According to the construction planning of Ho Chi Minh City up to 2030, with the vision to 2050 of the Prime Minister, the area of Ho Chi Minh City includes the entire administrative boundaries of the city and 7 neighboring provinces: Ria - Vung Tau,
According to the construction planning of Ho Chi Minh City up to 2030, with the vision to 2050 of the Prime Minister, the area of Ho Chi Minh City includes the entire administrative boundaries of the city and 7 neighboring provinces: Ria - Vung Tau, Binh Duong, Binh Phuoc, Tay Ninh, Tien Giang, Long An and Dong Nai. And according to this plan, real estate investment trends to flow to suburban.
Map of construction planning of Ho Chi Minh City
Nam Long Investment Joint Stock Company has collected more than 350 ha of land in Long An to prepare for shifting of real estate investment to suburban areas. It takes a decade to build land and from 3 to 5 years to study the planning of urban development accordingly.
"In period of 2018 - 2019, we will focus on investing in Long An. Besides that, Real estate investment companies should investigate carefully to figured out how to compensate for landlord, through relocation or resettlement " - Mr. Nguyen Quang Minh - Director of sales and marketing, Nam Long Investment Joint Stock Company
Moving residents from downtown to suburban to reduce the density is one of seven urgent tasks of HCM City. The city governmennt has spent about tens of thousands of billions dong investing in expressways construction that has shortened the travel time to suburbs. Therefore, real estate investment in the suburban brings dual benefits to the city as well as house buyers.
Most enterprises investing in suburban have had land fund in these areas for decades. This shows that the real estate market is really playground for only businesses that have prepared for a long time. Experts from Savil also said that the biggest challenge of real estate developers was finding a clean legal land fund.
According to researchs of some experts, the size of the population of HCMC is equivalent to a number of urban in areas such as Bangkok, Kualalumpua, but the urban size of the city is only one third, even a quarter of these cities. Therefore, in the next 10 to 20 years, HCM City will tranfer to urban scale like other countries in the region as inevitable.