Vietnam's resort real estate sector is set to see a fresh recovery as many foreign funds and investors are seeking suitable investment products, said experts from the real estate agency Savills Vietnam.
Hanoi (VNA) – Vietnam's resort real estate sector is set to see a fresh recovery as many foreignfunds and investors are seeking suitable investment products, said expertsfrom the real estate agency Savills Vietnam.
Mauro Gasparotti, Director at Savills Hotels AsiaPacific, called villas and condotels a good investment channel, and advised investors to pay more attention to project quality.
The segment’s recovery will depend on tourismgrowth, especially international tourism, he said.
The experts noted that although Vietnam openedits borders to international visitors in March 2022, the tourism sector still faces a range of challenges, including its reliance on the Chinese marketand oversupply.
Gasparotti pointed out that prior to the pandemic,international tourists to Vietnam increased 16.9% each year in 2009-2019, which boosted resort projects. Especially, in the 2017-2019 period, about 10,000 high-endhotel rooms were put into service annually.
However, the pandemic has dealt a severe blow to theindustry, which, therefore, needs great efforts to fully recover.
Statistics show that in the first two months of thisyear, Vietnam welcomed 1.8 million international arrivals, down 40%year-on-year, mainly from the Republic of Korea (RoK) and the US.
Gasparotti said Korean and domestic tourists havecontributed to the recovery of coastal resorts in the central city of Da Nang,with their room occupancy exceeding 50%. Meanwhile, Nha Trang resort town inthe central province of Khanh Hoa has still felt the pandemic impacts as Chinahas yet to open its borders.
Room occupancy of hotels in Ho Chi Minh City has alsobeen recovering to pre-pandemic levels.
Experts said that many countries reopening their borders andremoving all restrictions for travelers have boosted outbound tours, enablingresort real estate to reboot this year./.
The global hotel and resort sector is recovering well from the COVID-19 pandemic with improvements on occupancy and room rates, and Vietnam is no exception, said Mauro Gasparotti, director of Savills Hotels Asia Pacific.
In the open period of 2022, the central city of Da Nang is recovering by focusing more on branded tourist real estate projects. Moreover, Da Nang continues to develop smart urban areas with the ambition to put the city into the map of a high-class living and resort urban area.
The recovery of tourism, especially its international segment, is seen to be the driving force for the hotel market to prosper, with improvements in both occupancy and room rates, said experts from the real estate agency Savills Vietnam.
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Illustrative image (Source: VNA) 
