City property market hotbed shifts from south to east

The focus of development for HCM City’s property market shifted from the south to the east last year, experts said.

Many housing projects, both landed properties and condominiums, were developed in this area, which includes districts 2, 9, Thu Duc and a part of Binh Thanh.- Photo vtv4.vtv.vn

Many housing projects, both landed properties and condominiums, were developed in this area, which includes districts 2, 9, Thu Duc and a part of Binh Thanh.

The area has become a veritable construction site with a raft of developments like Sala, The Sun Avenue, Lakeview City and Cantavil An Phu.

A report released on Wednesday by property consultant CBRE said 41 per cent of apartment developments were in the east. The figures were 34 per cent for the south, 7 per cent for the north and 11 per cent for the west.

In terms of districts, 2 and 9 accounted for 11 per cent each, the company said.

Their rates of successful transactions were high -- 73 per cent for District 9 and 70 per cent for District 2.

A report by Thoi Bao Kinh Te Viet Nam (Vietnam Economic Times) newspaper said land prices had shot up in the east last year, increasing by 51 per cent in District 9 and 34 per cent in Thu Duc.

Analysts attributed the east’s rising popularity to its convenient transportation in the form of the under-construction metro route No1, widening of the Ha Noi Highway, the HCM City – Long Thanh – Dau Giay Expressway and the upcoming Long Thanh Airport.

Duong Thuy Dung, director of research and consulting at CBRE, told Viet Nam News that the east is also a gateway to the city with easy access to other provinces like Binh Duong and vacation spots like Vung Tau and Phan Thiet.

As a gateway it would also benefit from many support policies from the authorities, she said.

An executive at a giant property developer, who asked not to be named, told Viet Nam News that "it makes eminent sense to develop properties in the east".

He pointed out that the Thu Thiem New Urban Area was being developed there.

"Water pipes and telecom and electric cables are all underground here," he said.

His company had already handed over units in some housing projects and received good feedback from buyers, who said they enjoyed the convenience offered by the area, he added.

Source VNS