SHAH ALAM:  S P Setia Bhd Group through its subsidiary, Setia Lai Thieu Ltd, signed an agreement on Oct 26 with Investment and Industrial Development Corp (Becamex IDC Corp) for the assignment of 27 acres of land to develop a mixed-use project located in Lai Thieu Town, Tuan An District, Binh Doung Province, Vietnam.

Valued at US$16.26 million (RM54.95 million), the land is located 16km north of Ho Chi Minh City (HCMC) and an hour’s drive from Tan Son Nhat International Airport.

The developer said the proposed development will encompass shop houses, terraced houses, semi-detached houses, commercial centres, club house and apartments which will be for lease and sale. The project is expected to take six years to complete and has a gross development value (GDV) of US$250 million.

This will be S P Setia’s third project in Vietnam after EcoLakes at My Phuoc Industrial Park, 40km north of Ho Chi Minh City and EcoXanh at Saigon Hi-Tech Park in District 9 of Ho Chi Minh City.

The Group made its maiden foray into Vietnam in mid-2007 when it joined forces with Vietnam’s top state-owned conglomerate, Becamex IDC Corp to develop EcoLakes. The 226 ha eco sanctuary, conceptualised after S P Setia’s award-winning Setia Eco Park in Shah Alam, Malaysia, has received overwhelming response from the public. Phase 1 comprising terraced houses was launched in March this year and is 90% sold while Phase 2, which was launched in September, has registered 60% interest to date.

 “The success of EcoLakes has reinforced the Group’s confidence in the Vietnamese property market, in particular that of Binh Duong Province. Hence, the opportunity and decision to embark on another project in the same province but much closer to of Ho Chi Minh City will enable the Group to ride on the awareness already created by EcoLakes,” said Tan Sri Liew Kee Sin, president and CEO of S P Setia. 

The site is 2.5km from Phase 1 of the Vietnam Singapore Industrial Park (VSIP1) boasting 230 international manufacturers from 22 countries with investments of more than US$1.4 billion and a total working population in excess of 40,000.