New apartments in Hanoi mostly cost 50

New apartments in Hanoi mostly cost 50 - 70 million VND/m2; CapitaLand establishes 600 million USD fund

New apartments in Hanoi are mostly priced at 50 - 70 million VND/m2; Bac Giang reclaims nearly 1 million m2 of rice fields for housing; Khanh Hoa plans to invest nearly 1.3 million billion VND for urban development.

New apartments in Hanoi mostly cost 50 - 70 million VND/m2

According to Savills' Q4/2023 report, the common price range of high-rise and low-rise segments in Hanoi remains high. Of which, apartments priced at VND51 - 70 million/m2 account for 63% of new supply, up 24% year-on-year.

Apartments priced at over 4 billion VND are increasingly appearing on the market. Photo: Dung Minh

In terms of successful transactions, the number of apartments in this price range accounts for about 49%, an increase of 21% over the same period last year. Notably, apartments priced above VND4 billion account for 42% of the number of apartments sold in 2023. Previously, this figure in 2019 was only 3%. Apartments priced between VND2 and VND4 billion account for 55% of the market share. For apartments priced below VND2 billion, the number only accounts for about 3%.

"The housing segment continues to grow in price due to increased land and construction costs, developed infrastructure and improved quality. Limited supply in the market continues, leading to the average primary selling price of the whole market continuing to increase," said Ms. Do Thu Hang, Senior Director of Savills Hanoi.

Bac Giang reclaims nearly 1 million square meters of rice land for housing

Recently, the People's Council of Bac Giang province approved 37 projects requiring land acquisition with a total land area of over 1 million m2, of which rice land accounts for nearly 774,000 m2. This acquisition is aimed at building urban areas and social housing.

According to the list announced by the province, some projects will reclaim large areas of rice cultivation, such as area No. 1, in urban areas No. 11 and 12 (Yen Dung district). Here, a total of 187,000 m2 of land will be reclaimed, of which more than 180,000 m2 is rice land.

Van Trung social housing area (Viet Yen district).

In addition, the Van Trung social housing area (Viet Yen district) also reclaimed up to 77,000 square meters of land, including 71,000 square meters of rice land and 6,000 square meters of other land.

Khanh Hoa plans to invest nearly 1.3 million billion VND for urban development

Khanh Hoa Provincial People's Committee recently approved the provincial urban development program to 2030, with a vision to 2045. Accordingly, urban development investment projects using public investment capital and other non-public investment capital sources are arranged in order of priority for each annual, 5-year and 10-year period.

The total estimated funding requirement for the program implementation by 2030 (from total social investment capital) is about 1.29 million billion VND. Of which, the funding for the implementation period from now to 2025 is 549,053 billion VND; the period from 2025 to 2030 is 749,947 billion VND.

In the program, by 2030, Khanh Hoa will be a centrally-governed city with 9 district-level administrative units. Including 2 cities (Nha Trang city, Cam Lam city); 2 towns (Dien Khanh town, Van Ninh town); 3 districts (Khanh Son district, Khanh Vinh district, Truong Sa district) and 2 districts (Ninh Hoa district, Cam Ranh district).

Ninh Hoa district was established on the basis of a part of the area and population of Ninh Hoa town and research to separate a number of suitable communes to merge into other localities to ensure the criteria for becoming a district.

Binh Dinh auctions 3 land plots worth nearly 366 billion VND

Binh Dinh Provincial People's Committee approved the plan to auction land use rights to implement the commercial apartment project along Huynh Tan Phat Street, Dong Da Ward, Quy Nhon City, Binh Dinh.

Accordingly, the auctioned land area is 1,556 m2, of which the construction land is nearly 934 m2. The project has a maximum of 2 basements and a maximum of 18 floors above ground. The cost of implementing the project is nearly 237 billion VND (excluding land use fees and land rental fees).

In addition, the Provincial People's Committee also issued a plan to auction the right to lease land for two plots of land in Quy Nhon City, Binh Dinh Province. Specifically, the land in Tran Quang Dieu Ward will be used to build a commercial service area in the Long Van new urban area. The total minimum investment capital is 85 billion VND.

Another plot of land in Nhon Binh ward will be used to build a market in the new urban area of An Phu Thinh. The total minimum investment capital to implement the project is 43.5 billion VND.

CapitaLand sets up $600 million fund, targeting serviced apartments

CapitaLand Investment has established a new private fund named CapitaLand Ascott Residence Asia Fund II (Clara II). Accordingly, the target equity size will be around US$600 million, focusing on serviced apartments and residential real estate in Asian markets.

The company said it has secured its first transaction with commitments from institutional investors in Europe and Asia. CapitaLand will hold a 20% equity stake in the fund, while the remaining 80% will belong to third-party institutional investors.

The fund will initially acquire two co-living properties in Singapore and Tokyo from Ascott, under the “lyf” brand. The two properties will open to customers this year.

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