The Vietnam Real Estate report examines the Commercial Office, Retail and Industrial segments in the context of a market which is close to its nadir, and as such is becoming increasingly attractive to both domestic international players.
With a focus on the three principal cities of Da Nang, Ho Chi Minh and Hanoi, the report covers the rental market performance in terms of rates and yields over the past 18 months and examines how best to maximise returns in the commercial real estate market, which is beset by high interest rates, oversupply and government efforts to curb lending. While many analysts believe the sectoral downturn to be close to bottoming out, soft market conditions persist and the cycle is likely to be lengthened by the external economic hurdles faced by the export-led economy. Nevertheless there is growing optimism surrounding the sector with the construction industry, investment outlook and demand picture looking to pickup over the coming quarters.
Key Points
- Vietnam's real GDP growth is expected to remain subdued at 5.8% in 2012 before we see a recovery in external demand, which is expected to come only in late-2012. The threat of a severe credit squeeze due to growing risk aversion towards heavily indebted emerging markets places further downside risk to our outlook on Vietnam's economic growth.
- We have downgraded our real GDP growth forecast from 6.3% to 5.9% for 2011. - We are pencilling in a modest recovery in Vietnam's construction industry, with real growth for the sector forecast to reach 5.4% in 2012.
- We have expanded our retail supply and demand section looking at both short and long term prospects for the market.
- The growing interest for pan-Asian, particularly China, investment in Vietnam has been examined in BMI's competitive landscape
The price of this market report covers 4 quarterly reports on this sector. This quarterly report will be downloadable instantly as a PDF document, with the 3 remaining reports delivered at regular intervals throughout the year.
Click for Report details:Vietnam Real Estate Report Q3 2012
