Vinhomes to build $3.45 bln township project in southern Vietnam province Tay Ninh

Vietnam’s largest listed developer Vinhomes (HoSE: VHM), a subsidiary of Vingroup (HoSE: VIC), has approved a plan to invest in a large-scale urban area project in the southern province of Tay Ninh, with an estimated investment of VND90.76 trillion ($3.45 billion).

The development, Phuoc Vinh Tay new urban area, will span 1,089.6 hectares and is designed to accommodate around 90,000 residents by 2030.

Under the master plan, the project will include 15,244 low-rise residential plots, 13,440 social housing units, and 2,370 resettlement homes.

As of end-April 2025, site clearance had reached nearly 54% of the total project area.

Vinhomes plans to prioritize development of subdivision A, covering 234 hectares, including 82 hectares of residential land. Subsequent phases — subdivision B (534 hectares) and subdivision C (322 hectares) — are expected to be implemented in parallel to accelerate overall completion.

The project’s long-term value proposition is closely tied to major infrastructure upgrades in southern Vietnam.

Phuoc Vinh Tay is located near key transport corridors including Ring Road 4, the Ben Luc-Long Thanh Expressway, and planned Metro Line No. 12, which are expected to significantly enhance connectivity with Ho Chi Minh City, the country’s largest economic hub.

Last July, Tay Ninh and Long An provinces were merged to form the current Tay Ninh which borders Dong Nai, Dong Thap, Ho Chi Minh City, and Cambodia.

Improved infrastructure has been a central driver of property demand in peri-urban areas, particularly as rising land prices in Ho Chi Minh City drive both developers and buyers to adjacent provinces.

About 85% of the project’s total investment is expected to be financed through external funding, with the remaining 15% coming from equity.

Vinhomes will contribute 70% of the equity portion through a joint venture with Vietnam Investment Group (VIG), the private investment vehicle of Vingroup chairman Pham Nhat Vuong.

VIG is also the largest shareholder of Vingroup, holding a 32.5% stake, and owns a 32.9% stake in electric vehicle maker VinFast.

The Phuoc Vinh Tay project forms part of a broader push by Vingroup to expand its presence in Tay Ninh.

The group is also developing two additional urban projects in the province, including the VND28 trillion ($1.06 billion) Duc Hoa township spanning nearly 200 hectares and the VND74.5 trillion ($2.83 billion) Tan My urban area in the former Duc Hoa district, covering 930 hectares.

Combined, the three projects give Vingroup a land bank exceeding 2,200 hectares in the province, strengthening its medium-term development pipeline.