Dong Nai real estate waiting for recovery

In 2019, when the Long Thanh International Airport Project was under construction, Dong Nai real estate market was the hottest spot in the Southern region. However, from 2023 to now, this is the most dynamic real estate market, despite being adjacent to Ho Chi Minh City.

Aqua City project is waiting for planning obstacles to be removed to develop the next subdivision.

Market lacks projects

According to the Southern real estate market report in August 2024 by DKRA Group, in the apartment segment, the entire market has 107 projects opened for sale with 12,092 units, but Dong Nai only accounts for 0.7% of the number of products opened for sale. Notably, these products come from old projects, with selling prices of 31 - 41 million VND/m2.

For the townhouse - villa segment, the Southern market had 4,466 products sold, of which Dong Nai accounted for the highest proportion (39.6%). However, these products also came from old projects that have been open for sale for many years. Despite the large number of sales, the total consumption in the Southern market only reached 207 units, of which Dong Nai accounted for the lowest proportion.

In the land segment, there are no new projects appearing in the entire market, meaning that products sold are only in projects that were opened for sale many years ago.

In addition, data from Batdongsan.com.vn shows that real estate prices in this province are on a downward trend. The selling price of shophouses in Dong Nai is currently only 62 million VND/m2, down nearly 14 million VND/m2 compared to the average selling price in April 2024 and down 21 million VND/m2 compared to the selling price in early 2024.

Another segment, villas and townhouses, also saw a sharp drop in their listing prices. The selling price of villas in Dong Nai dropped from VND53 million/m2 in April 2024 to an average of VND50 million/m2 today. Similarly, the listing price of townhouses in Dong Nai dropped from VND61 million/m2 to VND53 million/m2.

According to Mr. Dinh Minh Tuan, Southern Regional Director of Batdongsan.com.vn, the Dong Nai real estate market is at the bottom of the U-shaped diagram and nothing is clear. The reason is that currently, large projects such as Aqua City, Izumi Riverside… have not been able to resolve legal problems. Therefore, there cannot be any new projects to leverage the vibrant market.

In addition, segments with real housing demand such as apartments have not had any projects licensed for sale since 2022.

“Another problem is that investors buy projects but cannot sell them. In addition, the fact that all businesses stop selling at the same time and launch new projects is also a reason why the market is frozen. In addition, the product structure is out of sync, and people with real housing needs are workers and experts in Bien Hoa City, but there are no projects for them to buy. This is also a minus point for the Dong Nai real estate market,” said Mr. Tuan.

The market is waiting to thaw.

According to Mr. Ngo Quang Phuc, General Director of Phu Dong Group, Dong Nai real estate has many factors that will create momentum for the market in the coming time. For example, Long Thanh International Airport has set the time to put into operation phase I on September 2, 2026. It is expected that in early 2025, the Dau Giay - Tan Phu Expressway Project will start construction, while the Ben Luc - Long Thanh Expressway, Bien Hoa - Vung Tau Expressway, Ring Road 3 - Ho Chi Minh City ... are being accelerated.

However, if we want the real estate market to become vibrant again soon and urban and residential area projects in Dong Nai to be implemented quickly, difficulties and obstacles in legal procedures need to be quickly resolved by localities, ministries and branches.

Mr. Phuc's concerns are being resolved by Dong Nai province leaders. Specifically, recently, Dong Nai province People's Committee assigned Bien Hoa city to submit a dossier to adjust the C4 subdivision planning. If this planning is resolved, a series of real estate projects by Novaland, Hung Thinh, Nam Long... will be deployed for construction and sales again.

Subdivision C4 has an area of ​​1,500 hectares in Bien Hoa City, where many large projects are concentrated. Typical examples are Long Hung Residential Area (227 hectares) and Phuoc Hung Islet Urban - Service - Commercial Area (286 hectares) invested by DonaCoop; Dong Nai Waterfront Urban Area (170 hectares) by Nam Long; Aqua City Urban Area (305 hectares) invested by Novaland.

In addition, there are a number of other projects, such as Nhon Phuoc Tourist Urban Area (204 hectares) in Dai Phuoc Commune, Nhon Trach District; Trade, service center, office building combined with residential area in Ho Nai Ward (Bien Hoa City) invested by Hung Thinh Group; Long Tan Ecological Urban Area (Ho Nai, Bien Hoa City) invested by DIC Corp.

Adjusting the general planning of Bien Hoa City in subdivision C4 will help resolve difficulties and obstacles for many projects, contributing to promoting the real estate market in the area to overcome difficulties and develop sustainably.

In addition, there have been other positive signs, such as foreign enterprises starting to return to planning project development in Dong Nai province. For example, Daewoo E&C Company has just announced that it will start planning communication for the fourth quarter of 2024 to open a project in Nhon Trach district. Specifically, this Korean enterprise will cooperate with Taekwang Vina Company to jointly invest in developing the Long Tan Phu Hoi urban area project (commercial name Fo;Res Centerm) in Nhon Trach.

This urban area will have a scale of more than 55 hectares, located right in the center of Nhon Trach district, close to the administrative center with synchronous infrastructure investment. It is expected that the investor will build a variety of types, including low-rise housing, high-rise apartments, complexes and social housing.

Fo;Res Centerm is implementing architectural design, preparing to start construction of infrastructure and selling phase I with 306 low-rise villas.

Daewoo E&C representative said that this project will develop synchronous infrastructure with full modern, smart, and environmentally friendly functions.

Source: https://baodautu.vn/batdongsan/bat-dong-san-dong-nai-cho-hoi-phuc-d225390.html