Expanding Land Fund through M&A
Never before has the market been filled with such good news when all 3 real estate-related laws, including the Amended Housing Law, the Amended Real Estate Business Law, and the Amended Land Law, were passed almost simultaneously. The changes in the new laws, though not yet applied, will be a positive signal to solve the current difficulties of the real estate market.
According to experts, the policy progress not only opens up a new phase of stable, sustainable and efficient growth but also creates motivation for real estate businesses to thrive.
The Standard isolated area in Tan Uyen City, Binh Duong Province
Considering expanding the land fund as a continuous strategy, An Gia constantly seeks opportunities to implement M&A, expand a clean land fund, giving priority to projects that have been approved for investment and are suitable for developing affordable projects and have a quick deployment time. The company is currently in the process of in-depth appraisal of two potential land funds in District 8 and Thu Duc (Ho Chi Minh City), expected to supply over 4,000 products to the market.
Previously, in 2022, the company acquired a 3.2-hectare land fund in Binh Chanh District, intending to supply about 2,000 apartments. Besides, the company is also in the process of finalizing negotiations to purchase additional new land funds to implement low-rise residential projects. The goals of land fund development also include accumulation for long-term goals in the future.
According to An Gia representative, the distinguishing point of the company’s projects is good location, beautiful design, medium price but high-quality. Therefore, projects like Westgate (Binh Chanh), The Song (Vung Tau) all recorded up to a 90% absorption rate of interested customers within a few months after launching.
Westgate apartment (Binh Chanh) with a price suitable for young families
In addition to the plan to expand the land fund, An Gia also continuously cooperates with reputable partners and financial power from South Korea, the UK, Japan, Taiwan (China),… to diversify sources of capital. These investors participate in direct capital contribution to the projects that An Gia implements, at the same time, becoming major shareholders with An Gia to realize the development strategy of middle-class and affordable housing projects.
Great Plan in the Dragon Year
In 2024, An Gia will transition its management and business strategy from “cautious and responsive” to “active and adaptive” to successfully adapt to any unfavorable fluctuations of the market. At the same time, continue to focus on 2 core capabilities: project development capacity and sales capacity, customer care.
The company plans to launch The Gio Riverside project (Binh Duong Province) – which has been granted a credit limit of VND 2,000 billion, with a scale of about 3,000 apartments.
The project is adjacent to Hanoi Highway and Metro Route 1 (Ben Thanh – Suoi Tien), positioned by the investor as a complex along the banks of the Saigon East River, fully integrated with utilities, commerce – services; targeting buyers in Ho Chi Minh City and adjacent areas such as Binh Duong, Dong Nai.
“The company remains committed to the mid-range real estate segment. This segment always has a good absorption rate regardless of market fluctuations. The viewpoint of An Gia is not to chase the market, not to buy land funds or buy projects at any cost. The company will have careful analysis of the land plots, in order to bring to the market, product cost that is suitable for the majority of buyers”, said An Gia representative.
In addition to the plan to launch The Gio Riverside project, the company aims to maintain a healthy debt ratio, increase cash and cash equivalents, prepare resources to be proactive and responsive to the “new picture” of the real estate market.
An Gia representative receives the impressive Top 10 Real Estate Developer award in 2023
In the first quarter of this year, An Gia also had the honor to be in the Top 10 Impressive Real Estate Developers in 2023. The award is chosen by Construction Newspaper and Independent Evaluation Council based on scientific and objective principles, to honor Real Estate Developers who have influence and outstanding activities, and contribute positively to the general development of the real estate market in Vietnam.
According to An Gia representative, the award not only contributes to building An Gia’s impressive image in the eyes of the public and investors but also serves as motivation for the company to continue creating new, breakthrough values in the future.
“For over 10 years of construction and development, An Gia has always focused on the mid-range product segment, suitable for income and demand of the people as well as ensuring consumption power in the market. At the same time, emphasis is placed on improving service quality and customer care – An Gia’s foundation alongside its core products”, said An Gia representative.
