 10 cities with fastest growth in home prices”, Hong Kong house prices are steadily declining due to Covid-19 and civil unrest. CK Lau, Managing Director of Colliers International responsible for valuation and advisory services in the Asian region, said that the decline in house prices could follow the rapid spread of coronavirus. He noted that sellers are willing to offer deeper discounts compared to the previous house prices. Finally, Mr. Lau asserted that the outbreak of Covid-19 has made the economic situation in Hong Kong fall in a worse condition.

Vietnam’s enterprises urge the Government to activate support policies

Vietnam Insdider The Government has offered a credit package worth VND285 trillion for businesses due to difficulties caused by COVID-19. The State has also extended payment deadlines for taxes and fees to support businesses, including value added tax, income tax, corporate tax and land rent. The finance ministry said the total amount of the five-month extension is estimated to be about US$1.3 billion. Those assistance measures are expected to help businesses and ensure social security during the COVID-19 pandemic. However, they have not yet come into effect. Mac Quoc Anh, Chairman of Hanoi Association of Small and Medium Sized Enterprises, said the State should take action to help businesses receive the support as soon as possible.

Coronavirus pandemic sends countries into lockdown

Vietnam Insider As of Monday, the World Health Organization has recorded 168,019 coronavirus cases and 6,610 deaths globally. A separate tally from the Johns Hopkins University, which is tracking cases reported by the WHO and additional sources, puts the number of cases at over 181,500 with at least 7,100 deaths. Nearly 79,000 patients have recovered around the world, according to Johns Hopkins. China: The country where the pandemic began reported 21 new confirmed cases of coronavirus — all but one imported from overseas — and 13 new deaths by end of day on Monday, according to China’s National Health Commission. colliers.com/vietnam

Daily Real Estate News Highlights Vietnam - 20 March 2020

Experts optimistic about industrial property prospects

The Voice Of Vietnam Experts are optimistic about industrial property development prospects in Vietnam, given the country’s rapid integration and improving investment climate. Economic expert Le Xuan Nghia said that Vietnam was part of a number of free trade deals, which together with the Government’s open policies, made Vietnam an increasingly attractive destination to foreign investors.

Experts optimistic about industrial property prospects

Vietnam becomes top 5 economic freedom gainers in Asia-Pacific region

Vietnam Insider According to the report on the 2020 Index Economic Freedom, Vietnam jumped 23 positions higher from its global rank of 128th in 2019, becoming one of the top 5 economic freedom gainers in the Asia-Pacific region with a score of plus 3.5. Vietnam ranks 21st among the 42 countries in the Asia-Pacific region and 105th in the world.

Vietnam becomes top 5 economic freedom gainers in Asia-Pacific region

Finance ministry to reduce some securities service fees

Vietnam News The Ministry of Finance has approved a plan to reduce the fees for some types of securities-related services this week to support market members and investors badly impacted by the COVID-19 pandemic. According to the Chairman of the State Securities Commission Tran Van Dung, the move aims to stabilise investors’ psychology, soothe the roiled market and ensure social security amidst the pandemic.

VN stocks dive as global markets halt trading

Bizhub Vietnamese shares tumbled on Thursday morning as large-cap items were under pressure over circuit breaks in global stocks markets. The benchmark VN-Index on the Ho Chi Minh Stock Exchange plunged 3.65 per cent to close at 720.36 points. The HNX-Index on the Ha Noi Stock Exchange fell 1.26 per cent to end at 100.56 points. The VN-Index edged up 0.25 per cent on Wednesday while the HNX-Index had gained a total of 2.21 per cent in the previous two days. More than 283 million shares were traded on the two exchanges, worth VND2.53 trillion (US$108 million). Of the total, more than 255 million shares were exchanged in matched orders, worth VND2 trillion. Worries about the global economic growth amid the COVID-19 pandemic erased positive confidence investors had had on Wednesday.

Central Vietnam seeks solutions for large-scale projects across sectors

Vietnam Investment Review Local authorities in the central provinces are doing their utmost to break impasses as a raft of projects in the region are behind schedule or in danger of having their plans crossed due to diverse problems of land clearance and investment resources. About 10 major projects are currently facing impediments in land procedures in Quang Nam province. Among these, BRG Group’s five major projects on commerce, services, resorts, entertainment, and sports with a total area of over 369 hectares are stuck.

colliers.com/vietnam

Daily Real Estate News Highlights

Vietnam - 24 March 2020

Ho Chi Minh City suggests halving land lease tax for real estate companies

Vietnam Investment Review Ho Chi Minh City People’s Committee has just submitted a proposal to the prime minister to introduce a range of supportive measures to help out the real estate market which has been strongly impacted by the coronavirus. Accordingly, the committee suggested the prime minister to consider and permit cutting land lease tax by half for real estate developers in 2020 and 2021.

Ho Chi Minh City suggests halving land lease tax for real estate companies

Expressway component projects to be shifted to public investment

Vietnam News Three component projects of the North-South Expressway master plan are expected to be shifted from the private-public partnership model to the public investment model. The Mai Son – Highway 45 Expressway, Expressway component projects to Highway 45 – Nghi Son Expressway and Phan Thiet – Dau Giây section be shifted to public investment are to be changed. Initially, a total of eight sections out of 11 sections of the expressway were meant to be invested in a public-private partnership (PPP) model.

DaNang strives to become regional major socio-economic centre Nhan Dan Online Prime Minister Nguyen Xuan Phuc has approved a master plan on socio-economic development in Da Nang until 2020 with a vision to 2030 under which the central city will become one of the major socio-economic hubs in Vietnam and Southeast Asia. Under the plan, the city has set a target of becoming a centre for start-ups, innovation, tourism, trade, finance, logistics, and information technology; and one of the major centres for culture, sports, education and training and health in the country. COVID-19: Foreign arrivals in Vietnam suspended as of March 22

The Voice Of Vietnam Vietnam will temporarily suspend any foreign arrivals in the country as of March 22 in an effort to halt the spread of the novel coronavirus (COVID-19) to the wider community, according to the Government Office. The decision, coming into effect as from 00.00hr (local time), applies to all foreigners, except for those entering Vietnam for diplomatic and official purposes or for those wishing to enter Vietnam for key diplomatic events, specialists, business managers and highly skilled workers.

Businesses seek measures to cope with COVID-19

Bizhub Local enterprises have sought ways to cope during the novel coronavirus (COVID-19) pandemic instead of suspending business or scaling back. Ho Quynh Hung, chairman of the director board and general director of the Dien Quang Lamp Joint Stock Company, said besides finding new suppliers of input materials at home and abroad, the company has boosted production of LED chips, an important raw material of LED lamps. Dien Quang’s high-tech factory producing LED chips was put into operation in 2019 to help it reduce its dependence on imported raw materials. colliers.com/vietnam

INDUSTRIAL & RESIDENCE DEVELOPMENT LAND Phuoc Binh Commune, Long Thanh District, Dong Nai

Daily Real Estate News Highlights Vietnam - 25 March 2020

Airline service fees reduced for next six months

Vietnam News The Airports Corporation of Viet Nam (ACV) has announced it will reduce airline service fees for six months from March to August to support airlines suffering from the COVID-19 pandemic. On Friday, ACV reduced fees for a range of airline services at airports, including service fees for aircraft navigation (cut by 50 per cent); and pipe ladder services, carousel rentals, automatic baggage handling, check-in counters and ground services (by 10 per cent).

Airline service fees reduced for next six months

Can Tho targets $450 million in FDI

Vietnam News The Mekong Delta City of Can Tho hopes to attract about US$450 million in foreign direct investment (FDI) in 2021-30, according to a plan recently approved by the municipal People’s Committee. In 2021-25, Can Tho targets securing $200 million of foreign direct investment (FDI) with some $150 million expected to be disbursed. In 2026-30, it aims to grab about $250 million with $200 million disbursed.

Can Tho targets $450 million in FDI

Major firms deploy remote work campaign

VnExpress Staff at major companies are working from home as Vietnam records a rising number of new coronavirus cases in Hanoi and HCMC. E-commerce company Tiki has let thousands of office workers nationwide work from home for a week until March 22. Ride-hailing Be Group let staff work from home starting March 16 until further notice. This is the second work from home period the company imposed amid the coronavirus outbreak, the first in early February. U.S. coworking space WeWork, having closed some facilities globally, still operates in Vietnam, but have suspended all crowd-gathering events to limit contagion.

US has no plan to suspend import of Vietnamese garment-textiles: ambassador

Nhan Dan Online The US Government has no plan to suspend the import of Vietnamese garment-textiles, said Vietnamese Ambassador to the US Ha Kim Ngoc. The embassy has contacted relevant US agencies to clarify the information, the ambassador said. He pointed to the sound development of the Vietnam-US comprehensive partnership, with two-way trade reaching US$77.6 billion in 2019, making Vietnam one of the US’s 15 biggest trade partners. In the first two months of this year, Vietnam’s exports to the US grew 25.7% to US$10.26 billion, in contrast to its decreasing export values to some other markets.

Hanoi strives to solidify status as strongest capital magnet

Vietnam Economic News Hanoi was the biggest attractor of foreign direct investment (FDI) in Vietnam in 2018 and 2019, and the capital is continuing administrative reform to improve its investment environment, and innovate investment, trade and tourism promotion. According to the Hanoi Statistical Office, in January 2020, Hanoi attracted 68 newly licensed FDI projects totaling US$30.2 million in registered capital, including 61 wholly foreign owned projects and seven joint venture projects. In the same month, seven FDI projects increased their capital by US$71.4 million, and foreign investors bought shares or contributed US$40 million to companies in Vietnam. colliers.com/vietnam

Daily Real Estate News Highlights Vietnam - 26 March 2020

Foreign direct investment keeps flowing to Vietnam

Vietnam Insider According to economic experts, this stems from the advantage of Vietnam’s successful signing of the European Union-Vietnam Free Trade Agreement (EVFTA). In addition, the wave of shifting investments to Vietnam among foreign companies, which has been taking place since late 2019, is being Foreign direct investment keeps further accelerated in early 2020. flowing to Vietnam

Condotels to flare up with legal fine-tuning

Vietnam Investment Review With the tourism real estate market almost frozen after the collapse of luxury resort project Cocobay and the harsh impact of COVID-19, good news has come recently in the form of a new document issued by the Ministry of Natural Resources and Environment meant to guide the land use regime and ownership certification of non-residential construction Condotels will be tourism works. businesses or villas with different

Key traffic projects begin in Đà Nẵng

rights

Vietnam News The central city has commenced construction of a west ring road and bridge to ease congestion on National Highway1A and link Highway 14B with the southeast urban zone. The city’s priority infrastructure project includes a 14.3km section and a bridge spanning the Co Co River, with total investment of US$61.37 million. The project is being funded by the Organization of the Petroleum Exporting Countries (OPEC) Fund for International Development and the city. The project will help connect industrial parks and zones in Liên Chieu District and suburbs in the south on the way to Hoi An. Contractors have been given 17 months to complete the project.

Ha Noi approves establishment of two industrial clusters

Bizhub The Ha Noi People’s Committee has approved the establishment of Dong La Industrial Cluster (IC) and the second phase of Duong Lieu IC in the city’s Hoai Duc District. The committee has directed Hoai Duc District People’s Committee to select investors with sufficient financial capacity to develop technical infrastructure of the two ICs. Meanwhile, the city Department of Industry is responsible for appraising documents related to IC development and submitting them to the municipal People’s Committee. Local authorities have made great efforts to attract foreign and domestic enterprises to ICs over the years.

VN-Index loses for fourth consecutive session

VnExpress Vietnam’s benchmark index fell 1.1 percent to 659.21 points Tuesday, its fourth straight losing session, with Vingroup related tickers leading market losses. The Ho Chi Minh Stock Exchange (HoSE), on which the VN-Index is based, saw a far more balanced session compared to Monday when it has plunged 6.08 percent, the bourse’s second highest single-day loss since 2001. 158 stocks gained while 196 lost Tuesday, with 38 closing at their floor prices, the lowest they could go in a trading session.

colliers.com/vietnam

Daily Real Estate News Highlights Vietnam - 27 March 2020

Hanoi second metro to have test run this year

VnExpress With construction nearing completion, Hanoi’s second metro line is scheduled to have a test run at the end of this year. Construction of beams and columns for the 8.5-km elevated section of the Nhon-Hanoi Railway Station line is complete, the Hanoi Metropolitan Railway Management Board said Tuesday.

Ministry targets no drop in exports this year despite COVID-19

An elevated section of the Nhon Hanoi Railway Station in Hanoi

Bizhub The Ministry of Agriculture and Rural Development has targeted no drop in export value of agricultural products this year, even though the sector was hit hard by the novel coronavirus (COVID-19) pandemic from the beginning of this year. The ministry said that exports to China were seeing Viet Nam kept the goal of signs of recovery. agricultural export at US$43 billion

Vietnam attracts $4 billion FDI capital despite COVID-19 crisis

despite the COVID-19 pandemic

Vietnam Investment Review Although the COVID-19 crisis is deepening across the globe, Vietnam managed to woo $4 billion in FDI capital in the first quarter. As of March 20, 2020, the total newly and additionally registered capital and capital contributed and shares purchased by foreign investors was $8.55 billion, equaling 79 per cent of the same period in 2019, according to a report by the Foreign Investment Agency (FIA) under the Ministry of Planning and Investment. The disbursed capital of foreign direct investment (FDI) projects was estimated at $3.85 billion, equaling 93 per cent of the corresponding period last year.

Vingroup proposes a 4.23 mil USD relief package to combat Covid-19

Vietnam Insdider Through the Vietnam Fatherland Front Central Committee, the firm presented 100 ventilators, 20 PCR equipment, 800 test kits and 200 COVID-19 fast-tracking test kits produced by the Republic of Korea. Vingroup has to date allocated nearly 450 billion VND to support the country’s fight against the COVID-19. Previously, it earmarked an aid of 20 billion VND to the Ministry of Science and Technology for three studies on COVID-19 quick response and another worth 5 billion VND to the Ministry of Health.

More than VND400 bln raised for COVID-19 prevention work

The Voice Of Vietnam More than VND400 billion (around US$17 million) have been mobilised for COVID-19 prevention and control work after Prime Minister Nguyen Xuan Phuc called for public support to the fight against COVID-19. As of March 24, the COVID-19 prevention and control fund has collected nearly VND340 billion from agencies, businesses and individuals and VND62 billion who contributed via SMS messages through the National Humanitarian Portal 1400, reported the Vietnam Government Portal. President of the Vietnam Fatherland Front Central Committee Tran Thanh Man said that the contributions of agencies, organisations, businesses and people have manifested the solidarity of all Vietnamese people in struggling against the COVID-19 pandemic. colliers.com/vietnam

Daily Real Estate News Highlights Vietnam - 30 March 2020

Property developers offer more products, support to boost HCM City market

Bizhub The HCM City real estate market provides more housing projects and subsidises rentals to boost the market amid the Covid-19 epidemic. An announcement by the city Department of Construction in the first quarter said there were 3,137 housing products comprising apartments and townhouses in nine projects in the market.

CapitaLand commences handing over Feliz en Vista to homebuyers

New Vinhomes subsidiary to crack open industrial park sector

Vietnam Investment Review Vinhomes Industrial Park Investment JSC, a subsidiary of Vinhomes, has hiked its charter capital from VND70 billion ($3 million) to VND6 trillion ($260.87 million), 86 times higher than the previous figure. On February 27, Vingroup Ventures was renamed to Vinhomes Industrial Park Investment, changing its main business line from supporting startups and education to industrial real estate development to create a new growth motivation for the company and the group.

Authorities begin work on Biên Hòa-Vũng Tàu Expressway pre-feasibility study

Flexible offices rise in the pandemic season

The Voice Of Vietnam The demand of enhancing collaboration and productivity are encouraging many companies and organisations to approach more progressive fit outs and flexible office spaces in Vietnam, especially as coronavirus spreads worldwide. The Vietnamese government, among others, is advising people to stay at home. Events have been cancelled, and companies are permitting their staff to work remotely. This is leading to an increasing demand of flexible office spaces where people can still work with enough facilities like they have at the office.

Vietnam seeks to expand market to sustain GDP amid COVID-19

The Voice Of Vietnam Vietnam is striving to battle the COVID-19 pandemic while attaining socio-economic growth targets with authorities and enterprises making every effort to increase exports and stabilize the domestic market to sustain GDP this year. The Ministry of Industry and Trade said that although the pandemic has affected production and goods distribution, Vietnam’s exports in the first two months of this year grew 8.4%, much more than last year. But the Ministry expects global trade to face a lot of difficulties in the near future.

VRE, SSI to take higher weight in VN30: VDSC

Vietnam News Property developer Vincom Retail (VRE) and SSI Securities (SSI) are two of four stocks expected to weigh more in the large-cap VN30 basket, according to Rong Viet Securities Corp (VDSC). The two other stocks are FLC Faros Construction Corp (ROS) and PetroVietnam Power Corp (POW). Meanwhile, the market regulator will reduce the weight of VP Bank (VPB), sugar firm Thành Thành Công-Biên Hòa JSC (SBT) and tech group FPT (FPT). The change will be made by the Ho Chi Minh Stock Exchange (HoSE) when the southern market regulator completes reviewing the large-cap basket in April. colliers.com/vietnam

COLLIERS INTERNATIONAL

HO CHI MINH OFFICE Deutsches Haus HCMC, 33 Le Duan, 3rd Floor HCMC, Vietnam Tel +84 (28) 3827 5665 Fax +84 (28) 3827 5667

For market research reports, please visit our website at www.colliers.com This document has been prepared by Colliers International for advertising and general information only. Colliers International makes no guarantees, representations or warranties of any kind, expressed or implied, regarding the information including, but not limited to, warranties of content, accuracy and reliability. Any interested party should undertake their own inquiries as to the accuracy of the information. Colliers International excludes unequivocally all inferred or implied terms, conditions and warranties arising out of this document and excludes all liability for loss and damages arising there from. This publication is the copyrighted property of Colliers International and/or its licensor(s). All material are sourced and collated in this document by Colliers is from the public domain. ÂŠ2019. All rights reserved. contact@colliers.vn