On July 2025, UOA Vietnam, a subsidiary of Malaysia’s UOA Group, acquired 100% of CTCP VIAS Hồng Ngọc Bảo for $68 million (approximately 1,700 tỷ đồng). This landmark transaction secures a prime 2,000 m² plot on Võ Thị Sáu Street, District 1, with approval for a 22-story development. This deal underscores the intense competition for Ho Chi Minh City property, driven by foreign investors targeting scarce “golden land” in the city’s central business district (CBD). With giants like ByteDance and Marvell fueling demand, this acquisition highlights Vietnam’s growing appeal as a real estate investment hub.
Why Ho Chi Minh City Property Attracts Investors
Ho Chi Minh City’s property market is booming, particularly in District 1, where land scarcity drives value. The UOA deal reflects:
-
Prime Location: Võ Thị Sáu Street offers proximity to key business hubs.
-
High Development Potential: Approved for a 22-story project, ideal for premium office or mixed-use spaces.
-
Foreign Investment Surge: Companies like ByteDance and Marvell are increasing demand for high-quality office spaces.
CBRE reports no new office supply in Q1 2025, intensifying competition for Ho Chi Minh City real estate. This scarcity pushes land values higher, making strategic acquisitions like UOA’s a calculated move to capitalize on market dynamics. CBRE Vietnam Market Report
UOA Group’s Strategic Move
UOA Group, a leading Malaysian developer listed on Bursa Malaysia, has a strong track record in Vietnam. Its portfolio includes UOA Tower in Phú Mỹ Hưng and partnerships with giants like Hongkong Land and CapitaLand. This $68 million acquisition strengthens UOA’s footprint in Ho Chi Minh City property, targeting the premium office segment. The group’s financial strength, with a market cap of approximately $900 million, supports its ability to seize high-value opportunities. The deal aligns with UOA’s long-term strategy to develop high-quality assets in Vietnam’s urban centers, leveraging the country’s economic growth and foreign investment influx. UOA Group Overview
Rising Demand for Office Space
The demand for premium office space in Ho Chi Minh City is surging, driven by:
-
Tech Giants’ Presence: ByteDance’s office at The Nexus and Marvell’s move to E.town 6 highlight the trend.
-
Fly-to-Quality Trend: Over 60% of office relocations target higher-quality spaces, per CBRE.
-
Stable Rental Rates: Grade A office rents remain steady at $55–60/m²/month due to limited supply.
This demand underpins the value of Ho Chi Minh City property, particularly in District 1, where only 103,559 m² of new office space is expected by 2027. UOA’s acquisition positions it to meet this growing need.
Ho Chi Minh City Property: Market Dynamics and Future Outlook
The property market is shaped by supply constraints and robust demand. Cushman & Wakefield predicts limited new office supply in the CBD, contrasting with abundant supply in areas like Thủ Đức and District 7. This disparity elevates Quận 1’s land values, attracting strategic investors like UOA. Moreover, Vietnam’s FDI inflow, with $2 billion in projects launched in 2025, fuels demand from IT and finance sectors. The UOA deal signals confidence in Vietnam’s long-term growth, positioning Ho Chi Minh City as a prime investment opportunity. Cushman & Wakefield Vietnam
Challenges and Opportunities
Investing in Ho Chi Minh City offers high rewards but also challenges:
-
High Costs: Prime land commands premium prices, requiring significant capital.
-
Regulatory Hurdles: Navigating Vietnam’s legal framework can be complex for foreign investors.
-
Opportunities for Growth: Rising demand from global firms ensures strong returns for well-positioned projects.
UOA’s expertise in high-end developments and partnerships with global players like CapitaLand mitigates these risks, making it a formidable player in Vietnam’s real estate market.
Ready to start your journey in Vietnam? Whether you’re seeking seamless Migration Services, visa, a work permit, or Real Estate Services such buyer agents, management, development. Our expert team at Migration and Investment Link is here to guide you every step of the way. Don’t miss out—leave your details now for A FREE CONSULTATION and let us turn your Vietnam dreams into reality!
Join The Discussion