H1 investment inflow revives Khanh Hoa province’s real estate market

A substantial investment influx over the past six months has seen a real estate market revival in the central coastal province of Khanh Hoa.

The province okayed 10 new projects valued at VND4.7 trillion ($187.16 million) in H1/2024, said Chau Ngo Anh Nhan, director of the provincial Department of Planning and Investment.

Among these were the VND1.8 trillion ($72 million) Doc Da Trang Industrial Park by Viglacera Yen My; the VND2 trillion ($80 million) administrative urban area in Dien Khanh district by Vinaconex-UPGC Investment & Trading JSC; and the $11 million Khanh Binh high-tech livestock project from South Korea.

Local authorities also approved an additional VND7.86 trillion ($312.9 million) investment in five existing projects.

To date, Khanh Hoa has received 114 foreign-invested projects totaling $3.92 billion.

The province has attracted numerous corporate giants seeking opportunities across various sectors, including industrial parks, seaports, oil and gas, and energy.

Notable ones include Sonadezi, Saigon Newport Corporation, Spain’s EDP Renewables, the Netherlands-based Harvest Waste B.V., and Woima Finland.

Most recently, a joint venture between Vietnam’s Becamex and Sembcorp-led Vietnam Singapore Industrial Park J.V., Co., Ltd, has expressed interest in developing the Ninh Xuan ecological industrial urban area project in Ninh Hoa town.

The growing interest from major corporations, along with positive movements in both local and inbound tourism, has driven recovery of Khanh Hoa’s real estate market, surpassing the nationwide average.

Recently, the Van Phong Economic Zone Authority gave an in-principle approval for the Co Ma new urban area project valued at VND5.97 trillion ($237.6 million). The project will build 500 villas and houses in an area of 235 hectares in Van Phuoc commune, Van Ninh district.

Many investors are considering investing in the Van Phong EZ, Nhan said, adding that the provincial government adopted resolutions on planning the site.

A real estate broker who did not want to be named said deals for 20 land lots, each valued at VND2-7 billion ($79,600-$278,600), have been concluded at the Van Phong EZ since the beginning of this year.

He said the Van Phong EZ real estate market has witnessed more transactions this year compared to last year.

Nguyen Anh Tuan, vice chairman of the Khanh Hoa Association of Realtors, said that the new planning initiatives will create numerous opportunities for investors and boost the local real estate market.

Additionally, the construction and completion of major transport projects, including the South-East and Khanh Hoa-Buon Ma Thuot expressways, are expected to be key drivers of the provincial real estate market in the second half of this year.