CapitaLand Development (CLD), the development arm of CapitaLand Group, has signed an MoU with the People’s Committee of Bac Giang province valued at $1 billion.
The MoU outlines CLD’s and the provincial government’s mutual interest to explore the development of CLD’s first industrial park, logistics park, and township development in Vietnam.
The exchange of the signed MoU was witnessed by President Nguyen Xuan Phuc during his state visit to Singapore. The MoU marks one of the largest investments sealed between a Singaporean company and the government of Vietnam during the state visit.
Jason Leow (left), CEO of CapitaLand Development, and Le Anh Duong, chairman of the People's Committee of Bac Giang, signed the MoU for CLD's first projects in Vietnam
In a separate meeting with President Phuc on February 26, Wong Kan Seng, chairman of CapitaLand Group and Jason Leow, CEO of CLD, provided President Phuc with an overview of CLD’s activities in Vietnam, its investment strategy and plans, and reiterated the company's long-term commitment.
Leow said. “CLD’s master plan and urban development expertise place us in a strong position to contribute to the next stage of Vietnam’s industrialisation and modernisation. Vietnam is one of our core markets, and we aim to accelerate our investment in the country over the next five years, deepening the presence we have established for almost three decades.”
President Nguyen Xuan Phuc called on CapitaLand Development to deepen its economic and social contribution to Vietnam
“As President Phuc had invited CLD to consider investing in industrial developments in his previous capacity as the Prime Minister of Vietnam, we are especially pleased to have him witness this MoU exchange,” Tay said.
“The investment opportunity will be CLD’s first industrial, logistics, and township development in Vietnam. Our proposed investment in Bac Giang for over 400 hectares will support the creation of a dynamic supply chain network in Vietnam’s northern key economic region. It will also potentially create over 20,000 new jobs and improve the standard of living for Bac Giang’s residents and workforce."
As part of the MoU, CLD will partner with the People’s Committee of Bac Giang to evaluate greenfield sites totalling over 400ha across the province. This includes a township development along the Cau River as well as several industrial parks and logistics assets near Viet Yen district.
The developments are designed to be green-certified with plans to obtain a LEED certification by the US Green Building Council.
The proposed developments will be sustainable and climate-resilient while also creating green and blue spaces that promote community building and placemaking.
To reduce the developments’ carbon footprint, solar panels will be deployed and green mobility options such as cycling will be encouraged with the provision of well-designed sidewalks and bike paths.