A $400 Million Urban Township Project: Daewoo Partners with a Month-Old Firm and a Former Member of Dat Xanh Group in Thai Binh

Daewoo expressed interest in developing a new urban area project in Thai Binh Province during a meeting with Prime Minister Pham Minh Chinh on July 3.

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The Thai Binh Province People’s Committee has recently unveiled plans for a new urban development project in Kien Giang, with a focus on residential expansion. A consortium of four companies has expressed interest in the project, including Daewoo Engineering & Construction Vietnam, THT Development, GIP Land, and ZUP Invest.

With a projected population of 18,600, the Kien Giang New Urban Area will encompass three wards and two communes in Thai Binh City. This modern urban development will feature a comprehensive range of technical and social infrastructure. Upon completion, the project will offer over 1,400 units of linked and detached houses, five 25-story apartment buildings, and 15-story social housing blocks. Additionally, approximately 48,000 square meters of land will be allocated for commercial and service facilities.

The total investment for this urban area is estimated at nearly VND 9,300 billion, excluding compensation, support, and resettlement costs (approximately VND 417 billion). Once realized, the project is expected to be among the largest-scale urban areas in the province. Currently, the land designated for the project is predominantly agricultural, with some areas dedicated to transportation, irrigation, water bodies, and residential land that has yet to be cleared.

The project has received approvals from the Provincial People’s Committee, with a detailed 1/500 plan approved in January 2017 and adjustments made in April 2024. The development is scheduled for completion within 96 months from the land handover.

Kien Giang New Urban Area: An Artistic Rendering

Among the consortium members, Daewoo Engineering & Construction Vietnam (DECVN) stands out as a prominent player. Established in January 2017 and headquartered in Hanoi, DECVN specializes in construction with a registered capital of $1 million. The company is a subsidiary of South Korea-based Daewoo Engineering & Construction Co., Ltd. Mr. Kwon Soon Jae, a South Korean national, currently serves as the General Director and legal representative of DECVN.

Another key member of the consortium is THT Development, which is also wholly owned by Daewoo E&C. THT Development is known for its landmark project, the Tay Ho Tay Urban Area (Starlake) in Hanoi, spanning over 186 hectares. With a registered capital of nearly VND 4,566 billion, THT Development is led by Mr. An Kuk Jin, a South Korean national, who serves as the company’s General Director and legal representative.

Daewoo E&C, founded in 1973, is a multinational company with a strong presence in construction and real estate. In 2023, the company achieved impressive financial results, with revenues surpassing $8.4 billion and net profits reaching $378 million. Daewoo E&C has a global footprint, having undertaken construction projects in 50 countries. Notably, the company established its representative office in Vietnam as early as June 1991, even before the official diplomatic relations between the two countries were established in 1992.

During a meeting with Prime Minister Pham Minh Chinh on July 3, the leadership of Daewoo E&C expressed their interest in investing in various sectors in Vietnam, including energy, power plants, industrial parks, and infrastructure. Among their plans is the development of a new urban area project in Thai Binh Province.

This intention was further emphasized during a meeting with Deputy Prime Minister Tran Luu Quang on July 9, where Mr. Jung Won-ju, Chairman of Daewoo E&C and the Korea Housing Construction Association, expressed his desire to develop a modern urban area in Thai Binh following the success of Starlake. Mr. Jung Won-ju also shared their plans to execute projects for low-income earners in Vietnam, in addition to their premium developments.

Deputy Prime Minister Tran Luu Quang welcomed and supported these ideas, encouraging Korean urban development enterprises to collaborate with Vietnamese partners to ensure high-quality projects with reasonable prices.

A Glimpse of the Starlake Project in Hanoi

The remaining two companies in the consortium, GIP Land and ZUP Invest, are both recently established and based in Thai Binh Province.

ZUP Invest, founded on June 6, 2024, specializes in real estate with a registered capital of VND 250 billion. The company is wholly owned and directed by Mr. Hoang Kim Tien, who also serves as the Director and legal representative of K-VTTC Investment Consulting, established in 2020, with a focus on architecture and related technical consulting. K-VTTC Investment Consulting recently changed its name to ZUP Thai Binh in March 2024.

GIP Land, the newest member of the consortium, was established on June 8, 2024, in Thai Thuy District, Thai Binh Province, with a registered capital of VND 494 billion. Green I-Park holds a 99.8% stake in the company, while Mr. Nguyen Tran Phong and Mr. Doan Duc Thang each own 0.1%. Mr. Bui The Long serves as the General Director and legal representative of GIP Land. Mr. Long is also known for his role as the General Director and legal representative of Green I-Park.

Green I-Park was once an indirect subsidiary of Dat Xanh Group (stock code: DXG), a prominent real estate conglomerate. Green I-Park has made its mark as the investor of Lien Thai Ha Industrial Park in Thai Binh, which has successfully attracted $1.3 billion in FDI. Additionally, the company is developing a high-tech agricultural tourism project in Mai Chau, Hoa Binh Province, spanning 146.5 hectares and aiming to accommodate approximately 200,000 visitors annually.

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