link ae888

Condotel market forecast to continue falling until 2025

The Vietnamese condotel market will not recover at least until 2025 due to excess inventory, according to insiders.
Condotel market forecast to continue falling until 2025 ảnh 1A condotel development project in the south-central coastal city of Nha Trang. The market continues to face challenges due to large inventories. (Photo: VNA)
Hanoi (VNA) - The Vietnamese condotel market will notrecover at least until 2025 due to excess inventory, according to insiders.

Despite recent positive news about government regulations grantingownership titles to condotels, only 122 units were sold in the second quarterof 2023.

According to a report by real estate consultancy firm DKRA Group,the inventory of unsold units topped 42,300 as of June, far exceeding thecombined inventory of beach shophouses and resort villas.

Developers are struggling to sell them and bear the financial costof bank loans taken to develop these projects, it said, adding sales of existing condotels have been extremely slow this year,impacting both the primary and secondary markets.

Investors are finding it increasingly difficult to sell theircondotels at a profit, leading them to accept lower rental returns.

Trang Bui, CEO of Cushman & Wakefield Vietnam, attributed thechallenges faced by the market to multiple factors, including the pandemic'simpact and the economic recession.

"It is still too early to expect a market recovery for condotels."

The market relies heavily on economic growth, the tourism sector anddevelopers' ability to develop and operate projects.

A successful project must have a prime location, a range of amenities andprofessional management, and investors must have close co-operation with travelfirms.

Vo Hong Thang, director of the consulting & project development division atDKRA Group, said a boom in the condotel segment in recent years has led to anoversupply.

The lack of specific regulations and standards for condotels andthe failure of developers to fulfil profit commitments have significantlyeroded investor trust, he said.
Their extremely high prices make for unattractive returns oninvestments, he said.

“Investors will need 40-50 years to recover their investment, making it anunsustainable option.”

The recovery of the real estate market will likely begin with residentialproperties that serve essential needs, while resort properties like condotelsmay take longer to regain balance, experts said.

To restore investor trust, it is crucial to implement specific regulationsregarding condotel standards and ensure developers fulfil their profitcommitments, they added.

While the government has recently issued a decree on granting ownership titlesto condotel buyers, further guidelines are needed for the process to get underway, according to Thang.

Under the decree, properties such as condotels, officetels and resort villascan get ownership certificates.

According to the Vietnam Real Estate Association, there are around 240 tourismproperty projects with around 114,000 condotels worth an estimated 297 trillionVND.

They are mainly located in areas with strong tourism markets suchas HCM City, Hanoi and Da Nang cities, and Binh Dinh, Khanh Hoa, Binh Thuan,and Ba Ria-Vung Tau provinces./.
VNA

See more

A motorbike production line of Honda Vietnam — a Japanese company located in Phu Tho province. (Photo: VNA)

Phu 🎃Tho emerges as FDI magnet following mergence

In the first seven months of the year, Phu Tho attracted an impressive 651.7 million USD in foreign direct investment, including 35 newly licensed projects totaling 119 million USD in registered capital and 45 existing projects with an additional capital of 533 million USD.
Infraction levels will correspond to fines of 1-80 million VND, depending on the nature and number of invoicing violations. (Photo: vietnamfinance.vn)

Maximum fine♈ of 3,000 USD proposed for violating invoice regulations

Under a draft to amend and supplement the Government's Decree 125/2020/ND-CP on administrative sanctions for violations of tax and invoice regulations, the Ministry of Finance has proposed classifying the failure to issue invoices into five different levels. Infraction levels will correspond to fines of 1 million VND to 80 million VND, depending on the nature and number of invoicing violations.
At the strategic partnership signing ceremony between Sun PhuQuoc Airways and Amadeus. (Photo: Sun Group)

Sun PhuQuoc Airways enters strateg𒁃ic partnership with Amaꦏdeus to build a five-star aviation technology ecosystem

A new airline developed and invested by Sun Group — has officially announced a strategic partnership with Amadeus IT Group (Amadeus), one of the world’s leading travel technology companies. This agreement not only lays the foundation for a modern digital infrastructure but also marks a pivotal step in SPA’s global expansion strategy, enabling the airline to access international distribution networks and reach customers worldwide.
{dagathomo tructiep hôm nay}|{link link link ae888}|{dá gà thomo}|{trực tiếp đá gà thomo hom nay}|{sbobet asian handicap}|