Vietnamese property attractive to Japanese firms
4/5/17 2:52 PM
An Gia riverside project (Photo: angiariverside.edu.vn)
Japanese enterprises have shown increasing interest in various sectors in Vietnam, especially real estate which is enjoying trending upward, Masakazu Yamaguchi, Managing Director of the Creed Group (CREED) was quoted by Dau tu (Investment) newspaper as saying.
Vietnam is a promising market with a large and dynamic population as well as a stable macro-economy, he said, stressing that the country is a priority market of CREED, which specialises in principal investment and property development.
The company also invests in Malaysia, however, Vietnam’s economy is outperforming its Southeast Asian peer due to Malaysia’s unstable economic growth.
According to Masakazu Yamaguchi, CREED worked with An Gia Real Estate Development and Investment JSC to buy two blocks of the Lacasa project to develop the Angia Riverside and Angia Skyline in District 7, Ho Chi Minh City, which is expected to be completed by the end of this year. To date, 90% of the 800 apartments have been sold.
The group also cooperated with Phat Dat Real Estate Development JSC to resume the River City project with 4,000 apartments in Ho Chi Minh City.
He said that based on the development of the market, the group wants to inject more capital into real estate in Vietnam.
However, he also pointed out some barriers hindering foreign investors in Vietnam, namely unclear administrative procedures.
Although foreign funds have abundant financial resources and management experience, they are left behind domestic enterprises in terms of understanding the business environment and legal policies, he said.
Cooperation between domestic and foreign enterprises will enhance the competitive capacity of both, he said.
He also voiced concerns about the transparency of cash flow in or out of Vietnam relating to foreign investment.