Quang Ninh real estate awaits a push from infrastructure and tourism

CafeLand - The 2018 real estate market has seen strong growth in many areas, not only in big cities like Hanoi and Ho Chi Minh City but also in emerging markets, including Quang. Ninh - where the advantage comes from tourism growth as well as the completion of infrastructure.

The operation of Van Don airport in late 2018 promises a positive prospect for Quang Ninh's socio-economy in general and the real estate market in particular in 2019. Mr. Nguyen Hong Son, Director of the Division Consulting of Savills Hanoi, there have been some revisions around Quang Ninh market prospects in 2019.

CafeLand: How do you rate the Quang Ninh real estate market in recent years, especially in 2018?

Mr. Nguyen Hong Son: Quang Ninh real estate market in recent years can be divided into 3 main areas: traditional areas such as Ha Long and Bai Chay, the area is developing strongly thanks to policies such as Van Don. and other emerging areas such as Uong Bi, Mao Khe and Mong Cai.

Ha Long Bai Chay is an area that has developed many years ago with the remarkable growth of marine tourism real estate products such as hotels, rental apartments and sea villas. The market has the participation of most domestic investors such as Sun Group, Vin Group, BIM group, FLC ... This area also attracted the attention of foreign investors such as the Group. Nakheel from Dubai UAE. In 2018, this region has a very good growth, following the stability from previous years as well as significant improvements in the number of tourists and infrastructure projects.

Van Don is the most remarkable area in the past year. Since 2017, signs of significant improvements in the region's infrastructure, including Van Don airport, have created a vibrant wave for the real estate market here. Besides, the development orientations of Quang Ninh province in general and Van Don area in particular, by 2030, will make Van Don become the financial, tourism and cultural center of the province to support this wave as well. of the real estate market. In particular, especially the policy of developing Van Don into a special economic and administrative zone has made the number and price of land transactions here have a clear growth in the first half of 2018. However, after the main Local rights to apply transaction restrictions such as suspension of purchase and sale procedures or land use right exchange, the market in the second half of 2018 was more limited and quieter than the beginning of the year.

Mr. Nguyen Hong Son, Consultant of Savills Hanoi.

In 2018, Quang Ninh market was reminded more about shophouse products. What do you think about the potential of this product in Quang Ninh in 2019?

Shophouse in urban areas, new residential areas is not a new product of the Vietnam real estate market but has been mentioned a lot in the past 5 - 7 years. Currently, most of housing projects are not only in Quang Ninh but also in the whole Vietnam market, which tend to maximize shophouse products because this model is favored by customers with the main advantage of commercial potential. trade as well as investment scale. Shophouse usually has a position on the main road, combining with the needs of accommodation and business, in accordance with the tastes of Vietnamese people. On the other hand, the area of ​​the shophouse is not too big, meaning a moderate amount of investment capital, suitable for the investment capacity of a larger customer group.

Quang Ninh, not out of the general development trend of the real estate market, is witnessing many projects, from housing projects, urban projects to commercial tourism projects put into planning and developing product shophouse. On the one hand, there are also shophouse products that have been developed according to the trend and have not had the potential for business. However, shophouse products located in areas planned to benefit from tourism growth and trade promise attractive business potential.

Quang Ninh is one of the provinces with fast and strong tourism development. In 2018, the province welcomed more than 12.5 million tourists. The planning of the Ocean Park development in Bai Chay, or the tourist port in Tuan Chau Island, as well as the area near Van Don Airport, promises to create opportunities for shophouse products in these areas.

In the first half of 2018 there was a fever in Van Don in the ground, so far this segment has settled down. How do you rate this situation?

The phenomenon of land fever in the beginning of last year not only happened in Van Don but also in the localities with information about the policy of forming other special economic zones such as Phu Quoc and Northern Van Phong. This phenomenon partly reflects the habits, culture and investment needs of domestic investors in Vietnam: the opportunities and investment needs shown drastically have contributed to this fever.

We also do not deny speculation that includes unofficial and healthy trading activities aimed at creating transient waves to profit. Such unstable movements show that the real estate market in these areas is not really mature and mature.

Van Don airport has just been put into operation in Quang Ninh, how will this affect the real estate market here, sir?

Van Don Airport is a key infrastructure project of the Northeast region as well as of Quang Ninh province. The operation of this airport is expected to create a momentum of socio-economic growth and especially Quang Ninh tourism, from which the real estate market will also benefit. However, the impact of the airport operation on different segments will vary. Tourism real estate is expected to be the first segment to benefit. Residential real estate will also benefit significantly in the short term; However, in the long term, the development of this segment should go hand in hand with population growth and local socio-economic development.

Quang Ninh real estate awaits a push from infrastructure and tourism in 2019.

How do you predict the future of Quang Ninh market next year? What will be the bright spot of the market?

The performance of Quang Ninh real estate market in 2019 will generally continue to grow, but there will be differences between regions and segments. Residential real estate is expected to continue to maintain stability and is primarily focused on buyers and investors who are local residents. Real estate with tourism factors is expected to have the most significant growth. In the context of increasing tourism activities, tourism products are well exploited, the number of tourists increases, not only the hotel segment will grow but also the segment of rental apartments will benefit.

However, it should be noted that in Ha Long area, the supply of tourism real estate product lines is quite large. Although the tourism development speed of this area is currently very impressive, it is not guaranteed that all projects are successful. Depending on the project and the capacity of the investor, the potential for increasing the value and level of risk varies. To attract customers, developers need to create different values ​​between the large number of projects being offered to the market.

Do you have any advice or attention for investors and customers who intend to participate in Quang Ninh market?

For investors, my advice is to focus on the quality of development instead of just interested in the quantity, increasing the value through the exploitation and operation of the project. At the same time, it is necessary to implement and improve both the quantity and quality of new types, services and tourism products to attract and retain visitors. Quang Ninh has Ha Long Bay which is a natural wonder in the world but now tourism products in this market are quite poor and not commensurate with the potential.

For investors, like in any real estate market, my advice is to be cautious, invest according to your needs and desires, not follow the trend. Each real estate product will match the needs and conditions of each different investor, especially in the context of a plentiful supply in the market in the coming years.

Tam An