Mammoth project in Ho Chi Minh City’s Ben Thanh quadrangle transferred to Hanoi-based property firm
Mammoth project in Ho Chi Minh City’s Ben Thanh quadrangle transferred to Hanoi-based property firm
Bitexco Group officially transferred all of its stakes in Saigon Glory, the developer of the big-ticket One Central HCM project situated in the Ben Thanh quadrangle, to a real estate company in Hanoi at the beginning of October.
A view of the long-stalled One Central HCM in downtown Ho Chi Minh City. Photo: Quang Dinh / Tuoi Tre |
The information about the transfer was updated on a data system of business registration.
The 8,600-square-meter complex project intersects four main streets Pham Ngu Lao, Pho Duc Chinh, Le Thi Hong Gam, and Calmette, and overlooks the iconic Ben Thanh Market in downtown Ho Chi Minh City.
The real estate developer which acquired Saigon Glory was identified as Eastern Hanoi Real Estate Company, located at 83B Ly Thuong Kiet Street in Hoan Kiem District, Hanoi.
The company authorized Tran Thanh Tu, Tran Thi Minh Hieu, and Nguyen Anh Duc to own a stake worth VND7 trillion (US$277 million) in Saigon Glory.
The board of directors of Saigon Glory, which was established in 2018, has changed, with Tran Thanh Tu, 38, replacing Vu Quang Bao as chairman.
Trinh Quang Cong, CEO of the firm, was replaced by Nguyen Vu Hai, 51, a resident of Ho Chi Minh City.
In late September, Bitexco announced its plan to transfer the ownership of Saigon Glory.
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| Work on the One Central HCM project in downtown Ho Chi Minh City has been stalled since late 2022. Photo: Quang Dinh / Tuoi Tre |
In the past, Bitexco mortgaged its entire stake in Saigon Glory at Techcombank as collateral for 10 bond issues worth VND10 trillion ($396 million) by Saigon Glory, local media reported.
These bonds are set to mature from June 2025 to November 2026.
As per the transfer deal, Bitexco is committed to continuing its obligation to pay the principal and interest of Saigon Glory’s 10 bond issues between September 1 this year and June 12 next year, as well as redeem the interest of bonds with their maturity slated for June 18, 2025.
Meanwhile, Eastern Hanoi Real Estate Company will redeem the principal of the bonds maturing on June 18, 2025 and the principal and interest of the 10 bond issues for the remaining periods.
The One Central HCM, formerly known as The Spirit of Saigon, carried an initial price tag of $500 million.
The mega project was designed to consist of two towers with one set to feature 55 floors for offices and hotels. The other tower was projected to have 48 stories for apartments and hotels.
After the construction of its basements in 2012-13, the project was stalled before it was restarted in 2020, while Saigon Glory was rushing to mobilize capital via bonds.
The project then changed its name to One Central HCM in early 2021, but continued to be on hold in November 2022.
