Malaysia Genting Group, one of the leading multinational corporations in leisure and hospitality, can hope to escape its prolonged quagmire with the Saigon Peninsula property project.
Last week, the Ministry of Construction sent a proposal to Prime Minister Nguyen Xuan Phuc to officially approve the investment plan to set up this project, after investors have completed the necessary procedures.
The Saigon Peninsula project was initiated in 2007 by Van Thinh Phat Holdings Group, a domestic developer which has many large-scale property projects in Ho Chi Minh City, to build large-scale infrastructure system and a modern urban area located in District 7 of Ho Chi Minh City.
The $6 billion Saigon Peninsula property project was referred to the PM’s approval
In 2011, the investor was granted the land plot for land clearance and compensation. More than 93 per cent of the land was cleared.
In 2016, a consortium named Saigon Peninsula Group was formed between Van Thinh Phat Investment as well as Malaysian partners Genting and Pavilion.
According to the developers’ announcement, the 118ha project will encompass a shopping mall, a five-star hotel, high-end apartment blocks, deluxe resort villas, and upmarket office towers – all planned by Pavilion.
Meanwhile, Van Thinh Phat Holdings Group is in charge of the land development and Genting will construct what will be the largest international cruise ship terminal in Vietnam, capable of harbouring vessels of up to 200,000 gross register tonnage (GRT).
In 2017, Ho Chi Minh City People’s Committee assigned the local Department of Planning and Architecture to co-ordinate with local district committees to review all delayed projects.
Saigon Peninsula has been delayed for a long time due to changes in the legal framework. Ho Chi Minh City People’s Committee, therefore, had collected opinions from the ministries of Planning and Investment, Finance, Natural Resources and Environment to request the investor to finish all procedures to submit for final approval by the prime minister.
In 2018, the government has assigned related bodies to actively resolve obstacles for this project.
After many years of process, the project site has been left unused except for a fen system around the site.
This is Genting’s second project in Vietnam after its failed attempt to partner with VinaCapital on a $4 billion casino resort in Hoi An six years ago.
The Saigon Peninsula project marks Pavilion’s debut in Vietnam, while domestic partner Van Thinh Phat Holdings Group is already established in the market with many well-known and sizeable real estate developments, including Union Square, the Sherwood Residence, the Windsor Plaza hotel, and Times Square in Ho Chi Minh City.
By Bich Ngoc