This is the forecast of Savills in the report of the real estate market in Da Nang in the first half of 2019.
According to the evaluation of this research unit, the supply of hotel market in Danang reached about 15,400 rooms from 121 3-5 star hotels, increasing 20% year on year. In the first half of 2019, the market had approximately 2,000 hotel rooms, the market capacity decreased by -3 percentage points year-on-year and the average room rate decreased by -9% year on year.
International visitors to Da Nang reached 1.8 million, increasing by 26% year on year. The average length of stay for international visitors was 2.7 days. It is forecasted that from the second half of 2019, the city would have more than 8,000 hotel rooms put into operation.
Meanwhile, the condotel market recorded slower performance. Totally, there awee 15 projects providing hotel apartments, in the first half of 2019 the market recorded a new project. In the first half of 2019, the absorption rate of the whole market reached 90% due to limited primary supply. Primary selling price ranged from 2,100 - 4,800 USD/m². Ngu Hanh Son District leaded the supply with 50% market share.
The future market recorded 14 projects that will open for sale from the second half of 2019.
For the resort villa segment, the market recorded a high cumulative absorption rate. In the first half of 2019, the market recorded a total supply from 17 projects. In particular, Ngu Hanh Son district leaded the supply with 92% market share from 14 projects. In the second half of 2019, 45 villas would enter the market.
“Limited new supply and stable demand lead to high absorption rates to the present. The reputation of the investor, the profit commitment program and the location near the sea are the key success factors” said Savills.
According to Tam An