Blooming is going ahead

October 02, 2012 | 10:56

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Korean Investment and Development Company is resuming construction of its Blooming Tower in Danang after a long delay due to the financial crisis.

Shin Yong Kyu, general director of Korean Investment and Development Company, said the developer “commits to inaugurate” the project in 2013’s fourth quarter. “We overcame the most difficult period. At this time, we are receiving strong support from our customers,” said Kyu.

The $90 million Blooming Tower project, covering approximately 11,000 square metres, is among the biggest residential and office complexes in Danang, including 37-floor twin towers. The project will have 671 apartments, a shopping mall, swimming pools and convention rooms.

The firm broke ground in 2008, but it had to halt the construction over the past two years because of the gloomy market and tightened monetary policy at commercial banks. “The slow pace of this project is caused by financial troubles of bankers, developers and homebuyers as well as the downturn of the economy,” Kyu said. “The financial crisis hit money pockets of everyone including our company.”

So far, Korean Investment and Development Company has completed about 50 per cent of the first tower. Kyu believes that Blooming Tower will attract attention of many homebuyers who want to buy a second home in Danang.

Since 2008, the developer has sold the apartments at this project two times. According to the developer, 30 per cent of the launched apartments were sold, with most of the homebuyers coming from Hanoi and Ho Chi Minh City.

The developer also signed an agreement with The Ascott Limited to manage a tower under the name of Somerset Danang Bay which offers 121 serviced apartments.