CapitaLand Development strengthens foothold in Vietnam

CapitaLand Development strengthens foothold in Vietnam

CapitaLand Development (CLD) made significant strides in its Vietnam expansion strategy with two key announcements on May 5, a strategic collaboration agreement with Vinhomes JSC and the unveiling of The Fullton, a low-rise residential development in Hung Yen province with an estimated value of $800 million.

The partnership with Vinhomes marks a pivotal milestone, solidifying the collaboration between two regional real estate developers. The two companies aim to create sustainable, long-term value within Vietnam’s booming real estate market.

The agreement sets the stage for future joint ventures in large-scale urban developments. CLD’s successful track record within Vinhomes' townships, including projects such as Lumi Hanoi in Vinhomes Smart City and The Senique Hanoi in Vinhomes Ocean Park, lays a solid foundation for continued collaboration.

Jonathan Yap, CEO of CLD (centre), Pham Nhat Vuong, founder and chairman of Vingroup JSC (fifth from left), and other representatives from both firms at the MoU signing ceremony

Tan Wee Hsien, CEO of CLD Vietnam and International, said, "Through this partnership with Vinhomes, we aim to more than double our capital investment in the country over the next five years. By combining Vinhomes’ deep local knowledge with CLD’s regional expertise across design, development, and asset management, we are well-positioned to jointly contribute to Vietnam’s rapidly evolving real estate landscape."

Nguyen Dieu Linh, vice chairwoman of Vingroup and a member of the Board of Directors at Vinhomes, said, "This deal reflects our commitment to build premier, highly liveable urban areas in Vietnam. In the future, Vinhomes and CapitaLand Development will jointly develop urban areas according to international standards, creating ideal and luxurious living spaces, contributing to the development of a civilised, modern, and prosperous resident community nationwide."

CLD is also expanding its residential footprint in Vietnam with The Fullton, a low-rise development located in Vinhomes Ocean Park 3, Hung Yen province, near Hanoi.

With a total projected development value of approximately $800 million, The Fullton marks CLD's first low-rise undertaking in Hung Yen Province, increasing CLD’s total residential development portfolio in Vietnam to over 19,000 units across 19 projects.

Artist’s impression of The Fullton, CLD’s first low-rise undertaking in Hung Yen province

The Fullton lies just east of Hanoi, providing convenient access to the Northern Key Economic Region via major transportation corridors, including National Highway No.5A, Ring Road 3.5, Hanoi – Haiphong Expressway, Ngoc Hoi Bridge, and Tran Hung Dao street.

The development will offer an attractive mix of residential properties, including shophouses, cluster villas, garden villas, and single villas. The Fullton will feature an innovative gated community concept, ensuring privacy and security for its future residents.

Hsien added that the Fullton aligns with its goal to scale up CLD’s operations in Vietnam, with a target of 30,000 residential units by 2029.

"This venture will enhance our residential portfolio, expanding our presence in a key location with excellent growth potential. The Fullton is a key milestone in CLD’s long-term strategy for the Vietnamese market. We are committed to making this a landmark development that will redefine the residential landscape in greater Hanoi. We look forward to exploring new investment opportunities and contributing to Vietnam’s continued growth," he said.

The Fullton spans 25 hectares and will be executed in two phases. The first phase, covering 12ha, will deliver 342 residential units by 2026, while the second phase, spanning 13ha, will add approximately 350 units by 2027.

Hung Yen province, which has seen consistent urban growth, is expected to increase its urbanisation rate from 41 per cent in 2020 to a projected 60-65 per cent by 2030. The population of the province reached an estimated 1.32 million in 2024, highlighting the growing demand for quality housing.

VIR