South Phu Quoc a magnet for real estate investment
South Phu Quoc a magnet for real estate investment
Steadily growing tourism, increasing frequency of non-stop international flights to the island, and the reasonable price of vacation real estates are making Phu Quoc an attractive destination for domestic and foreign investors looking for a second home.
A hotbed for capital
International hotel operator JW Marriot has just revealed an upcoming establishment in Phu Quoc that would rock the Asian hospitality sector. The hotel is developed by Sun Group and architect Bill Bensley, who together placed Vietnam on the world map of luxury travel with the award-winning InterContinental Danang Sun Peninsula Resort.
The hotel aims to meet the increasing demand set by the island’s booming tourism. In the year to date, 1 million tourists visited Phu Quoc, doubling last year’s figures. Over the past five years, tourist arrivals grew at an average 30 per cent per year, while economic growth stood at 25 per cent.
These numbers are poised to grow further as tourism companies all over the world are increasingly targeting the island. On October 27, global travel company TUI Group announced picking Phu Quoc as the key destination for North European customers. The company would hold one non-stop flight per week to the island from Sweden, using 299-seat Boeing 787 Dreamliner 299 planesThere will be 5,000 Swedish tourists visiting Phu Quoc in the next six months. When the flight’s frequency increases to three per week in November 2017, as planned by the company, the number will rise even more.
On the other hand, tourists from Russia, China, and Singapore are also starting to discover Phu Quoc and are increasing in numbers. The island knows not about tourism down seasons, apparently, as the stream of visitors remains steady year-round.
In this context, many developers have come to the island to build multiple projects simultaneously. To date, 200 projects have been licensed with a total registered capital of VND200 trillion ($9.3 billion). In the south of the island, Sun Group alone has invested VND20 trillion ($930 million) into properties that it expects will make Phu Quoc a highlight of international luxury tourism.
An unbeatable offer
Sun Group’s two projects in the south of Phu Quoc are of a class of their own.
These days, condotels in Premier Residences Phu Quoc Emerald Bay are in the process of basic construction. The condotels, laid on the background of the sparkling ocean blue and white sand, are constructed to take after terraced rice paddies from above. They all enjoy plenty of natural light, with a close view of the ocean, and proximity of the woods.
The penthouses have indoor pools, and duplexes are located right next to a system of infinity pools with varying depths for everyone to enjoy.
In Ong Doi cape, the five-star Premier Village Phu Quoc Resort is also taking shape. The villas are either on the hill or floating on the water, reminding people of the Maldives or Bali.
The wall-length windows lend dwellers the feeling of living in the middle of nature, free of the oppressing limitations of the four walls. The furniture and fittings were all handpicked to meet the highest standards. The wooden furniture was made by AA Corporation. Bathroom fittings come from Kohler, and the cables and power sockets from Schneider. The carpet bears the famous brand of Carpets Inter, and the chandeliers differ from one villa to another.
According to real estate experts, the earning potential of vacation property in Phu Quoc is running laps around similar properties on the market. With the timeshare model, Sun Group commits a 9 per cent profit in nine years, while condotel-owners in Premier Residences Phu Quoc Emerald Bay can stay in their property for 135 nights.
Meanwhile, Premier Village Phu Quoc Resort commits a 9 per cent profit in 10 years. “I do not think there is anywhere else in the world where you can get 9 per cent on your vacation real estate for nine years. This is impressive,” said Troy Griffiths, deputy managing director of Savills Vietnam.
Sun Group is tirelessly working to introduce further policies that would benefit buyers. Specifically, between November 12, 2016, and January 31, 2017, Sun Group’s partner banks can loan buyers up to 70 per cent of the value of the property at an interest of 0 per cent for up to 24 months.
Real estate agents said that the last orders were being taken for the villas in Premier Village Phu Quoc Resort and the number of condotels in Premier Residences Phu Quoc Emerald Bay left is quickly decreasing. “If you do not act quick, you will have to spend more on products at similarly beautiful locations,” said Adam Lee from Singapore, who bought two condotels in the project.
