An Asian investment management firm and a Vietnamese property developer signed Thursday a joint venture agreement on the development of a multimillion-dollar realty project in Ho Chi Minh City.
Hong Kong-based Hamon Investment Group Pte Limited and Son Kim Land will collaborate in implementing the Gateway Thao Dien project in District 2, according to The Saigon Times Online.
The project, to be developed on a 10,940 square meter area, consists of four towers, according to a plan posted on Son Kim Land’s website.
The towers will be managed in accordance with a five-star standard by Hamon Developments, a Hamon Investment Group subsidiary, according to the Vietnam News Agency. Hamon Developments is the investor and developer of the luxury Nguyen Du Park Villas in District 1.
The total investment for the project is more than US$100 million, The Saigon Times Online quoted Nguyen Hoang Tuan, chairman of Son Kim Land, as saying.
Tuan refused to elaborate on the specific stake of each party in the joint venture, but revealed that the disparity between the investments is inconsiderable.
The project will be introduced to the market within this year and is expected to reach completion by the third quarter of 2017.
Hugh Simon, chief executive officer with Hamon Investment Group, spoke highly of the potential of the Vietnamese realty market, adding that he believes the market would revitalize this year.
Vietnam’s recent loosening of the conditions for foreigners to buy and possess houses in Vietnam will also boost liquidity of the high-end property segment, he was quoted by the Vietnam News Agency as saying.
Mark Acree, general manager of Nguyen Du Park Villas, is also upbeat about the recovery of the real estate market this year.
Gateway Thao Dien is the third realty project of Hamon Developments in Vietnam, besides the Nguyen Du Park Villas and Hanoi Business Center in Hanoi, according to The Saigon Times Online.
Son Kim is a family business company investing in three key areas – retail, real estate and media, according to its website.
Founded in 1989, Hamon Investment Group Pte Limited is an employee-owned investment manager, primarily providing services for private investors, pension funds, corporations, financial institutions, and family trusts.
Thao Dien is a ward in District 2, known as a hub of luxury villas and apartments.
Another megaproject, the Masteri Thao Dien deluxe urban area, is being developed by Thao Dien Investment JSC in the area.
The project includes the Vincom Mega Mall Thao Dien, a VND3.5 trillion ($163.11 million) mega-shopping mall that is expected to become the largest of its kind in the eastern area of Ho Chi Minh City, according to the developer Vingroup.