Daewon Thu Duc House develops $115-million property project in Hanoi

May 15, 2018 | 18:09

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Korean-backed Daewon Thu Duc House has officially announced that on May 14 it had formed a joint venture with Vietnam Manufacturing and Export Processing Company (VMEP) to develop a $115-million property project in Hanoi.

The joint venture named SYM-Daewon Thu Duc Housing Development JSC (DWTD) has a charter capital of $23 million, of which Daewon Thu Duc contributes 49 per cent.

daewon thu duc house develops 115 million property project in hanoi

Daewon Thu Duc House and VMEP signing the joint venture agreement

Located in La Khe commune of Hadong district of Hanoi, the project will take up more than 40 hectares, and is planned to become a complex of offices and a trading centre, high-rise apartment buildings, townshouses, supermarkets, and other facilities.

The joint venture also disclosed that the site is currently used by VMEP to for parts manufacturing and motorcycle assembly.

The cleared site will be handed over to the joint venture within 10 months from its establishment.

A fee of $2.5 million shall be paid by the joint venture to VMEP as compensation for the removal of all its existing assets from the land and the demolition of its building.

The property project will be in Hadong district, Hanoi

According to a statement from VMEP, its total capital contribution in the joint venture is approximately $11.73 million, which represents 51 per cent of the charter capital of the joint venture.

The obligations of the parties pursuant to the joint venture agreement depend on obtaining the approval of the detailed 1/500-scale master plan of the project from the competent state authorities without significant variation to the plan prepared and submitted by the parties.

VMEP is a holding company and is one of the leading manufacturers of scooters and cub motorbikes in Vietnam. DWTD is a joint stock company engaged in real estate investment, such as condominium and resort hotel development.

By Bich Ngoc

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