CapitaLand snaps up prime site in Ho Chi Minh for $70.2m

This solidifies Vietnam as its third largest market in Southeast Asia.

As it further propels its market presence in Vietnam, CapitaLand Ltd. unveiled its acquisition of a prime city District 1 of Ho Chi Minh City.

The site, which CapitaLand acquired for $70.2 million, will potentially offer 302 units across a 17-storey residential tower and a 22-storey serviced residence tower.

The service tower will be managed by CapitaLand's serviced residence arm, the Ascott Limited under its Somerset brand.

The projects is expected to be launched in the latter part of this year and the development is slated to be completed in 2018.

According to CapitaLand Vietnam CEO Chen Lian Pang, this deal marks the third acquisition of the group in Vietnam since June 2015. This also anchors Vietnam as its third largest market in Southeast Asia

"We are confident that our residential developments in 2 Hanoi and Ho Chi Minh City will continue to attract homebuyers and investors seeking quality, well-designed and well-located homes with good potential for appreciation in value," Chen said, noting how the group managed to be among the top-performing foreign developers in Vietnam with 1,321 residential units sold at a value of $226.5 million.

Looking forward, Chen said the group will be in the lookout for other investment opportunities including office, serviced residences and integrated developments.