The market enters the cycle of sustainable development
Assessing the slow pace of sustainable transformation of the real estate market, Mr. Mauro Gasparotti, Director of Savills Hotels, said that the reason is partly due to the real estate development cycle. Each project needs a certain amount of time to plan and build before it can be put into use.
Savills experts said that most of the real estate projects and works currently in operation were planned and designed before the Covid-19 pandemic, which was the period when most investors in Vietnam mainly focused on scale, without paying much attention to sustainability and quality of experience at the project.
Real estate projects currently in operation were all planned and designed before the Covid-19 pandemic. (Photo: DMY)
However, in the next real estate cycle, we expect the sustainability factor in real estate projects to be more evident as many investors are increasingly focusing on integrating green, environmentally friendly factors right from the project planning and implementation process,” said Mr. Mauro Gasparotti.
According to the expert, sustainability takes different forms and plays different roles in each type of real estate. For example, in the hotel industry, sustainability is becoming an indispensable factor as tourists are increasingly aware of the impact of tourism activities on the environment, and this promotes the demand for sustainable products that minimize negative impacts on the environment.
“In addition, we also need to pay attention to the sustainable development of the locality. Specifically, at coastal destinations such as Phu Quoc and Cam Ranh, localities can develop tourism activities while preserving community values as well as maintaining environmental quality and landscape,” he said.
For commercial real estate, including office and retail leasing, more and more tenants, especially foreign enterprises, are demanding buildings that meet green and sustainable criteria. In the context of limited supply of projects that meet the criteria, this group of tenants may be willing to pay higher prices for projects that have green certifications.
Regarding residential real estate, investors, especially international investors, are also paying more attention to sustainable development factors, focusing on wellness experiences in project planning and development. This is not simply a marketing highlight for sales, but we believe that sustainability will become an important criterion that the market is looking for.
Quality of living environment and sleep are factors that buyers are increasingly interested in, and projects can consider and improve these factors by incorporating natural landscape elements or introducing health care facilities. According to him, these are positive signals in the next real estate development cycle.
In addition, proper land use planning is essential to evaluate the appropriate use of land and pay careful attention to which aspects of development are both profitable and sustainable.
Customer psychology towards “green” products
Savills experts believe that green buildings with sustainable elements are not only a marketing and product communication tool, but are now gradually becoming an important criterion for investors to increase the competitiveness of their projects in the market.
Today's buyers have higher demands and more choices, so to maintain and enhance competitiveness, investors need to focus on green factors, aim for sustainable values in the planning process and properly convey the committed values when implementing the project.
Compared to other countries, the number of green buildings in Vietnam is still quite limited. (Photo: MP)
The market is still changing and investors need to accept changes and new trends to maintain competitiveness. The market is increasingly competitive in terms of selling price, so investors always need to have new approaches as well as improve products and in the current context. Green building factors, aiming at sustainable values, are gradually becoming indispensable factors in project planning and development.
“In the past, when the market did not fully understand the value of green buildings, buyers often found it difficult to convince them to pay more for these “invisible” values. Now the market context has changed, buyers are increasingly demanding and willing to pay more for products that are carefully developed and meet sustainable criteria. This helps investors improve their profit margins when projects can convey well and bring the right products to buyers,” he added.
At the same time, if well implemented, green building projects can help improve operating costs after they come into operation.
Therefore, it can be said that the benefits of green buildings are the result of the resonance of two factors, which both help the product achieve a better selling price and also optimize operating costs compared to conventional traditional products. Accordingly, when considering the development of green buildings, investors need to consider not only the benefits of marketing and project communication, but also the financial efficiency of long-term project operation.
Promoting sustainable development requires a roadmap because it requires a change in awareness across the community, not just from a single campaign.
In European countries, waste sorting is done by each household at home before the waste is collected and disposed of, unlike in Vietnam. These small actions are necessary for bigger changes.
"From this perspective, Vietnam will need more time and resources to form habits towards a sustainable development path," Mr. Mauro Gasparotti pointed out.
Accordingly, experts recommend that Vietnam consider dedicating more resources to increase communication on the urgency of the sustainable development journey to raise public awareness of this issue. Vietnam can start from a few areas, for example, promoting activities towards sustainable development, so that this place becomes a typical case for other destinations.
Source
Comment (0)