25 - 11 - 2020
According to the Vietnam Real Estate Brokerage Association, urban real estate is quickly becoming the focus of investment attraction because of the long-term ownership red book, legal urban land transactions are clearly prioritized by investors, even in the context of the pandemic.
It is also a new, easily noticeable point of Kien Giang real estate market after the Covid-19 pandemic has been controlled. Real estate trading activities have resumed after a long period of silence.
Currently, the two cities - Rach Gia, Ha Tien and Phu Quoc island are "standing like a tripod", which is considered to have the greatest potential of this area in real estate. While Phu Quoc is leveling off, Ha Tien and Rach Gia are in the early stages of development. Therefore, it is not too surprising that these new lands are attracting cash flow from real estate investors recently.
According to the Vietnam Real Estate Brokerage Association, after the Government approved the investment of a series of new highways and bridges connecting Ho Chi Minh City, shortening the distance and time to the Western provinces has created excitement for real estate market in some provinces of the Mekong Delta, including Kien Giang.
Also, as stated by this association, in Phu Quoc, after the Government and Kien Giang province agreed on the policy of promoting Phu Quoc to the city has generated strong interest from investors. Many big projects launch products to attract investment cash flow such as Meyhomes Capital Phu Quoc, Grand World Phu Quoc …
In Rach Gia and Ha Tien - two new markets, there are also notable points after Covid-19 outbreak. Specifically, in Ha Tien, real estate transactions have clear signs of "heat up" after Covid. Information from the investor - CNT Group indicating nearly 90% of the land fund of the urban area that this unit is developing has been sold out. Only in June 2020, up to 80% of primary shopping carts from two sub-projects in this area were successfully sold.
It is known that from 2018 to 2020, this city continues to attract strong capital in many fields. According to information from the center of investment promotion - trade - tourism of Kien Giang province, among 117 projects calling for additional investment in Kien Giang province in 2019, in the period of 2018 - 2020, Ha Tien City has 18 enterprises invested in Thuan Yen industrial zone with a capital of 2.600 billion VND.
In which, development of residential areas, urban areas, resorts, commercial - entertainment center and golf attracted 16 projects with a total investment value of up to trillions VND. Noteworthy such as Bai Bang luxury resort (99ha), Phao Dai urban complex (Lot A5 -10ha), Phao Dai beach tourism service urban area (99ha), Thuan Yen beach tourism service urban area (99 ha), Ha Tien international border gate's golf course and resort villas (99 ha), Hai Tac island eco-tourism area (30ha), … The above projects are being applied for investment policies by some enterprises such as VinGroup, City Land, Ha Do Group, CNT Group, …
Not as popular as Phu Quoc with sudden price increases, Ha Tien real estate caused many surprises when it hold an impressive rate of increase. For example, the new urban area, if in July 2017, the price was at 2.8 - 3.9 million VND/m2, so far it has increased from 13 to 20 million VND/m2.
In the area of Bai Cay Bang, the land area of 1000m2 in 2017 was about 1.5 million VND/m2 without any residential, in mid-May, it increased sharply to 5 million VND/m2. The frontage of Nguyen Phuc Chu street is expanding also from 7 million VND/m2 to 20 million VND/m2, even up to 50 million VND/m2. The My Duc resettlement site also recorded an increase of nearly 400%.
Investors assessed that, although increasing, this price is still soft compared to the average ground in cities across the country. In which, the sea front position in the center is only about 20 million/m2, which can exploit tourism well, so the profitability is very potential.
According to experts, the reason that Ha Tien market has developed strongly in recent years is because the regional infrastructure is receiving lots of positive information. In which, the highlight is the Lac Te - Rach Soi Highway, connecting Can Tho to Rach Gia (Kien Giang), will be opened in September.
Route 80 15.5 km long, is under construction to expand the section from Kien Luong to Ha Tien city, and is expected to be completed by the beginning of the first quarter of 2021. When putting in operation, these two routes will shorten the distance from Can Tho to Ha Tien to 2 hours of driving instead of 3 hours as currently.
At the same time, it helps to connect Ha Tien to provinces in the Southwest. This is the premise for the city to develop tourism and welcome investment capital. In addition, Ha Tien - Rach Gia - Bac Lieu expressway, My An - Cao Lanh expressway have also had a policy of investing to add motivation to the market.
Besides, after a period of suspension to prevent the Covid-19 outbreak, recently, Ha Tien City has allowed the opening of Mui Nai Tourist Area, one of the attractive tourist destinations in this coastal city, to serve residents and visitors.
As a result, in May, Ha Tien welcomed more than 40,000 tourists, accounting for 58.4% of the total number of tourists in the province. It is expected that the number of visitors and tourism to Ha Tien will continue to increase in the last months of the year. This is a great source of demand for the resort real estate market in this area.
Vice Chairman of People's Committee of Ha Tien City said that the convenient location of Ha Tien is only 1 hour from Phu Quoc Island and just over 1 hour from Chau Doc Tourist Area (N1 route) and 2 hours of driving to Rach Gia city.
Ha Tien has formed a tourist center connecting the mainland to Phu Quoc Island and vice versa. Therefore, over the past time, the number of tourists mainly from Chau Doc and Phu Quoc to Ha Tien is very crowded and the average stay is 2 days and 1 night. The city's plan strives to increase the length of stay from 3 days 2 nights to more in the future.
Not only Ha Tien but also Kien Giang's administrative city - Rach Gia, also made a big breakthrough with completed projects and a series of projects to accelerate implementation in early 2020 of Phu Cuong, CEO Group.
According to a survey at the Phu Cuong encroachment area, in 2018, the price of residential land in the sea encroachment areas, ranging from 8-10 million VND/m2, built-in houses cost over 1 billion VND. But by 2020, land prices have risen to the lowest level of 12 million VND/m2; especially in Phu Cuong urban area, investors "won strongly" when many real estate locations increased by 3 times, the highest was over 60 million VND/m2.
One common point in Kien Giang post-Covid projects is that investors offer big promotions to stimulate purchasing power demand from customers. For example, Meyhomes Capital Phu Quoc offers a discount of 8% and a gift of diamond jewelry. Or, Ha Tien new urban area applies a gross incentive such as a discount of up to 10% for fast payment, an additional discount of 2-6% for wholesale buyers, a gift of 12 maces of gold and the chance to win a Mazda CX5 car, …
It is known that since the "Investment Promotion Conference 2019" and the push of more than 45,000 billion VND to invest in construction of urban projects, commercial centers, modern residential areas, ..., Kien Giang attracts businesses inside and outside the province. According to economic experts, in the coming years, Kien Giang real estate will "catch waves" because of the abundant investment capital, large land fund and tourism potential that positively affects the real estate market.
With the plan, Kien Giang province aims to become the top growing province in the Mekong Delta by 2030, Kien Giang real estate is forecasted to be invested to grow more strongly.