New direction of resort real estate investors
Investors focus on developing large-scale complexes, cooperating with prestigious international brands, in promising markets for second home.
In 2014, the resort real estate market gradually became active in Vietnam with a variety of new products such as shophouses, beach villas, condotels… According to statistics of the Vietnam Association of Realtors (VARs), From the period 2015 – 2018, about 30,000 condotel products have been launched into the market. The common feature of this period is that investors race with the problem of profit commitment, ranging from 8 – 12% per year, higher or equivalent to the bank loan interest rate and twice as high as the deposit interest rate. thrifty.
However, after a period of peak development, the resort real estate market slowed down. The main reason comes from the investor running after the financial problem, neglecting the operation management. The vast majority of projects in this period are self-operated by domestic units. Due to lack of experience in managing and attracting tourists, business performance is not good, making it difficult to pay commitment to profit. Notably, at the end of 2019, Cocobay announced that it broke its commitment to profit, causing investor confidence to collapse. Before “recovering”, by 2020 and the first 9 months of 2021, the market fell into a quiet state due to the influence of Covid-19.
A corner of Cocobay Danang project. Image: ND
Many real estate experts commented that, despite facing many difficulties, the resort real estate market in the early days fulfilled its mission of promoting strong development of tourism, improving the quality of tourism accommodation, meeting the increasingly demanding needs of tourists. This is also a premise for investors to create a new resort form with more careful preparation.
In early 2022, domestic tourism recovered. With the international opening policy, resort real estate started to accelerate strongly. This is also the period when resort real estate has a big difference.
Investors reduce the commitment level under control, fluctuating 5-6% a year, or there is no problem of commitment to profit. Many investors promote the profit sharing policy with different ratios, the highest being 90% customers and 10% management units.
A resort real estate project of Charm Group. Image: Charm Group
On the other hand, the new generation resort real estate recorded a wave of foreign brands dominating the operation management market share. Large investors choose to “stand on the shoulders of giants” when shaking hands with famous global brands such as Best Western, Goco Hospitality, AccorHotels, Marriott, InterContinental…
This strategy is highly appreciated by the above-mentioned brands having international standard professional services, owning hundreds of branches globally, which is also a solid basis for the problem of sustainable tourist attraction. This is an important factor to help investors return to the resort market, in addition to the recovery of tourism.
The first quarter report of DKRA noted that projects operated and managed by international units have selling prices about 23% higher than projects operated by domestic companies. The success rate of these projects is also higher.
In terms of scale, this period witnessed the expansion of billion-dollar projects of huge scale, well-invested in the model of an “all-in-one” multi-utility complex.
If in the previous period, the resort market was associated with traditional tourist cities such as Nha Trang, Da Nang, Ha Long… or the potential market had a breakthrough in airports such as Phu Quoc, Cam Ranh, then now Potential secondhome markets, 1-4 hours away from major economic centers, have an explosive supply and attractiveness.
Perspective of an all-in-one complex, operated by a famous global brand. Image: Charm Group
In particular, Ho Tram is the resort real estate market that many investors are interested in. With diverse natural advantages, large primeval Melaleuca forests and the most beautiful pristine beach on the planet as voted by CNN, Ho Tram is a 5-star resort destination in the South, suitable for second home type.
On the other hand, thanks to the advantage of being about 1-2 hours away from Ho Chi Minh City and the Southeast provinces, Ho Tram is also a destination to welcome an abundant stream of middle-class tourists, creating a great demand for second home ownership. or luxury accommodation. The area has a limited supply of land, only 10km of sea frontage.
In which, the Charm Resort Ho Tram complex owns 4km, equivalent to 40% of the area’s seafront land fund. The project is invested by Charm Group with USD 2 billion to develop a diversified “all-in-one” model. Spa wellness service cooperation with Goco Hospitality – a famous international brand for intensive health care treatments and Best Western Premier – Top 10 hotel operation management brands in the world. With real adjustments In fact, “hit” the nature of the market, resort real estate is now expected to create a sustainable development cycle for the real estate market in particular and the Vietnamese tourism industry in general.
Hoai Phong
at Blogtuan.info – Source: vnexpress.net – Read the original article here
