Keppel Land buys two prime residential sites in Vietnam's Ho Chi Minh City for US$297 mln

Ho Chi Minh City
View of the Ho Chi Minh City. Reuters

Keppel Land on Monday said it acquired two prime sites in Vietnam's Ho Chi Minh City with a total development cost of US$297 million (about S$407 million).

For the first site located in Saigon South of Ho Chi Minh City, Keppel Land plans to develop about 220 landed homes and a high-rise condominium . The total
development cost, inclusive of the land cost, is about US$235 million, the company said in a statement.

The second site is located in District 9 and borders the affluent residential enclave of District 2. Keppel Land will develop another 300 landed homes at the cost of about US$62 million, Keppel said.

"Vietnam's housing demand is expected to continue its upward momentum, supported by the country's young population, growing middle-class as well as rising urbanisation," Ang Wee Gee, CEO of Keppel Land said.

"We are confident that these two developments will be well sought after, given the limited supply of upper middle-end gated landed homes and condominiums close to Ho Chi Minh City's central business district".

The two projects will add to Keppel Land's pipeline of more than 20,000 homes in Vietnam.

Keppel Land sold a total of 1,010 homes in Vietnam in the first nine months of 2017, four times the units it had sold year-on-year.