Business

Capitaland to build 870-unit Vietnam project

CapitaLand has bought a site in Ho Chi Minh City for US$38.9 million (S$53.5 million), saying that the homes it can build on the 1.45 hectare plot will be worth US$177 million.

The site will be developed into an 870-unit project with a retail component and views of the Saigon river and city skyline, CapitaLand said.

It will comprise three 24-storey towers with retail units on the lower floors. The average size of each apartment will be about 79 sq m.

The developer said the acquisition is part of its strategy to diversify its real estate portfolio and to strengthen its foothold in Vietnam.

It noted that it has had a record year of home sales, with almost all of its newest residential development, d'Edge Thao dien, in Ho Chi Minh City, sold in under two months after its July launch. This will be its 11th residential development in Vietnam.

The country is Capita­Land's third largest market in South-east Asia, after Singapore and Malaysia.

It had $2 billion of gross assets under management in Vietnam as at Sept 30.

The latest acquisition will expand its portfolio to 11 residential developments, 21 serviced residences with around 4,700 units and one office development across six cities in Vietnam. - THE STRAITS TIMES

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