Keppel Land to buy two prime sites in Vietnam for US$297m

KEPPEL Land has entered into two conditional sales and purchase agreements to acquire 100 per cent interest in two prime sites in Ho Chi Minh City (HCMC).

The total development cost of the two sites amounts to US$297 million.

For the first site located in Saigon South of HCMC, Keppel Land plans to develop about 220 landed homes and a 1,029-unit high-rise condominium spanning a gross floor area (GFA) of about 36,110 square metres and 141,540 square metres respectively.

The 13-hectare site is situated among highly populated and established upper mid-end residential areas which enjoys easy accessibility to HCMC's central business district (CBD).

The total development cost for the first site, inclusive of the land cost, is about US$235 million.

The second site is located in District 9 and borders the affluent residential enclave of District 2. Keppel Land will develop another 300 landed homes spanning a GFA of about 55,000 square metres. The total development cost for the six-hectare site, inclusive of the land cost, is about US$62 million.

Keppel Land CEO Ang Wee Gee said: "Vietnam's housing demand is expected to continue its upward momentum, supported by the country's young population, growing middle class as well as rising urbanisation. We are confident that these two developments will be well sought after, given the limited supply of upper middle-end gated landed homes and condominiums close to HCMC's CBD.

"The two projects will add to Keppel Land's pipeline of more than 20,000 homes in Vietnam. We will continue to leverage our experience and expertise as one of Asia's premier property companies with a strong track record of delivering well-planned, quality and thoughtfully designed homes to meet the lifestyle aspirations of discerning homebuyers in Vietnam."