Growing Interest from Foreign Investors in Real Estate Projects in Vietnam
According to a recently released report by the Vietnam Association of Realtors (VARS), foreign investors, particularly from South Korea, Singapore, Japan, Taiwan, Malaysia, and Thailand, have shown a growing inclination towards property projects in Vietnam during the first half of this year. The report also highlights the active merger and acquisition (M&A) activities in the Vietnamese property market during the same period.
Foreign investors have been discreetly acquiring significant land parcels, as well as apartments, industrial real estate, and office projects across Vietnam, with a preference for projects that have completed legal procedures. Notable foreign companies involved in M&A deals include Keppel Land, Frasers, WHA, and Central Retail. These investors have been actively seeking M&A opportunities in commercial, housing, and industrial property projects.
In recent months, local enterprises have been planning to transfer part or all of their projects to foreign partners due to difficulties in accessing capital and navigating investment procedures. This solution has helped these enterprises generate funds to repay debts and undertake other projects, thereby avoiding bankruptcy, as reported by VARS. The report also reveals that by the end of the last quarter, most foreign enterprises had already completed the initial stages of M&A transactions, including project exploration and assessment.