The main leverage of foreign capital inflows in the first quarter of this year came from the industrial real estate segment. (Photo kinhtechungkhoan.vn) The mainleverage of foreign capital inflows in the first quarter of this year came fromthe industrial real estate segment.
VSIP Bac NinhCo Ltd increased capital by nearly 941 million USD for the investmentproject to build urban infrastructure and VSIP Bac Ninh services,which helped the total registered capital of foreign investment in realestate to leap.
With thiscapital increase, Singapore continues to maintain its leading position inforeign investment flows into Vietnam in the first quarter, with a totalregistered capital of 2.29 billion USD, accounting for 25.7 percent of totalinvestment capital into Vietnam.
In the southernprovince of Long An, a significant industrial park real estate from Singaporehas also announced a new land fund of 20.9 hectares in Vinh Loc 2 IndustrialPark and 22.3 hectares in Xuyen A Industrial Park forfactories to rent.
These are thefirst two projects of BW in the province and are part of the company'sexpansion strategy in key industrial areas adjacent to Ho Chi Minh City.
These twoprojects are expected to be completed in the second and fourth quarters of nextyear, respectively, providing 433 square metres of two-storey ready-builtwarehouse.
Nguyen ThanhThanh, head of the economic zone authority of Long An province, said thatthanks to the promotion and investment attraction taking place throughout andwithout interruption during the pandemic last year, the process ofinvesting in industrial land in the province has prospered from the beginningof this year.
“From the beginningof the year until now, it has attracted 230 million USD in foreign direct investment (FDI), including new registration andcapital adjustment into industrial parks. Domestic investment has reached over 7trillion VND (304 million USD). There are many big projects, such asCoca-Cola's investment in a factory with a total capital of more than 136million USD in Phu An Thanh Industrial Park in Ben Luc district," Thanhtold Dau tu (Investment) newspaper.
Long An'sforeign investment attraction was based on investment procedures andlicenses improving, as many businesses received certificates within thesame day, he added.
The massiveinflux of international investors into the industrial real estate market haspushed up industrial land rents.
JLL'sindustrial real estate market report shows that industrial land prices stillmaintained strong growth momentum in the first quarter of this year, ayear-on-year increase of 8.5 percent.
This isattributed to the wave of FDI poured into the country after restoring flights andopening international borders. The average rental price of industrial land is 120USD per metre per lease cycle.
JLL said thatthe ready-built factory market has moved to a larger scale to meet the needs oftenants, especially international customers who choose to lay foundations orexpand production in Vietnam, but wanted to save time, cost and quickly putbusinesses into operation./.
VNA
