HANOI, Aug. 7 (Xinhua) -- The Vietnamese condotel market remains in a slump due to excess inventory and it may not recover at least until 2025, local newspaper Vietnam News reported on Monday, citing industry insiders.

The inventory of unsold units topped 42,300 as of June, far exceeding the combined inventory of beach shophouses and resort villas, the newspaper reported, citing a report by the DKRA Group.

Sales of existing condotels have been extremely slow this year due to multiple factors including the pandemic's impact and the economic recession, the newspaper cited Trang Bui, CEO of Cushman & Wakefield Vietnam.

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

The lack of specific regulations and standards for condotels and the failure of developers to fulfill profit commitments have significantly eroded investor trust, he said.

According to the Vietnam National Real Estate Association, there are around 240 tourism property projects with around 114,000 condotels worth an estimated 297 trillion Vietnamese dong (12.5 billion U.S. dollars).

They are mainly located in areas with strong tourism markets such as Ho Chi Minh City, Hanoi and Da Nang cities as well as Binh Dinh, Khanh Hoa and Binh Thuan provinces. Enditem

Related

Go to Forum >>0 Comment(s)