Mr. Ronald Tay, General Director of CapitaLand Development Vietnam.

What motivated CapitaLand to choose to invest in Vietnam, sir?

In the early 1990s, when Vietnam began to implement Doi Moi, we recognized the development potential of your country. In 1994, CapitaLand officially entered the Vietnamese market.

Since the early 2000s, Vietnam’s GDP has continued to grow impressively. This growth has been supported by foreign direct investment (FDI) inflows. Vietnam’s demographics have also played an important role in driving growth. A young, dynamic population and a rapidly expanding middle class have driven demand across many sectors, including real estate. Vietnam’s urbanization rate is increasing rapidly, expected to reach at least 45% by 2025. This has significantly increased the demand for housing in urban areas.

Today, Vietnam is considered a new Asian “tiger” with its economy continuing to demonstrate resilience and outstanding potential. Vietnam’s unique geopolitical position, coupled with its commitment to economic reform and global integration, makes it an ideal core market for CapitaLand.

Our commitment to Vietnam is demonstrated through our portfolio of 18 residential projects, providing over 18,000 high-quality apartments, 1 SOHO project (a product line combining office and relaxation), and 2 mixed-use projects.

Can you share more about CLD's goals and development strategies in the Vietnamese market?

In 2024, CLD will introduce three important new projects to the market: Lumi Hanoi (over 4,000 apartments), Sycamore (3,500 apartments) and The Senique Hanoi (over 2,150 apartments). These projects are a testament to CapitaLand’s strong commitment to investing in Vietnam, demonstrating its confidence in the growth of this potential market.

Going forward, we will actively seek new investment opportunities, particularly in the residential and commercial segments. Our strategy involves not only expanding our portfolio in the provinces and cities surrounding Hanoi and Ho Chi Minh City, but also ensuring that each development project meets the highest standards of quality and sustainability.

By focusing on these core areas and following the success of launching large-scale projects such as Lumi Hanoi, Sycamore and The Senique Hanoi, we aim to grow CLD’s residential portfolio to 27,000 units by 2028.

It is known that besides the housing sector, CLD is targeting some other segments?

Vietnam’s urban population is forecast to reach 45 million by 2025, so urban residents need well-planned and sustainable living spaces. Therefore, the housing segment continues to be an important contributor to growth and this is also our strength.

In addition, we see significant opportunities in expanding investment in the trade, industry and logistics sectors, in line with Vietnam's development goal of becoming a global manufacturing hub.

Vietnam is moving towards sustainable development, and new aspects that leverage CLD’s expertise in sustainability are also being emphasized. We look forward to working with the authorities and partners to make a meaningful contribution to Vietnam’s economic growth and urbanization.

Recently, we have partnered with UOA Group (Malaysia), Mitsubishi Estate and Nomura Real Estate Development (Japan), Far East Organization (Singapore) to develop the project together. This cooperation is built on the foundation of sharing vision, the parties work together to bring new projects that meet the standards of quality, sustainability and meet the needs of community life in Vietnam.

What do you think about the prospects of Vietnam's real estate market in the coming time?

Although the Vietnamese real estate market is facing certain challenges, CLD has maintained strong sales performance at all of the Group's projects. This demonstrates customers' trust in CLD's products and demonstrates the Group's strength.

We expect the apartment segment to continue to grow positively in the long term. The Vietnamese economy is expected to grow by 6% per year in the next few years, and as inflation stabilizes thanks to government measures, consumer confidence will return. An improved business environment and increased infrastructure investment will support the gradual recovery of the real estate market.