Open to international tourism, how is industrial real estate?
That is the comment of Mr. Matthew Powell, Director of Savills Hanoi when talking about the situation of the industrial real estate market in the context that Vietnam is about to resume international flights.
According to this expert, compared to neighboring countries in the region, Vietnam is in a rather favorable position. Firstly, real estate prices are still relatively affordable when compared with other countries such as Malaysia, Thailand, China, or India. Although prices are on the rise, see many new projects being added to the futures supply. This will be a factor affecting the cost of land. For manufacturing enterprises, the problem lies in the workforce, including quality of workmanship, working environment and social welfare.
With many job opportunities and development, the labor cost in Vietnam is at a relatively low level in the region. Moreover, because of the relatively simple regulatory framework, businesses feel comfortable investing in and working in Vietnam.
Accordingly, the fact that reputable enterprises choose Vietnam as a strategic destination is of great significance in promoting the growth of foreign direct investment (FDI), and at the same time, increasing the prestige of Vietnam. of Vietnam in the international arena. For example, Lego currently has only 5 manufacturing plants worldwide. Therefore, the choice of this enterprise to choose Vietnam as the destination to build a new factory is a great success in attracting FDI capital.
Mr. Matthew Powell, Director of Savills Hanoi
Besides large corporations, Vietnam also attracts FDI from companies operating in the field of production and logistics. In addition, the number of industrial projects investing in Vietnam is increasing, with the goal of prioritizing data center development. In terms of geography, the decisive factors can be mentioned: products, labor, infrastructure, for example, location close to ports, airports or near large urban areas such as Hanoi. Noi and Ho Chi Minh City.
Mr. Matthew Powell said that there are many reasons for the attractiveness of the industrial real estate industry in Vietnam. Specifically, industrial land in our country has a relatively reasonable price, there are many reputable real estate developers with appropriate legal policies. These are the factors that help attract businesses to invest in Vietnam. In addition, other factors such as population, working population, labor costs, convenient transportation network and accessibility to international ports and airports, in order to serve export import finished products and products.
In addition to these favorable conditions, the right policy planning from the central to local levels also creates the attractiveness of Vietnam. As a result, many new companies are entering the market due to tax incentives in key economic areas. Currently, businesses are trying to expand and diversify their markets so as not to be dependent on China. In particular, Vietnam emerged with political stability, open investment opportunities, meeting the needs of businesses related to legal factors and support from local authorities. Although administrative procedures still have certain limitations, there have been many improvements. In general, there are many factors that “pull” investors to the Vietnamese market, instead of other places like China, India or Thailand.
Expert Savills said that the epidemic has caused many obstacles to investment due to restrictions on working over the Internet. It is difficult for companies to make appropriate decisions. With the return of international flights on March 15, expect a boom in foreign investment with many new projects being signed, especially manufacturing plants and warehousing logistics in the country. the coming months.
Due to possessing many advantages such as geographical location, labor costs or accessibility to international ports and airports, Vietnam is an attractive investment destination compared to other countries in the region. In particular, the industrial real estate market is also seeing many data center and logistics projects with high-quality investment, contributing to increasing Vietnam’s reputation in the international arena.
Besides, the decision to open the route on March 15 will make it easier for foreign-invested enterprises to access industrial park projects in Vietnam. This will create a big step for the growth momentum of this segment in 2022.
at Blogtuan.info – Source: cafebiz.vn – Read the original article here
