Singapore developer optimistic about Việt Nam’s property market
On its 30th anniversary in Việt Nam, CapitaLand Development, a long-time builder of trend-setting housing projects in HCM City and Hà Nội, discusses achievements and future plans with Việt Nam News.
Marking 30 years in Việt Nam, Singaporean developer CapitaLand Development (CLD) has built many housing projects in HCM City and Hà Nội. Việt Nam News' Thu Ngân speaks with Alwin Low, CLD’s general manager for northern Việt Nam, about the company’s milestones, future plans, and outlook on the local property market.
What has your company accomplished during its 30 years in Việt Nam? What do you attribute them to?
Looking back, it is humbling to see how far we’ve come in Việt Nam since our first project in 1994, a serviced residence project in Hà Nội’s beautiful West Lake area. Little did we know that this project would lead us to a rich journey alongside Việt Nam’s transformational growth.
Over the past 30 years we’ve seen our portfolio evolve into a diverse collection that now includes over 18,000 homes across 18 residential projects, two integrated developments, and a SOHO development. This reflects not only our commitment to the market but also the trust we have built with our communities. Today we are proud to hold over 200 prestigious awards, underscoring our strength and dedication to design and quality.
This year signifies a remarkable milestone, marking 30 years of our dedication in Việt Nam. It’s been a year of hard work with the launch of three more projects across the country, from Sycamore in the south, to Lumi Hanoi and The Senique Hanoi in the north.
The success of The Orchard and Orchard Hill under Sycamore, achieving around 90 per cent sales, and the outstanding reception received by Lumi Hanoi with over 99 per cent of units sold, speak volumes for the trust our customers place in our high-quality living spaces.
For us, it is more than just about building homes. As the ‘Developer of Choice,’ it is our responsibility and duty to make a significant contribution to the communities that have welcomed us, encouraging growth and vibrancy in the areas in which we operate.
We believe that our success is rooted in the unwavering support of our stakeholders, including our employees and external partners, who work towards a shared vision that goes beyond individual accomplishments.
Furthermore, our commitment to the community has inspired initiatives such as the inaugural 'Together We Step: Step For Kindness' campaign this year, which will be evolving into an annual event going forward. This initiative brought together nearly 10,000 participants in two separate events in Bình Dương and Hà Nội, raising US$60,000 in donations to support children in need.
This campaign embodies our dedication to fostering kindness and unity in Việt Nam.
The dedication to community is also central to our CapitaLand Hope School programme, through which we’ve refurbished five schools across Việt Nam since 2011, supporting the educational journey of over 2,000 children every year.
How do you foresee the development of the Vietnamese property market in the near future?
We are highly optimistic about Việt Nam’s real estate market.
In the coming years, anticipating robust growth driven by favourable demographics, a burgeoning middle-income segment and increasing urbanisation.
The country’s GDP growth is typically resilient at 6-7 per cent per annum, with real estate forming a vital pillar of the economy. FDI in the real estate sector was very strong for the first eight months of this year, reaching $2.4 billion, which represents a fivefold increase from last year. Overall, we feel very confident in the long-term potential of Việt Nam’s real estate market.
Việt Nam’s “golden population” — nearly 70 per cent of the over 100 million population being of working age — also supports the rising housing demand. This young, urbanising demographic increasingly seeks modern, secure and well-appointed living spaces, contributing to strong demand in the apartment market. The take-up rate of high-rise apartments is also partially spurred by the shortage of available land.
Demand for housing is also projected to expand into satellite townships and peripheral areas as cities continue to expand, with over 40 per cent of the population now residing in urban areas. This shift creates new investment opportunities and addresses land constraints in city centres while meeting emerging preferences for community-centric and wellness-oriented living spaces. These lifestyle trends are especially valued by homeowners in the 25 to 39 age group, who prioritise mental health, social connection, and quality of life in their choice of residence.
As we recognise and cater to market trends, CapitaLand plans to expand our portfolio to over 27,000 units by 2028. This reflects our confidence in the market and our dedication to delivering quality products that cater to the evolving aspirations of Vietnamese homebuyers.
What trends do you believe developers will focus on in their housing projects?
Overall, we observe that homeowners and investors are becoming more sophisticated and expect more in terms of build quality and amenities. Safety and privacy are also critical factors, with buyers increasingly valuing secure, gated communities that offer a sanctuary within dense, urban settings.
Another emerging trend is the demand for community-centric living. Modern homeowners are seeking not just a home but a complete living environment, featuring comprehensive amenities designed to serve all aspects of daily life. From parks and fitness centres to co-working spaces and recreational areas, these developments create self-sufficient communities where social interaction and a sense of neighbourhood are naturally fostered. This reflects a growing demand for convenient and lifestyle-oriented living spaces.
Sustainability is also at the forefront as more environmentally conscious buyers influence the market. Việt Nam’s Government has set a target for net-zero emissions, urging developers to adopt eco-conscious practices. This includes using locally sourced, sustainable materials and integrating energy-efficient solutions in construction, as developers align their projects with environmental goals and support national objectives.
Can you tell us about your investment plans in the coming period?
Looking forward, CapitaLand continues to be deeply committed to Việt Nam as a core market and will be actively expanding our portfolio and presence across the country. Over the next five years we plan to significantly expand our residential portfolio, growing alongside Việt Nam’s increasing demand for quality housing.
Sustainability is at the core of everything we do as we integrate practices that are aligned with Vietnam’s environmental goals and help to build a greener and more resilient future for the people.
While our strategy currently centres on residential projects where we leverage our comprehensive expertise across the real estate value chain, we understand the importance of adapting and responding to the evolving needs of the market.
In the coming years we will also explore commercial and industrial opportunities that help to fill a market gap as Việt Nam continues to progress. — VNS
