Foreign buyers eye Masteri Thao Dien project
Foreign buyers eye Masteri Thao Dien project
Foreign buyers from Japan, South Korea, Singapore, and the UK are falling for apartments in the Masteri Thao Dien project in Ho Chi Minh City.
The increased interest has been driven by the amended Law on Housing which comes into effect on July 1, granting foreigners improved property rights.
Located in Thao Dien ward, District 2 with its front gate facing on to the Hanoi Highway, the Masteri complex consists of high-end apartments, a shopping centre, offices for lease, parks, lakes, swimming pools, a sports centre, and a playground.
The eight-hectare site gives residents a stunning view of the District 1 skyline to the west and natural surroundings to the east. This breathtaking living space provides great natural light and is built to catch cross breezes off the nearby Saigon River.
According to Masteri Thao Dien business director Trinh Hoai Duc, foreigners have visited mock-up apartments, inspected the quality, and reviewed the legal documentation for the project.
“Foreigners are interested in quality of life issues and are keen on having space and a natural environment. Moreover, the project is directly connected with metro line1 linking Ben Thanh to Suoi Tien, which is another positive factor in the project’s value,” said Duc.
The site will also house the VND3,500 billion ($164 million) Vincom Mega Mall Thao Dien developed by the Vingroup. This will be the biggest shopping centre in the east of Ho Chi Minh City and will be directly connected to the An Phu metro station, which is slated to go into operation in 2018.
Techcombank will act as project underwriter and the bank will ensure that should the project not be completed on schedule that all costs for the buyers, including deposits, interest, and related fines will be covered.
Techcombank will also ensure the release of capital flows based on the project’s progress.
According to Richard Brown, a potential buyer from the UK, foreigners were keen to avoid unnecessary legal entanglements. “Foreigners obviously appreciate when the developer’s responsibilities are clearly regulated and the legal regulations and the buyers’ rights are ensured by a bank,” Richard said.
“The fact that developers are starting to do that obviously increased confidence,” he added.
Masteri Thao Dien’s developer – Thao Dien Investment – has also co-operated with leading Vietnamese law firms to issue legal descriptions, and contracts are available in English in order to ensure fair rights for foreign buyers.
The recently-amended Law on Housing has opened up a potentially lucrative opportunity for real estate agents to attract foreigners.
According to official figures, more than 80,000 foreigners are living and working in Vietnam.
Market analysts optimistically assume that this will bring in an additional source of foreign currency to Vietnam, increase liquidity in the real estate market, as well as improve the business and investment environment in Vietnam in the international investment cycle.
This new situation will provide a new challenge for domestic investors who will need to up their game and provide better and clearer legal support as well as higher quality products for this more quality-conscious market segment
“Foreign buyers aren’t just interested in good quality developments; they require transparent legal information on the status of a project and clearly set out responsibilities and commitments for the developers,” said Duc.
