Billion USD inflows from Japan continue to pledge to Vietnam real estate

Real estate projects with a scale of billions of US dollars with the presence of large corporations from Japan have been pouring into Vietnam, many large projects are invested in Hanoi.

Vietnam real estate continues to be a potential field, a promising land for foreign investors, including many Japanese businesses that have been doing very effectively. In the first 6 months of 2019, this sector continues to attract large amounts of capital.

Recently, Vietnam's real estate market is quite active, M&A activities with the participation of foreign investors are also very exciting with billions of USD poured into Vietnam. Many big deals that took place in the real estate market, such as Nomura Real Estate Development, acquired 24% of Sun Wah building, CapitaLand acquired 9,000m2 of land in Tay Ho (Hanoi), and Frasers Property acquired 75 % Phu An Khang Real Estate...

In addition, many large Japanese corporations are aggressively promoting investment in Vietnam real estate, especially in Hanoi. In the middle of last year, Sumitomo Corporation (Japan) together with BRG Group of Vietnam was granted a certificate of investment in Smart City project in Hai Boi commune, Dong Anh, Hanoi with a total registered capital of 4.14 billion USD...

In the framework of the Prime Minister's mission to visit and work in Japan from June 30 to July 1, many agreements between businesses of the two countries took place. Notably, up to 2/3 of total projects are committed to invest in Hanoi. The president of Hanoi City and representatives of Japanese enterprises signed a memorandum of understanding (MOU) to invest in many major projects with a total registered capital of up to 3.75 billion USD.

In particular, it is worth noting that BRG and Sumitomo continue to reach agreement on investment in two projects of Vietnam-Japan mixed-use works in Tay Ho district and developing and developing Dong Anh Industrial Park in Dong Anh District with total capital invested 3 billion USD. Nidec commits to invest in a number of projects, including projects on manufacturing and trading hi-tech electronic devices and components, manufacturing new equipment, meeting the 4.0 technology requirements.

Representatives of Sumitomo Corporation and BRG expressed their desire to soon deploy smart city projects in the eastern part of Hanoi, while Nidec leaders want to accelerate investment projects on manufacturing and trading electronic equipment and components. high technology in Hoa Lac High Industrial Park. Mitsubishi leaders want to invest in real estate projects around the train stations in the city.

According to data from the Foreign Investment Agency (Ministry of Planning and Investment), in the first 6 months of 2019, there were US $ 18.47 billion of newly registered FDI and contributed capital to buy shares in Vietnam. Real estate business ranked second with total investment capital of 1.32 billion USD, accounting for 7.2% of total registered investment capital. Japan ranked fifth with a total registered capital of 1.95 billion USD.

Earlier, in 2018, many Japanese investors registered to pour billions of dollars into real estate projects in Hanoi. Notably, IDS Equity Holdings Joint Stock Company and Japanese investors on office and hotel projects in Hanoi with a total investment of up to US $ 500 million; with AeonMall Vietnam Co., Ltd on the project of AeonMall North Tu Liem Commercial Center with an estimated investment of 250 million USD...

According to Binh An