Saigon South, which covers District 7 and Nha Be and Binh Chanh districts, has recently seen Khang Thong Joint Stock Company break ground for construction of a $30 million commercial and residential complex at Huynh Tan Phat street.
The complex, scheduled to open in three years, will be located on 3,395 square metres. The 19-storey building, designed by Korean firm Gansam Partners, will have a two-storey basement, five retail floors, entertainment and offices for lease, 204 apartments and 12 penthouses.
The year’s second quarter also saw successful sales campaigns for many high-profile Saigon South projects, such as Sunrise City developed by Nova Land and Sky Garden III, as well as Riverside Residences, both developed by Phu My Hung Corporation.
The success of these projects was responsible for the apartment market’s increased average per square metre selling prices having increased by 20 per cent in the second quarter compared to the first quarter, according to Colliers International Vietnam.
“The potential of Saigon South and its attractiveness to residents of Ho Chi Minh City is epitomised by the number of residential apartment projects committed in the area, as well as the performance of such projects in Saigon South this year,” said KP Singh, managing director of Colliers International Vietnam.
The real estate consulting firm’s 2009 third quarter report revealed that from the fourth quarter of this year to the first half of 2010, there would be an additional 22,650 residentialapartment units in 44 projects coming onto the marketplace. More than 6,000 of those units would be located in District 7.
“This level of commitment to the area from a range of experienced international and local developers shows that many professional property companies are confident in the continued development ofSaigon South,” Singh said.
The area recently suffered from a land use fee dispute between Phu My Hung Corporation and its homebuyers.
“As long as all parties involved in the dispute deal with it in a professional manner, I do not see this negatively affecting the long-term attractiveness ofSaigon South, given its several benefits,” said Singh. With that momentum, District 7 last week saw France-based La Veranda Joint Venture sign a cooperation contract with BB Dai Minh Joint Stock Company for participating in developing a three-star hotel. According to the newly signed contract, La Veranda and BB Dai Minh will set up the Vietnam-South Korea HotelJoint Stock Company for constructing the $11 million Ibis Saigon South hotel on Hoang Van Thai Street.
Construction on the project will begin next March and finish in February, 2012. There will be about 170 hotel rooms and other functional facilities such as conference halls, a restaurant and swimming pool.