Savills report notes high-end stock set to increase in central city.
Da Nang’s real estate market will soon welcome a number of new high-end apartments and villas in major projects such as Soleil Da Nang, Coco Bay, Da Phuoc, Han Riverside, Ariyana, Central Coast, Vinpearl Han River, and Ocean Suites & Estates.
The latest report from Savills on the central city’s real estate market in the first half showed that 80 per cent of purchasers are from Hanoi, attracted by the wide a variety of products, completed infrastructure, bright tourism prospects and sales policies, and the image of a young, dynamic and green city.
Successful existing projects include Ba Na Hills, Ocean Villas, Hyatt Regency, Furama, Intercontinental, and Azura.
Residential Supply Structure
“Vietnamese residential requirements are changing,” the report noted. Household occupancy, once one of the highest in Asia, is falling rapidly, creating a greater need for housing diversity. Second homes and housing choices relating to lifestyle are becoming commonplace.
Da Nang offers investors fully developed and completed infrastructure and sound urban planning. Functional satellite areas are being formed.
Its northwest coastal area is taking advantage of the natural landscape to develop eco-tourism, while the conventional urban area develops towards a hub of trade, finance and education. The eastern coastal area is highlighted by hospitality and in the south a mega township and tourism area is slated for development.
The appearance of the $4 billion Hoi An South casino resort, expected to be put into partial operation by 2019, will create a huge push for the formation of a hospitality strip from Da Nang to Hoi An. Major upcoming hospitality projects include Crowne Plaza Phase 2, Hilton Danang Hotel, and Four Points by Sheraton.
Da Nang has been named one of the 20 ‘cleanest cities’ in the world and the ‘most livable city’ in Vietnam. Offering plenty of beautiful natural and cultural destinations, it is the tourism capital of central Vietnam.
In 2015 there were 73 three to five-star hotels with 8,485 rooms, of which seven of the eleven five-star hotels and four of the 14 four-star hotels were managed by international operators. There remains room for a higher international operator presence.
Accor Hotels and Resorts Group is the largest international operator in Da Nang, managing approximately 944 rooms.