Bringing the US industrial brand to Vietnam
Owned by Kajima Corporation, Core5 Industrial Partners is a US-based industrial real estate property company with expertise in the development of class-A properties featuring the latest innovations from the United States.
Headquartered in Atlanta, Georgia, Core5 has development activities in core markets and has expansion plans for additional key logistic hubs throughout the country. Some tenants of Core5 Industrial Partners include Amazon, Walmart, Home Depot, Duracell, UPS, DSV, American Standard, and Toshiba.
Following the success of Core5 Industrial Partners in the United States, the Core5 brand is expanding into Vietnam, one of Asia’s fastest-growing manufacturing and logistics hubs.
Commenting on the market opportunity presented by Vietnam’s burgeoning manufacturing and logistics sector, Keisuke Koshijima, representative director and executive vice president of Kajima Corporation said, “From a global perspective, Vietnam is one of the world’s fastest-growing economies and is underpinned by strong fundamentals, namely a large, young, and growing population. A key to the country’s economic rise within the region is the manufacturing sector which accounts for over a third of Vietnam’s overall GDP and the outlook is attractive given the supply chain shift from China which has led to several prominent manufacturers relocating to the country."
"This was highlighted by Apple’s recent shift of iPad capacity to Vietnam, a trend we expect to continue for other electronic giants. The established manufacturing industry combined with the rapidly growing e-commerce sector create favourable market conditions for the expansion of the Core5 brand into Vietnam. We are very excited to be here with our partners from Indochina Capital to launch the industrial arm of Indochina Kajima Development Company, Core5 Vietnam," he emphasised.
The launch of Core5 Vietnam marks the first industrial venture from Indochina Capital, one of Vietnam’s leading real estate development and investment firms.
Peter Ryder, Indochina Capital’s CEO, said at the event, “Indochina Capital has been operating in Vietnam for over two decades, and has developed iconic and pioneering projects across the nation, such as Four Seasons Nam Hai, Six Senses Con Dao, Hyatt Regency Danang, Indochina Plaza Hanoi, and the Wink Hotels brand."
"With the same commitment to innovation, sustainability, and value creation we have applied to our past projects, Core5 Vietnam plans to roll out a collection of exceptional industrial assets across Vietnam’s key manufacturing markets. Our belief in the market opportunity presented by the industrial sector is underpinned by our long-term vision to invest $1 billion into this sector over the next 5-7 years,” added Ryder
Setting international standards for Vietnam’s industrial projects
Core5 Vietnam offers its valued partners a range of solutions including ready-built factories and warehouses for lease and build-to-suit industrial properties. Core5 Vietnam offers a one-stop service aiming to ensure our valued tenants a soft landing for their new market entry into Vietnam.
Key services include development and construction consultations from project managers, facility management advice from operational professionals, and licensing support to ensure timely business setup so manufacturing and logistics companies can launch their businesses quickly.
|Keisuke Koshijima, representative director and executive vice president of Kajima Corporation |
Paul Tonkes, Industrial deputy director of Indochina Kajima, said, “Headquartered in Hanoi and with offices in Ho Chi Minh City and Danang, Core5 Vietnam has a growing team of project management, leasing, and facilities professionals focused on delivering superior quality through all phases of the project life cycle with a focus on construction quality, exceptional design, sustainability, and value-added services."
"We understand that our relationship with tenants, clients, and partners is much more than simply leasing space, it’s a partnership and we plan to draw on Indochina Kajima’s experience in the hospitality sector to offer unparalleled services."
"Given that the local licensing framework often presents unfamiliar territory, we will offer our partners a full range of one-stop solutions to ensure the efficient and smooth set-up of their business activities. This is all done with the objective of establishing long-term and meaningful relationships with our clients," he added.
Core5 Vietnam plans to roll out factories and warehouses for lease in current and up-and-coming manufacturing and logistics hubs throughout Vietnam. The firm’s current portfolio covers 90 hectares of land including seven projects in northern Vietnam and one project in the south.
At construction completion, these assets will comprise a total net leasable area of approximately 700,000 square metres and will amount the total investment cost of nearly $450 million.
Core5 Vietnam’s first project in Vietnam, located in a prime location within Deep C Haiphong 2, will offer nearly 96,000sq.m of net leasable area to the market. Construction of this project will commence in July and the handover of the first factories will be in Q1/2023.