Strong economic development, complete transport infrastructure and an important position at the Eastern trading gateway of Ho Chi Minh City are advantages to help Dong Nai real estate market become a "hot spot" to attract investment capital.
A strong development of transport infrastructure is the fulcrum for Dong Nai real estate market to grow
Infrastructure broke out, real estate enjoyed benefits
In recent years, Dong Nai has a boom in transport infrastructure with a series of big projects being implemented and prepared to be deployed. In addition to the Ho Chi Minh - Long Thanh - Dau Giay highway, the extended National Highway 51, Long Thanh International Airport which is about to start, from now to 2020, Dong Nai will spend VND 35,000 billion to build Ben Luc - Long Thanh highway, Dau Giay - Phan Thiet highway, Dau Giay - Lien Khuong (Lam Dong) highway and Ring Road 3.
At the same time, in the near future, Dong Nai will focus on expanding road axes that go through Bien Hoa city, riverside roads as well as unifying the policy of building Bien Hoa - Vung Tau highway, metro system connecting Bien Hoa with Ho Chi Minh City and bridges connecting Bien Hoa and Nhon Trach with District 9, etc. These projects not only help travel and goods circulation more conveniently, promote Dong Nai's economy, but also create leverage for real estate market’s growth.
In fact, Dong Nai is the area bordering on Ho Chi Minh City which has a very exciting real estate market. Real estate prices here have set a new price level recently. For example, in Bien Hoa city, land price in Buu Hoa, Tan Hoa and Tan Phong wards at the beginning of 2018 was only about VND10-12 million/m2 but it is currently quoted at VND 20 million /m2. Particularly in the center of the city, land price was traded up to VND 80-100 million/m2.
However, land fund in Bien Hoa city center is not much, so recently many investors began to pay attention to the area adjacent to Long Thanh, where Long Thanh international airport is being urgently invested. Series of projects in this area has attracted a large number of customers such as Paradise Riverside, Golden Center City 3, Bien Hoa New Town 2, etc. The land price here at the beginning of the year is about VND 8-10 million/m2, now it has increased up VND 12-15 million/m2.
Particularly in Nhon Trach, after a period of "hot" growth in the beginning of the year, the land price is currently around VND 8-15 million/m2.
According to several experts, Dong Nai real estate market still has great potential for development thanks to fulcrum of infrastructure system and development strategy to the east of Ho Chi Minh City. Besides, Dong Nai is always in the top group of Vietnam in attracting FDI. Only 9 months of 2018, FDI poured into Dong Nai reached USD 1.3 billion, 30% higher than the yearly plan. Most of the projects focus on real estate, infrastructure, industry, trade and services and logistics. This not only opens up development opportunities but also creates a solid foundation for Dong Nai to continue to hold a good position in fierce competition of the real estate market.
Bien Hoa is still the focal point
With a strategic position in the economic quadrangle of Dong Nai - Ho Chi Minh City - Binh Duong and Ba Ria Vung Tau, Bien Hoa city are considered as one of the dominant areas in attracting real estate investment. Because this is the economic motive force of Dong Nai Province with the highest concentration of population as well as large-scale industrial parks and many arterial roads passing by.
Especially, Bien Hoa is located at the heart of Ho Chi Minh City's eastern gateway. From here, just going down Hanoi highway or Ben Thanh - Suoi Tien metro line is accessible right in District 9, Thu Duc and central districts of Ho Chi Minh City. Thanks to this advantage, Bien Hoa is considered no different from a satellite urban area connecting the East area of Ho Chi Minh City.
Recognizing Bien Hoa city’s development potential, many large corporations in the world have continuously poured capital here to invest, develop housing projects, urban areas and commercial facilities. Typically, Keppel Land Group said it will deploy a new project, a smart urban area in 2019. Aeon Corporation (Japan) and Auchan Group (France) have also planned to build a trade center in Bien Hoa City.
Besides foreign enterprises, domestic leading real estate developers such as Vingroup, Novaland, VinaCapital, Van Thinh Phat, Hung Thinh, Dat Xanh, Kim Oanh, etc. are also developing projects here, making the market become lively.
Commenting on market prospects, Mr. Ton That Khiem, Deputy General Director of Communications and Marketing of Kim Oanh Company, said that Bien Hoa real estate is in the early stage of growth and its price is still low.With the development of transport infrastructure, especially when Ben Thanh - Suoi Tien metro line is extended to Sat market (Bien Hoa), this place will become a counterbalancing growth pole of the East area of Ho Chi Minh City and land prices will also increase sharply.