Danang set for auction

The city is being touted as the nation’s next boom town

The city will move all of its provincial departments to a new $54 million administrative centre that will break ground later this year. The Justice, Planning and Investment, Natural Resources and Environment, Health, Fishery, Agriculture and Forestry department buildings will become vacant and available for sale following the move.
The lots range from 1,000 to 2,000 square metres and are located within the city centre. New developments built on the land must range from between 12 to 25 storeys with construction density being no higher than 80 per cent.
City officials believe that a lack of central city locations on the market will lead to high bids from investors. Le Canh Duong, deputy director of Danang Investment Promotion Centre, said: “Investors could develop projects at these locations immediately as site clearance is already finished, they could save on costs and put their projects into operation on schedule.”
Danang People’s Committee and the Natural Resources and Environment Department will run the auctions but have not finalised a date for the sales.
Danang’s real estate market has recorded marked growth over the last few years. During the first nine months of this year, 96 per cent of the city’s total $677 million invested in the city was pumped into real estate.
However, no luxurious buildings in the city have been put into operation so far.
Some of luxurious office buildings, residential buildings and shopping malls under construction in the city centre and set to open their doors from next year include Indochina Riverside Tower, Vinh Trung Plaza, Hoang Anh Gia Lai Plaza, Softech office buildings. Property consultant CB Richard Ellis Vietnam anticipates an influx of expatriates and Vietnamese workers from other cities to work on the projects and look for accommodation and investment opportunities in the region, fuelling demand and consumption.