Nearly condotels of USD 5,000 per m2 in Danang

In the first half of 2019, luxury hotel apartments in Da Nang have the highest selling price up to USD 4,800 per m2.

Savills Vietnam has just released a report on condotel market in Danang in the first two quarters of 2019 with the absorption rate of the whole market reaching 90% due to limited primary supply. The selling price of condotels in the primary market fluctuated between 2,100 and 4,800 USD per m2.

The market of hotel apartments in this coastal city currently records a total of 15 projects both old and new, in which Ngu Hanh Son District holds 50% market share. The market can welcome 14 more projects that will open for sale from the second half of 2019, but the first few months of the year will drop.

An urban corner of Danang beach view from above. Photo: Nguyen Dong.

Although condotel market shows signs of cooling down, the number of hotel rooms in Da Nang is escalating. The hotel supply reached about 15,400 rooms from 121 3-5 star hotels, up 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 is 2.7 days. From the second half of 2019, more than 8,000 hotel rooms are expected to be put into operation in this coastal city.The trend of increasing hotel room supply is considered to be a flexible rhythm of this coastal city with the most positive tourist growth in the past decade.

According to Vu Le