A shopping center complex of Takashimaya Group in HCM City opened in 2016. — Photo Takashimaya Group

Takashimaya Group, renowned for operating high-end Japanese shopping centres, has announced its intention to open a shopping center in Hà Nội by 2026, as reported by Nikkei.

Yoshio Murata, Chairman of the Takashimaya Group, stated that their subsidiary, Toshin Development, has commenced construction of a complex in Việt Nam's capital city, Hà Nội. In addition to a sizable supermarket, the facility will feature residential, office and commercial rental spaces.

Takashimaya is projected to invest approximately two billion yen (equivalent to US$12.9 million) into this shopping center. The new complex will house a shopping centre spanning around 10,000 square metres, hosting a range of signature stores. Takashimaya is considering employing Japanese staff to sell products like food, cosmetics and children's clothing.

With this upcoming venture in Hà Nội, Takashimaya's portfolio will expand to five commercial centres in Southeast Asia and China. The economic slowdown in China has posed challenges for the Shanghai Takashimaya centre, leading to a decline in tenants and increased rents. To combat this situation, Murata has expressed the company's intention to explore other markets.

Takashimaya is specifically targeting Southeast Asia as a means to boost profits. Việt Nam, in particular, is viewed as Takashimaya's primary growth market due to the emergence of the middle and upper classes. However, the group faces fierce competition from other rivals, such as Lotte Group from South Korea and fellow Japanese company Aeon Mall.

Hà Nội will become the second Vietnamese city to house a Takashimaya commercial centre, following the opening of their complex in HCM City in 2016, which features around 150 signature stores and a large supermarket.

Takashimaya plans to double its profit and dividend income to 4.4 billion yen by February 2027 through its operations in Việt Nam. — VNS