Resort real estate investors are gradually diverting their appetite from the world famous tourist destination Nha Trang to Cam Ranh town, both in the south-central province of Khanh Hoa, due to the latter's large potential to tap.
While Nha Trang is nearing condotel and villa saturation, Cam Ranh is undergoing a strong transformation with a series of big domestic and foreign investors flocking to develop large projects.
Prominent among those is a mega urban area project near Cam Ranh Bay, stretching from Da Let Cape to the area bordering the province’s Cam Lam district.
Invested by a consortium made up of Cam Ranh Investment JSC, Vinhomes, and VinES Energy Solutions, the Urban Area by Cam Ranh Bay project will cover 1,254 hectares with an initial investment of VND85.29 trillion ($3.64 billion).
Approved by Prime Minister Pham Minh Chinh on April 1, 2023, it is set to feature a housing complex, a public service area, parks and green spaces, a trade center, resort facilities, a golf course, and a theme park. Its construction is scheduled for 2023-2027.
According to the Cam Ranh People's Committee, once completed, the project will help shift the socio-economic structure from fisheries and agriculture to urban services and tourism, promoting sustainable socio-economic development. Additionally, it will create a foundation for the town to attract foreign investments.
The project will focus on developing premium and distinctive tourism products and services to enhance the diversity and attractiveness of Cam Ranh’s tourism sector, aiming for 60% of international tourists and 40% of domestic holidaymakers.
The project also aims to convert inefficient aquaculture areas and salt fields into trade-service spaces and residential areas, bringing in higher value. It is expected to create jobs for over 11,400 laborers.
"In the coming time, there will be more quality and classier urban areas and resorts here, which is different from the simplicity of existing affordable accommodation establishments," said a representative of the town's People's Committee.
According to the provincial Department of Planning and Investment, about 40 investment projects in the Northern Cam Ranh Peninsula tourist area have been granted investment licenses, in-principle approval, and registration certificates.
Of these, 26 projects have obtained construction permits and started construction. Most of them are 4- or 5-star resorts and tourist complexes.
Local authorities attributed the transformation to Cam Ranh’s clean land fund of thousands of hectares and huge tourism potential. Meanwhile, in Nha Trang town, the land fund is running out and its tourism potential has almost been fully exploited.
Notably, Cam Ranh has mapped out specific plans to focus on infrastructure development.
The town is implementing a VND3 trillion ($122.5 million) project to upgrade Cam Ranh International Airport, aiming to improve service quality and capacity to 4-star standards. The airport is expected to serve 2.5 million passengers per year in phase 1 and a maximum of 8 million passengers in phase 2.
Since 2017, Cam Ranh International Airport has been serving direct flights to and from countries and territories around the world, including Thailand, China, Cambodia, South Korea, Hong Kong, Russia, Japan, and Malaysia.
The roads from Nguyen Tat Thanh street to Bai Dai beach have been enlarged by dozens of meters while investments have been made in upgrading the electricity, water, and wifi systems and urban embellishments.