The resort real estate market is recording positive signs as demand, in both domestic and international tourist markets, is gradually recovering at a stable pace, thereby helping strengthen trust in the industry, according to Mauro Gasparotti, Director of Savills Hotels.
About 85 per cent of the rapidly growing companies in Vietnam are committed to the environmental, social, and corporate governance (ESG) standard, creating an increase in demand for green-standard office space in the market. By 2026, Ho Chi Minh City is expected to provide 300,000 more square meters of new Grade A office space, such as The Nexus project or VP Bank Saigon Tower. Moreover, over 80% of the future Grade A and Grade B office supply in the southern economic hub will meet green standards.
According to real estate law expert Nguyen Van Dinh, new laws coming into effect in 2025 will allow Vietnamese nationals residing abroad to carry out real estate business and own property the same as Vietnamese.
As much as US$1.27 billion of FDI was poured into real estate in January, accounting for 53.9 per cent of the total registered capital and doubling the figure recorded in the same period last year, according to the Foreign Investment Agency (FIA) under the Ministry of Planning and Investment.
“Overseas Vietnamese will be allowed to invest in building houses and construction projects for sale, lease, or lease purchase, and investing in the technical infrastructure in real estate projects for transfer, lease, and subleasing land use rights that already have technical infrastructure,” said Dinh.
At an extraordinary session in Hanoi on January 18, the 16 chapters and 260 articles of the law were given the green light. According to Vu Hong Thanh, Chairman of the National Assembly’s Economic Committee, the law has been prepared thoroughly by authorities at various levels.
According to a report by Cushman & Wakefield released this week, the industrial real estate market in the south, specifically key areas such as HCM City, Bình Dương, Đồng Nai, Long An and Bà Rịa-Vũng Tàu provinces, did not have any launches in the last quarter of 2023.
The industrial property segment is likely to lead the real estate market in terms of growth while the housing segment is expected to become more active, according to experts. Despite a gloomy year for the market in 2023, the industrial property segment stood out as a bright spot with increased demand and rentals.