Our Development Your Opportunities Investment Memorandum 2016-2017
Live life to the fullest
Rung Co Apartments and Vuon Tung villa community, Autumn 2015
Our Development
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Content
Introducing Ecopark 8 Ecopark Overview
Introducing Vihajico
Exciting Investment and Partnership Opportunities
17 Major Sub-Projects
35 The Advantanges of Ecopark
46 Primary Shareholders & Partners
10 Core Values
18 Benefits for Stakeholders
36 Forms of Investment
47 Exciting Partnerships under Development
12 Location
19 Residential Portfolio
37 Master Plan Division
52 Key Success Factors
14 Master Plan
23 Community Amenities
41 Project Schedule
54 Regulatory Background
15 Master Plan Key Statistics
29 Infrastructure
43 Sub - Projects
54 Capital Resources
30 Success and Recognition
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31 Key Milestones
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Introducing Ecopark Our Development
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Your Early morning at Ecopark, Autumn 2015Opportunities (photo: Cuong Nguyen)
Ecopark Overview
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2016 Ecopark Master Plan - Bird eye view
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Intersected by the picturesque Bac Hung Hai River and blessed with beautiful vistas of the surrounding woodlands and waters, Ecopark boasts 500 hectares of fertile land with over 100 hectares of “green and blue� open space.
Having secured freehold ownership and exclusive development rights to 500 hectares of land in 2003, Vihajico has made tremendous progress in creating Ecopark - an innovative, market-leading township development. Vihajico invested six years in the production of a visionary and award-winning master plan that has received both recognition and support from national and
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local authorities. Meticulous execution of this plan throughout Zone I has transformed the initial vision into the vibrant development that is Ecopark today. Vihajico’s leadership is committed to this long-term vision to build a sustainable development and quality living environment that provides a comprehensive range of services for residents, visitors
and businesses alike. Unlike smaller developments that deliver only a limited range of products and services, Vihajico strategically acquired a critical mass of land with a clear intention to create an integrated township. As a result, Ecopark will satisfy the housing, service and infrastructure demands of the region while upholding the unique values of the traditional Vietnamese community.
Core Values
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Nature
A green environment significantly enhances one’s physical and psychological well-being. Ecopark is designed in a way that fosters harmony between the built and natural environments and is responsibly constructed so as to protect and preserve nature for future generations.
Culture
With thousands of years of rich history and tradition, Vietnam is on the cusp of a rapid economic transformation. Modern sustainable developments such as Ecopark should preserve the country’s cultural heritage, maintaining a sense of the past as Vietnam progresses into the future.
People
By nature, humans aspire to experience, achieve, and grow. The ideal community, therefore, should promote a comfortable, healthy, and balanced lifestyle, while creating opportunities for occupational, intellectual, and spiritual growth. It is this people-focused philosophy which has influenced the design of Ecopark.
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Photo by: Minh Chau Nguyen Early morning at Vuon Tung villa community, Spring 2014
To L
Bac Giang
ao C
ai
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52
km
From Noi Bai Airport 30 minutes
Location
km
From Bac Giang
to Thai Nguyen Noi Bai Airport
32
km
From Bac Ninh
Vo Nguyen Giap Highway
Vo Van Kiet Highway
Bac Ninh
To Quang
Bri dg e
ong Bri dge
Tan
West Lake
km
From My Dinh 30 minutes
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Radius 10 g on
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40
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From Hung Yen
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Master Plan
y Hw
Your Opportunities
Bac
ARCHITECTURE AND LANDSCAPING MASTERPLAN
Hu
ng
Ha
2016
i Ri
ver er
g Hai Riv
Bac Hun
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15
Hanoi
2016
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wy cial H provin ng Yen) g Yen - Hun (toward Hu
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Ecopark’s master plan was skillfully designed by CPG, one of the leading infrastructure, building development and management service providers in the Asia Pacific region. With a clear vision to create an urban township with a resort-like sense
of place, Vihajico and CPG have minimized quantity of residential land in favor of maximizing quality by reducing residential land-use to 160 hectares (32%) so as to increase the natural ‘green and blue’ land-use to100 hectares (20%). As a result, visitors to Ecopark are impressed by both the modern design and lush greenery, which together create the relaxing ambience of a luxurious resort.
16 Design Objectives Sustainable design solution for rapid growth and modern urbanization Strategic location at the gateway to Hanoi from Hung Yen, Bac Ninh, Hai Duong, and Hai Phong
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Master Plan Key Statistics
500 30,000 150,000 40,000 6.7 million 1,825,000 US$10 billion
hectares jobs created residents
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homes square meter GFA
projected visitors per year total investment
Mixed-use development components and distinctive districts Modern resort-like township offering a healthy lifestyle and safe environment for families, young professionals and multinational expatriates
Flexible urban grid framework, able to respond to future users’ and market preferences
Residential
160 ha
Transportation
117 ha
‘Green and Blue’
100 ha
Commercial
99 ha
Public Works
24 ha
32% 23% 20% 20% 5%
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The estimates are based on curent approved Masterplan
Major Sub-Projects
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Benefits for Stakeholders
Palm Springs Community
Ecopark offers a comprehensive environment in which to live, work, and relax. Creating opportunities for personal and professional growth, Ecopark is a place where families can live healthy, safe, and comfortable lives and professionals can seek quality employment. Residents can enjoy a modern lifestyle within their resort-like community, while visitors can immerse themselves in the relaxing ambience of Ecopark’s lush, picturesque landscape.
Park River Residences
Ecopark offers a critical mass and stable flow of consumers including Ecopark residents and visitors alike. As a premium quality serviced township, Ecopark partners with world-class institutions that share our vision to provide a full complement of services and amenities to our stakeholder communities.
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19 For residents and visitors
Aqua Bay Community
For companies located in Ecopark
Commercial and Services
Infrastructure
Residential
Commercial
Green and Open Space
High-Rise Residential 1
Clubhouse
Water
High-Rise Residential 2
Retail Commercial
Water treatment
Mid Rise
Mixed-use
Drainage
Low Rise
Entertainment and Sport
Transport Service
Old Town
Admin
Sports
Public Works
Creative (SOHO)
Utility
Ecopark encourages rapid economic growth by creating a modern hub for commerce and tourism with its advanced infrastructure, highly competent workforce and affluent consumer base. Ecopark’s high quality facilities and award-winning design help support the attraction and retention of a stable supply of potential employees who live and work close by. Leading educational institutions, both on-site and in the surrounding region, not only educate the young children of families but also prepare young professionals for their future careers.
Knowledge
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For service providers
For Hung Yen province, the Hanoi region, and Vietnam
Ecopark stimulates economic growth by creating jobs, contributing to tax revenue and offering an inspiring destination for people from Vietnam and overseas. Additionally, Ecopark sets the highest standards, developing a township that incorporates modernity and tradition, the latest technology and natural greenery. Located in a region rich in history and tradition, Ecopark celebrates the ancient culture and traditions of the surrounding areas, integrating these elements into the design of northern Vietnam’s newest, most innovative township.
Residential Portfolio
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High-rise Apartments Low-rise Villas
1500 Rung Co Apartments in Palm Springs were sold to future residents and investors significantly faster than expected, despite a tumultuous real estate environment. More than 2,000 West Bay Sky Residences apartments providing small-sized apartments with 5-star amenities were sold within 1 month.
Ecopark’s premium villas within a gated setting proved similarly popular within the market for its lush grenery and natural lifestyle.
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Amenities
Shop-houses Ecopark’s shop-house concept properties were viewed as ideal products for commercially-minded home-owners.
Premium residential properties are further enhanced by luxury amenities.
Successes to date Ecopark’s Phase I products have been well received by customers because of the emphasis placed on delivering “premium products at reasonable prices”. Recognizing the challenges of the real
estate market since 2009, Vihajico’s leadership team chose to design and build smaller apartments and villas whose prices fall into the lower range of comparable products. Reasonable prices together
with an exceptional living environment appeal to home-buyers, who in turn have convinced other families and friends to invest in and relocate to Ecopark.
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In addition, sales of Ecopark’s first three completed residential property projects have outperformed the market and Ecopark is currently considered the benchmark for modern township developments in Vietnam. In early 2014, the communities in the city of Ecopark have come to life as more than 2000 homes have been handed over to customers with nearly 8,000 residents living in their new homes at Ecopark. In 2013, Vihajico, the master development company celebrated its 10th anniversary. Over the past decade, through countless hours of planning and labor, our dedicated team has prepared the city to support its first residents and at last, the dream has been realized.
After a series of successful sales launches in 2014 including a 300 home launch of Park River, in early October 2015, Ecopark Township’s investor, the Viet Hung Urban Development and Investment JSC (VIHAJICO) organized a first phase sale of 126 villas and shop-houses in Aqua Bay, with all units selling in just a few hours. The event attracted significant interest from the market with more than 1,000 customers registering for the opportunity to become owner of one of 126 offered products. An impressive number of 3,500 homes were sold out just within 6 months. Also, the Ernie Els Performance Golf Academy, which is under construction at the moment and scheduled for opening soon in 2017, will
become the foremost golf academy in the Asia Pacific region, dedicated not only to enhancing golf performance, but creating an environment framed by world-class service and hospitality. The successful execution of the Ecopark project to date has been a strong testament to the development team’s capabilities, signaling an auspicious start for Ecopark’s long-term development. In addition, key lessons learned from the development of Phase I continue to be incorporated into Vihajico’s longer- term strategy, enabling later phases to achieve even more robust success metrics.
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Spring Park 2016
Community Amenities
Ecopark is designed to be a multi-functional township with fully equipped facilities such as clubhouse, sports complex, parks, children playgrounds,
K-12 schools and retail. Service users also find themselves immersed in tropical wonders of blooming flora and luscious gardens forming a state of the
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art landscaping system throughout the township. Ecopark does not just provide homes for residents; it creates for them the ideal living environment.
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Clubhouses at the heart of each Ecopark community feature spacious outdoor pools and well-equipped sports complexes all catering to residents’ every whim and fancy. Together with serene natural
backdrops, they have made Ecopark an ideal get away destination for those who seek a relaxing sanctuary from the busy city life.
Photos are taken on site by Ecopark residents
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Socio - Cultural Services Environmental management serviced provided by an in-house team of cleaners in conjunction with experienced contractors. Safety and security service provided by a team of 200 township security personnel and three key contractors.
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Community development activities programmed and carried out by Savills Vietnam property management division and Jones Lang LaSalle Vietnam property management division.
Environmental services
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Recreational Facilities
Healthcare services within the township provided by Ecoclinic - a township medical clinic of 1200sqm with a total investment of approximately US$4 million. Kindergartens provided by Fuji and EcoKids for more than 200 kids from early ages up to 4. Primary and Secondary Education provided by the Doan Thi Diem - Ecopark school, a modern campus capable of teaching up to 1500 students from 1st grade to 12th grade.
A security guard welcomes guests
Higher Education partners (including the British University Vietnam, a 6.5ha modern campus with total investment of approximately US$60 million; and Tokyo Vietnam Human Health Sciences University with total investment of approximately US$20 million) Comprehensive car services by Car Care provide excellent and professional services at reasonable prices.
Saigon Car Care
Lunar New Year festival
Fuji Kindergarten
EcoClinic
Tokyo Vietnam Human Health Sciences University Vietnam
The Ernie Els Performance Golf Academy, a 10-hectare world class golf training facility, the largest in Asia The Summer Park, an operational public park capable of holding large scale events of up to 5000 people Kolorado Indoor Children Play Center
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with a capacity of 500 children
throughout the township.
Various community Clubhouses with facilities including tennis courts, badminton courts, Adults and Children swimming pools, dry and steam sauna facilities, gym and fitness centers, and resident bar and clubhouse.
The Southern Sports Complex, a comprehensive 5-hectare facility including public fitness center, 6 tennis courts, an Olympic pool and a regulation football pitch.
A range of food and beverages outlets; retail shops and cultural performances.
The River Park, a multi-function event space for live music and creative arts
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Dedicated bicycle path and route planned
Cycling in the nature
Southern Sports Complex
Vuon Mai Clubhouse
Kolorado Indoor Children Play Center
Els Performance Golf Academy
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A 18th hole signature championship golf course (under design and licensing process)
World-famous Golfer Ernie Els
Retails and F&B outlets in Pho Truc
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Artist’s rendering of Park River Shophouses and Residences Sunrise at Ecopark (Photo: Quang Van Le)under development, 100% sold out by Dec 2014 Community
Infrastructure
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Success and Recognition
Roadworks By early 2015, Vihajico had already completed over 21 kilometers of an interprovincial highway connecting Hanoi to the center of Hung Yen province. The Ecopark project has made a tremen-
dous contribution to the transportation infrastructure for Hung Yen, facilitating the urbanization process of this industrial hub.
Since 2009, Vihajico has focused on Palm Springs Community, an initial 54-hectare development which comprises 10% of the total Ecopark development.
Despite the tumultuous real estate market following the 2008 global financial crisis, Ecopark has remained committed to its strategic vision, completing the
development on time and on budget, generating tremendous sales in spite of the prevailing market and receiving six prestigious awards along the way:
2015-2016 International Best Residential Landscape Architecture
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by International Property Awards
2015-2016 Asia-Pacific Best Residential Landscape Architecture by Asia Pacific Property Awards
2015-2016 Asia-Pacific Best Mixed-use Development by Asia Pacific Property Awards
2015 - 2016 Vietnam Best Mixed-use Development
Landscaping
by International Property Awards
2015 - 2016 Vietnam Best Residential Landscape Architecture
Spectacular landscaping appeals to Ecopark residents and visitors alike.
by International Property Awards
2014 - 2015 Vietnam Best Mixed-use Development by Asia Property Awards
2014 Vietnam Best Condo Development by Asia Property Awards
2013 - 2014 Highly Commended Mixed-use Development by International Property Awards
2013 South East Asia
The successful execution of the Ecopark project to date has been a strong testament to our capabilities, signaling an auspicious start for Ecopark’s long-term development. In addition, key lessons learned from the development of Phase I continue to be incorporated into Vihajico’s longer-term strategy, enabling later phases to achieve even more robust success metrics. For example, best practices in the design and construction of villas and shop-houses from Phase I have been applied to ensure even greater success for upcoming projects in Phase 2.
Highly Commended Green Development by Asia Property Awards
2012 - 2013 Vietnam Best Mixed-use Development by International Property Awards
2012 Vietnam Green Architecture Award
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by Vietnam Architecture Association
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Key Milestones
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2009
2012
2013
2016
2014 Clubhouse and driving range are designed and construction begins.
Commercial and Services Golf Course
Entertainment and Recreation
Summer Park is built. Ecopark hosts thousands of home buyers and prospective customers at weekly and monthly events.
Kolorado’s outdoor children center is operational.
Evaluating prospective investors/partners.
Clinic is operational. Partnership agreement to develop a hospital is signed.
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2015-2016 Golf course construction begins.
Golf course is operational.
Major entertainment center in Phase II is operational.
Hospital project feasibility study is completed.
2020 Ecopark holds international golfing tournament.
Ecopark is the entertainment hub of northern Vietnam.
Hospital is operational.
Clinic and Hospital Pho Truc and Phase 2 shop-houses become are shopping and dining destination.
Pho Truc restaurants start to operate.
Pho Truc becomes a shopping and dining destination in Hanoi region.
Son Ca kindergarten begins construction. Doan Thi Diem School begins construction. BUV and Vihajico sign partnership contract.
Doan Thi Diem School is operational. BUV and Vihajico conduct groundbreaking ceremony.
Restaurants and Retail
BUV completes Phase I and begins operation.
Schools Hypermarket and shopping malls are operational.
First supermarket is operational.
Supermarkets / Hypermarket / Shopping Malls
Other Residential Properties (Island Villas, Villas in Golf Course, Mid-rise and High-rise Products) Land cleared and filled Properties designed.
Properties start to go on sale.
Ecopark offers the best portfolios of schools in Northern Vietnam.
Ecopark becomes an attractive location for a variety of industries.
Continued development and sale of innovative benmark properties.
Properties start to go on sale.
Residential Properties
Ecopark becomes the destination of choice for food and shopping.
Property sales continue.
Phase II Villas, Shop-houses
Phase I Residential Properties (apartments, villas, shop-houses)
500 apartments, 340 villas, and 120 shop-houses complete.
Construction begins.
Phase I begins.
1,000 additional apartments complete.
Continue land filling and landscaping of all 499 hectares.
Phase 2 begins.
Land Filling and Landscaping
Infrastructure and Highway
Access road between Thanh Tri Bridge and Ecopark opens to traffic.
Basic infrastructure of Phase I.
2009
Ecopark continues to develop new solutions for sustainable development in Vietnam.
Vihajico’s contribution to the regional infrastructure stimulates further development in Hung Yen Province.
Bac Hung Hai Bridge construction complete.
2012
2013
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Urban linear parks and green open space add value to the central business district.
2014-2015
2020
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Introducing Ecopark Our Development
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Springtime of youth, Ecopark Summer 2016
The Advantanges Of Ecopark
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Ecopark is well on its way to becoming the largest, most comprehensive and most modern township in northern Vietnam. Since 2009, Vihajico, Ecopark’s sole developer, has successfully completed Zone I of the project, an initial 54-hectare development comprising 10% of Ecopark’s total property landholding. In less than three years, this low-lying site has been transformed into a vibrant township with resort-like amenities. By
early 2012, buyers had started to take ownership of their residential properties and relocate to Ecopark. Between late 2012 and mid 2013, Vihajico delivered approximately 1,500 apartments, 340 villas, and 120 shop-houses to its customers. In early October 2015, Vihajico organized a first phase sale of 126 villas and shop-houses in Aqua Bay, with all units selling in just a few hours. In June 206, more than 2,000 West Bay apart-
Strategic location Ecopark’s 500-hectare site not only borders Hanoi but is also en route to many of northern Vietnam’s major industrial cities (Hung Yen, Bac Ninh, Hai Duong, and Hai Phong). Ecopark can be easily accessed from Ring Roads 2 and 3 via Vinh Tuy and Thanh Tri bridges, positioning it about 10 kilometers from Hoan Kiem Lake and 26 kilometers from My Dinh.
Forms of Investment
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Your Opportunities
ments in various sizes were sold out in a month, recording thousands of people lining up overnight for a chance to buy the 5-star amenity apartments. Ecopark offers a unique opportunity for partners to contribute to the realization of the enormous potential of this visionary, environmentally friendly township development. Ecopark distinguishes itself from other development projects for a number of reasons:
Delivering products in a timely manner
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Vihajico has already laid a strong foundation for the success of this exciting project, and we invite prospective partners to join us in transforming this site into the most vibrant township in Vietnam. In the coming years, we will continue to focus on delivering outstanding residential properties, developing excellent commercial and service centers, and
completing infrastructure for Ecopark. Current and future residents of Ecopark can purchase reasonably-priced homes and live in a convenient and vibrant resort-like community. Besides working with real estate partners, we are also willing to discuss financial investment opportunities for long-term
37 Procedure of Foreign Investors
Vihajico has a strong track record in property construction and has achieved numerous milestones, in spite of disruptions to the macro-economic environment and in regional property development.
Vihajico has partnered with a number of international companies who are leaders in their respective fields: architects such as CPG, Kume Sekkei, and AA Corporation; contractors such as CotecCons and Utracon; sales and marketing firms such as Savills and CBRE; and educational institutions such as British University Vietnam.
Attracted and retained visionary, experienced and committed executives Ecopark is proud to have attracted experienced executives with proven accomplishments in business and real estate. Prior to joining Vihajico, many of our executives worked at world-renowned institutions, led world-class township developments in the U.S., and founded successful businesses in Vietnam. Their collective experiences and insights, from leading institutions such as General Growth Properties, Savills, PepsiCo, Morgan Stanley, Thanh Nam Group (Cotana), and Harvard Business School, are invaluable to Ecopark’s success.
Investment and Partnership
Land Lease
Active local authority support Mutually beneficial partnerships
investors. We expect that it will take over 20 years to fully develop 500 hectares of land, and Vihajico is willing to share the potential upside with financial investors who can further enhance our diversified capital resources.
Vihajico has a deep understanding of the local real estate environment and has established close relationships with relevant authorities. Vihajico’s partners will receive tax incentives from regional authorities and favorable partnership contract terms from the company. Vihajico also fully supports our partners in their efforts to secure relevant permits and approvals from the authorities.
Establish terms of land lease agreement
Strong and diversified sources of capital Vihajico and our existing partners have strong, diversified sources of capital at our disposal to commit to Ecopark. Shareholders’ equity, bank’s loans, and proceeds from property sales have primarily financed Ecopark’s development since 2009. Vihajico also plans to raise capital through bond financing and from secondary developers.
With 400 hectares of land remaining to be developed, Vihajico intends to create a favorable investment environment for long-term, strategic partners.
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1
Establish joint venture entity
2
Transfer ownership of land
3
Apply/obtain approval for project
Approval from the Hung Yen People’s Committee
Approval from the Dept. of Construction
4
Apply/obtain industryspecfic business license
5
Begin ground-breaking
6
Open business
Master Plan Division
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Palm Springs Community
2016
Zone 1 (completing and handing over to customers)
1 2
38 Park River Residences
Zone 3 University district and Knowledge center
Zone 5 Residential area within a recreation park (golf course), high rise residential
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4
Zone 7 High-rise residential
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6 8
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Zone 9 Villas, shop-houses, high-rise residential
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Zone 11 Mid-rise residential, high-rise residential
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Zone 10 Sports center, school
11 12
Aqua Bay Community
Zone 8 Riverfront housing, high-rise residential
9 10
9
Zone 6 Business center, shopping center, entertainment center
7 8
12
Zone 4 Island villas, high-rise residential
5 6
5
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3 4
2
Zone 2 Villas, shop-houses and high-rise residential
Zone 12 Villas, shop-houses
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Aqua Bay Sky Residences Status: Under Development Expected Completion: Q4/2018
Project Schedule
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2013
Zone 1
Zone 2
Zone 3
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Zone 5
Zone 6
Zone 7
Zone 8
Zone 9
Zone 10
Zone 11
Zone 12
2014
2015
2016
2017
2018
2019
2020
2021
2016
2022
2023
2024
2025
2026
2027
2028
2029
2030
Villas, shop-houses and high-rise residential Villas, shop-houses and high-rise residential University district and Knowledge center
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Island villas, high-rise residential
Residential area within a recreation park (golf course), high-rise residential Business center, shopping center, entertainment center High-rise residential
Riverfront housing, high-rise residential
Villas, shop-houses, high-rise residential
Sports center, high-rise residential
Mid-rise residential, high-rise residential
Villas, shop-houses
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Sub-Projects
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Investment Opportunities Targeted Partners
Residential Property Investors
1. Residential
Purchase land-use rights from Vihajico to develop and operate your own products or form joint-ventures with Vihajico to co-develop specific sub-projects.
1. Villas 2. Shop-houses
2. Commercial and Services
Service Providers Lease land from Vihajico to build your own facilities or lease space from Vihajico’s properties.
Infrastructure Firms
Island villas
4.
High-rise residential
4.
Shopping center
5.
Supermarket
6. 7.
Entertainment center
8.
Hospital
International school
9. Golf course 10. Culture-tourism hub 11. High-tech research center
Flexible partnership structures Favorable land valuation Finished surrounding infrastructure and services
5-15 hectares 1-2 hectares Up to 30-hectares 2-5 hectares 300-bed hospital in 3 to 6.5 hectares
Flexible partnership structures Favorable land lease terms and land valuation Finished surrounding infrastructure and services Effective co-branding and marketing to reduce partners’ expenses
18 holes, 60+ hectares 8 hectares 2-3 hectares of a technology hub for regional entrepreneurs, investors, and researchers
3. Infrastructure
Build out specific projects and be compensated with land-use rights.
Financial Investors
3.
Flexible Flexible Flexible Flexible
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500ha
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Investment Incentives
Sub-Projects
12. Interprovincial road and intra-Ecopark infrastructure
4. Financial
Contribute capital to Vihajico’s subsidiaries via equity or debt instruments.
13. Investments in Vihajico and our subsidiaries
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Partners build infrastructure in exchange for land-use rights
Commercial loans Bonds Convertible debts Equities in Vihajico’s subsidiaries
Vihajico compensates developers and investors with land-use rights of plots that benefit directly from the built infrastructure
Flexible partnership structures
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Primary Shareholders & Partners Our Development
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Lush landscape of Ecopark, Spring 2014
Primary Shareholders
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2016
Vihajico’s Partners
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Mr. Nguyen Quoc Khanh
Mr. Luong Xuan Ha
Mr. Dao Ngoc Thanh
Mr. Khanh is the founder and owner of TOKA Ltd. He has many years of experience in furniture retail and interior design contracting for 4 and 5-star hotels and resorts, entertainment and residential complexes, and office and commercial premises as part of AA Decor group of companies.
Mr. Ha is a visionary business man and an empathetic leader. He has engaged in a variety of successful ventures throughout his career, from hotel developments to premium restaurants, executing all at a high level. He co-founded Vihajico in 2003 to realize his dream for the development of the Ecopark project. He has served as Chairman ever since.
Prior to co-founding Vihajico, Mr. Thanh was the Chairman and CEO of Thanh Nam Construction and Investment. He holds an engineering degree in construction and was a lecturer at Hanoi University of Civil Engineering for over 30 years.
Vice Chairman and Co-founder
Chairman and Co-founder
General Director and Co-founder
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Exciting Partnerships Under Development Our Development
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British University Vietnam
Tokyo Human Health Sciences University Vietnam
“We aim to be the leading provider of world-class higher education and professional development for ambitious and career focused individuals in Vietnam.”
“Tokyo Human Health Sciences University Vietnam, using our educational methods developed in Japan, produces the personnel who will support advanced medical care in response to demand in Vietnam”, Professor Mari Kusumi – President, Tokyo Human Health Sciences University Vietnam. Starting in the fall semester of 2017, British University Vietnam will move to its new state-of-the-art campus in Ecopark’s vibrant University District. BUV will offer a fully international university education with a wide range of academic programs awarded through its prestigious partner universities in the United Kingdom: University of London and Staffordshire University. Students will enjoy a dynamic campus lifestyle with sports facilities and collaborative study centers while receiving world class education in fields such as Business Management, Finance & Accounting, Marketing, Hospitality & Tourism, and Graphic Design / IT.
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In 2016, Ecopark’s University District will welcome its first member, Tokyo Human Health Sciences University Vietnam (THHS) of Japan’s renowned Waseda Health Sciences Education Corporation. This year’s fall semester will see THHS’s Departments of Nursing and Rehabilitation opened for 150 students from Japan, Vietnam and other ASEAN countries. Division of Junior College of Health Sciences with capacity of 1500 will be completed in 2016 and the university will have its first batch of students graduated by 2019. Status: Operational
Status: Under Development Expected Completion: August 2017 (Phase I)
Els Performance Golf Academy, Ecopark
Vietcombank Training Center, Ecopark Designed by four-time PGA Tour major champion Ernie Els, the Els Performance Academy Ecopark is the first comprehensive golf training academy in Vietnam, offering professional coaching programs for amateur and professional golfers alike. This world-class training center will introduce state-of-the-art technologies and teaching methods in an expansive and beautifully designed 12-hectare campus in the heart of Ecopark township, only 25 minutes from the center of Hanoi. The Academy is scheduled to open at the beginning of 2017. Status: Under Development Expected Completion: Jan 2017
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This vocational training center, operated by the best in the business and where top MBAs develop their expertise, will equip the trainees with the skills they need to succeed as an associate of Vietcombank and within the International banking sector. The campus design will facilitate teambuilding and community development, and trainees will enjoy access to Ecopark’s diverse offering of high-quality services and facilities. Status: Under Development Expected Completion: TBA
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Key Success Factors
Regulatory Background
Our Development
Your Opportunities
Through flunctuating cycles in the Vietnamsese real estate market, Vihajico and our flagship development, Ecopark, have continued to flourish. Today, building on these successes, Vihajico is primed to capitalize on wave of real estate development in Vietnam.
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In 2003, in accordance with the Government’s “build and transfer” policy, Vihajico proposed to build infrastructure in exchange for land. Vihajico offered to build the interprovincial road from Hanoi to Hung Yen Province and compen-
Ecopark’s unique advantages in this market thus far can be broken down into three core areas:
sate those affected, following Government policies. In return, having fulfilled all of our obligations, Vihajico received 500 hectares of freehold land to build the Ecopark project.
The Ecopark project received approval from the office of the Prime Minister and support from provincial authorities due to its economic importance. Vihajico works closely with the Government to ensure that our partners also benefit from favorable incentives.
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Regulatory Procedures of Ecopark Project
Prime Minister reviews and approves Hung Yen Province’s proposal to build the interprovincial highway.
Regulatory compliance and advantages
Hung Yen Province transfers the land-use rights to Vihajico.
2003
2004
Hung Yen Province chooses Vihajico as the developer.
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Deep capital resources and financial management expertise
Operating and execution expertise
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- Finish land clearance. - Start infrastructure construction corresponding to the approved sub-projects. - Report to Hung Yen’s Ministry of Construction about the transfer of land-use rights to secondary developers (if applicable). Vihajico can lease or transfer land-use rights to secondary developers.
- Finish land clearance. - Start infrastructure construction corresponding to the approved sub-projects. - Vihajico can lease or transfer land-use rights of sub-projects to secondary developers (or use JV, land contribution, partnership contracts, etc.)
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Hung Yen Province approves the 1/2000 scale master plan.
2005
Hung Yen Province approves the 1/500 scale master plan.
Hung Yen Province reviews and approves Vihajico’s proposal.
- Vihajico approves the project. - Report selling of homes using capital contribution contracts to Hung Yen’s Department of Construction.
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Procedures of Residential Land - Build foundations. - Report selling of homes using sales contracts to Hung Yen’s. Department of Construction.
- Sell homes to individuals, non-real estate organizations using capital contribution contracts. - Allowed to sell 20% of the total residential units.
- Sell homes using sales contracts. - Allowed to sell 100% of the total residential units.
Obtain Land use license. Transfer undeveloped land-use license.
License covers the land, houses, and other properties within the land.
Procedures of Non-Residential Land Vihajico approves sub-projects.
Start construction.
Does not need authorities’ approval.
Secondary developers do not need to apply for development licenses as Vihajico already has approval for 1/500 scale master plan.
Issue land-use rights certificate. Developers can either obtain the certificate upon construction completion or immediately.
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Capital Resources The second critical element to Vihajico’s success is our diversified capital resources and effective cashflow management process. From a financing perspective, Vihajico recognizes the importance of
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Our Development
Your Opportunities being well-capitalized and maintaining flexible liquidity. As such, Vihajico has funded Ecopark through a diverse array of capital sources. In particular, due to the challenging real estate cycle,
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zVihajico’s leaders have opted for a measured approach to financing, tapping into a wide range of capital sources to maintain a balanced and consistent inflow of cash for the project.
Equity from shareholders
Vietcombank’s Poster Partner
Early in the project cycle, equity from existing shareholders was the primary source of capital. Our shareholders had stable revenues from diversified business lines, such as hospitality (hotels, resorts, etc.), interior design construction, and retail industries. With the initial investment from the co-founders, Vihajico deployed the capital necessary to act as the crucial catalyst, transforming the founders’ vision into reality.
As the project was approved by the Prime Minister and endorsed by the local authority, Vihajico has been identified as one of Vietcombank’s poster partners. Vietcombank is the second largest joint-stock commercial bank in Vietnam and the sixth largest business in Vietnam. Vietcombank has been working closely with Vihajico since 2009 and has committed different loan packages for Vihajico to develop specific plots of land in both Zone I and Zone II of Ecopark. Additionally, Vietcombank offers attractive financing arrangements for Vihajico’s home-buyers.
Debt and Equity Investors
Pre-sale Funding Pre-sale funding from customers is another strategic source of capital for our development. Prior to the construction of foundations, Vihajico signs capital contribution agreements with prospective home-buyers. Once the foundations are completed, the capital contribution agreement is replaced by a purchase agreement, in which buyers are required to pay up to 70% of the purchase price in installments, with Vihajico collecting the remaining 30% when the products are handed over.
Finally, Vihajico also explores the option of engaging debt and equity investors who, together with Vihajico’s existing shareholders, contribute both cash and industry expertise to Ecopark’s sub-projects.
Our board, executive team and advisors have managed Vihajico’s cash flows with strict adherence to conservative best practices, successfully navigating the challenging real estate environment.
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Despite the struggling economy, both within and outside Vietnam since 2009, Vihajico has steadily sold our apartments, villas, and shop-houses and built infrastructure for the community. In recent years, while demand for
residential properties was low, our management team focused on building infrastructure, perfecting Ecopark’s landscaping and developing innovative residential properties.
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Viet Hung Urban Development and Investment JSC- VIHAJICO Ecopark Township Xuan Quan, Van Giang, Hung Yen Tel +84 4 3874 6314 Fax +84 4 3874 6316 E-mail: investment@ecopark.com.vn Hanoi Representative Office Hanoi Lake View, Level M 28 Thanh Nien Rd, Hanoi Tel +84 4 3936 3940 Fax +84 4 3936 4174 Version 10/2016
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On the way to work (Photo: Cuong Nguyen)
www.ecopark.com.vn
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Our Development
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