Category: Dynasty News
After speaking at the Cityscape conference in Singapore this week, Olivier conducted a brief interview that has been posted to the Cityscape Intelligence Website
Q. What is your biggest challenge this year and how are you meeting it?
A. The changing global and regional landscape for property investors highlighted by the increased participation of domestic players in the Vietnamese property market. The local market is transforming as the increased presence of local developers, investors and retail buyers is taking significant market share from foreign competitors. By bringing international expertise to cater to the growing local demand we can offer a unique product in the Vietnamese market.
Q. What do you see as the biggest opportunity on the horizon?
The Vietnamese population is projected to grow by more than 30 million to 120 million before 2030. The population growth coupled with growing levels of personal wealth means that demand for the already supply constrained middle-income residential housing segment will continue to grow. For similar reasons, private equity investments, healthcare and education are also extremely attractive.
Q. To what extent do you think regional and international confidence is returning to the real estate market?
Over the last 18 months appetite for Vietnam has steadily increased although it has not reached the levels seen at the peak in 2007. Vietnam has had one of the better performing economies throughout Asia and the world, both before and after the credit crisis. Local developers have started moving forward with more and more projects throughout the country signaling that internal confidence of the recovery is underway. For international investors Vietnam provides an exciting alternative to adding additional exposure in China or India.
Q. Where in Asia would you invest $100m tomorrow?
In Vietnam of course! I would allocate the money to a portfolio of residential developments and private equity investments. The residential would be comprised of 10 – 20 middle-income projects in Southern Vietnam with a 3 – 5 year return horizon. The private equity investments would focus on healthcare and education as well as select infrastructure projects with a 5 – 10 year return horizon.