Despite the real estate market's lackluster performance, several companies are accelerating land acquisition efforts.
Recently, Hau Giang provincial People's Committee engaged in discussions with Vingroup about the Mekong Resort Urban Area project in Chau Thanh district. This ambitious project spans 3,000 hectares with an estimated total investment of $6.2 billion.
In Long An, a consortium of Vinhomes subsidiaries emerged as the sole bidder for the Tan My new urban area project and registered for the Phuc Vinh Tay new urban area project, both covering thousands of hectares with investments running into billions of dollars.
After years of focusing on tourism real estate, Sun Group is returning to urban real estate with the groundbreaking of Sun Urban City in Ha Nam province, covering 420 hectares with a total investment of $1.4 billion.
The group is also planning large urban projects on the outskirts of Hanoi and is exploring investment opportunities in Binh Thuan, Binh Duong and Dong Nai provinces.
Despite this shift, Sun Group has not abandoned the tourism sector, as evidenced by the recent commencement of the Central Bay project in Cat Ba, covering approximately 50 hectares.
Hoang Huy Investment and Financial Services, a major player in Haiphong city's real estate sector, is also expanding aggressively.
The company was recently entrusted by the Haiphong People's Committee with a $128 million urban renovation project in Le Chan district, following its successful bid for a 50-hectare land plot in Thuy Nguyen district for nearly $200 million. Hoàng Huy is now focusing on large-scale projects, ranging from social housing and apartments to luxury villas.
In Thua Thien Hue province, a consortium between Doji and Dojiland was selected to develop a commercial and residential complex on 182,600 square meters of land, with a projected cost of over $180 million, excluding compensation and land use fees.
Although new to the real estate market, Doji and Dojiland have leveraged their wealth from the jewelry business to secure prime land in Ha Long city and Haiphong. They have completed The Saphire, a luxury apartment and villa complex in Ha Long, and are developing the Golden Crown and Diamond Crown projects in Haiphong, along with an urban project in Vinh Phuc province.
Emerging players like BV Land are also showing ambitions to expand their investments. In June, BV Land increased its charter capital to VND774 billion (30 million) to finance its third real estate project in Bac Giang province, BV Bavella Green Park, covering 12.5 hectares.
This is the company's second Bavella-branded project, following another in Viet Tri city, Phu Tho province. BV Land has also won the bid to construct a 38-storey twin tower in the heart of Thai Nguyen city and plans to develop the BV Tower in Dong Nai province.
Thai Nguyen is also the next destination for Taseco Land, a company with around 40 projects stretching from border town of Mong Cai in the north to Phu Quoc island in the south.
Taseco Land's Nam Thai project in Thai Nguyen spans just 1.5 hectares, but the company's other three projects, either under construction or planned for this year, range from medium to large-scale, including the 223-hectare Taseco Dong Van III Industrial Park.
Following the Central Riverside project in Thanh Hoa, Taseco Land is venturing further into central Vietnam with a nearly 36-hectare urban project in Quang Binh.
Some other listed companies are seeking opportunities to acquire projects for future development. An Gia Group is conducting in-depth evaluations of two potential projects in Ho Chi Minh City that could deliver over 4,000 apartments to the market.
Despite financial difficulties, Danh Khoi Group plans to raise $15 million to purchase a portion of the Dai Nam residential area project in Binh Phuoc province and the Ham Thang - Ham Liem industrial, commercial and service residential area in Binh Thuan province.
Phat Dat Real Estate Development Corporation, having recently cleared its bond debt after selling some assets, is also eyeing new land acquisitions. In a recent discussion with investors, Chairman Nguyen Van Dat revealed the company's strategy of acquiring new projects after completing existing ones.
On the other hand, some companies facing large bond debts and an extensive investment portfolio are opting to sell off assets. Van Phu – Invest recently transferred part of its The Terra – Bac Giang project to New Goldsun, helping to reduce inventory, improve cash flow, and free up capital for the Vlasta Thuy Nguyen project in Haiphong.
Experts predict a surge in mergers and acquisitions in the latter half of this year, as three new real estate-related laws come into effect. Companies with large land banks and completed legal procedures will have a significant advantage in this race.
MBS Securities also forecasts that mergers and acquisitions will play a critical role as many real estate companies continue to struggle financially and face rising development costs.
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