Business strategies including brand and tenant positioning and product diversification are being evaluated as critical success factors for shopping mall developers. The three biggest commercial space developers in Vietnam – Vincom, Lotte, and AEON – are all following this path. AEON wants to continue its aggressive expansion plans over the next few years in this country According to the latest data published by Vingroup’s Vincom Retail Company, the group currently owns 81 shopping centres, with two new Vincom Plaza shopping centres expected to open this year. Pham Thi Thu Hien, deputy CEO of Sales and Marketing for Vincom Retail, said, “In 2021, despite the difficulties posed by the pandemic, Vincom Retail still had many tenants around the world and they have high expectations for the Vietnamese market. Large companies have asked us to formulate a long-term development plan but domestic tenants have said that they are confident in the lease plan for the next 1-3 … [Read more...] about Retailers jostle for superiority
Savills
M&A route lends appeal for delay-ridden ventures
LDG Group is a developer with many unfinished projects that cannot be deployed in Ho Chi Minh City because of legal issues and cash flow. To solve the situation, chairman Nguyen Khanh Hung in June said he wants to mobilise capital from outside, and a merger and acquisition (M&A) is one potential method. Vietnam boasting buoyant real estate M&A activities “We are looking to finish legal documentation for two projects of the High Intela and the West Intela with a total of around 800 units which can be taken into M&A for other potential partners. This would be a good solution for LDG because these projects are small in scale, and LDG should leave them to drive focus towards improving its governance and construction capacity,” Hung said. According to Do Duy Thanh, manager of Savills Hanoi Investment Advisory Department, M&As are considered a safe and beneficial solution for both parties because the domestic enterprise can solve the capital shortage, while … [Read more...] about M&A route lends appeal for delay-ridden ventures