For the first site located in Saigon South of HCMC, Keppel Land plans to develop about 220 landed homes and a 1,029-unit high-rise condominium spanning a gross floor area (GFA) of about 36,110 square meters and 141,540 square meters respectively. The 13-hectare site is situated among highly populated and established upper mid-end residential areas which enjoys easy accessibility to HCMC's central business district (CBD). The total development cost, inclusive of the land cost, is about US$235 million.
The second site is located in District 9 and borders the affluent residential enclave of District 2. Keppel Land will develop another 300 landed homes spanning a GFA of about 55,000 square meters. The total development cost for the six-hectare site, inclusive of the land cost, is about US$62 million.
Ang Wee Gee, CEO of Keppel Land said that Vietnam's housing demand is expected to continue its upward momentum, supported by the country's young population, growing middle-class as well as rising urbanisation.
“We are confident that these two developments will be well sought after, given the limited supply of upper middle-end gated landed homes and condominiums close to HCMC's CBD,” said Ang Wee Gee.
"The two projects will add to Keppel Land's pipeline of more than 20,000 homes in Vietnam. We will continue to leverage our experience and expertise as one of Asia's premier property companies with a strong track record of delivering well-planned, quality and thoughtfully designed homes to meet the lifestyle aspirations of discerning homebuyers in Vietnam."
Macroeconomic conditions in Vietnam continue to strengthen and the real estate market continues to perform well. A total of 23,200 condominium units were sold in HCMC in the first nine months of 2017, about two per cent higher year-on-year. Landed homes also recorded a high take-up rate with approximately 2,300 landed houses sold in the first nine months of 2017, almost equivalent to the total units sold in 2016.
Keppel Land is a real estate company under one of the largest multinational corporations in Singapore Keppel Corporation which specializes in oil and gas, infrastructure, and real estate businesses.
Keppel Land sold a total of 1,010 homes in Vietnam in the first nine months of 2017, four times the units it had sold year-on-year. The company has received positive response for Tilia Residences, Phase 2 of Empire City, which was launched in July 2017 and has sold more than 90 per cent out of 472 launched units as at end-September 2017.
Keppel Land is currently developing 20 projects in Vietnam with some large scale projects projects in Ho Chi Minh City being constructed such as the 30ha Palm City and the US$1.2 billion Empire City.