CapitaLand celebrated its 30th anniversary last year, marking a significant milestone. As you steer the company into its next chapter, what do you consider to be CapitaLand Development (CLD)’s key strengths that differentiate it in the market? How will you apply insights gained from international markets to enhance local projects in the years ahead?

Over the past three decades, we have established ourselves as a developer of choice in the real estate sector, delivering over 18,000 homes across 18 projects. Our strong brand presence is reflected in the robust sales performance of Lumi Hanoi, which sold out across three phases, The Senique Hanoi, with 96 per cent sales, and Sycamore in Binh Duong, which continues to experience high demand. These results affirm our ability to meet evolving market needs and reinforce our reputation for excellence.

As we continue to evolve, we remain grounded in the insights and practices learned from our international markets, tailoring them to local projects. By seamlessly integrating CapitaLand’s diverse ecosystem across sectors like lodging, retail, and residential, we create sustainable, integrated communities. Sustainability is central to our strategy, with a focus on reducing embodied carbon, contributing to global efforts, and future-proofing our projects in line with our 2030 Sustainability Master Plan. Our commitment to innovation drives us to harness technology and AI to enhance our products and processes, ensuring we stay competitive. Above all, safety remains our top priority, and we will continue to uphold the highest standards to protect all those involved in our projects.

With a clear focus on customers, quality, sustainability, and innovation in every market we operate in, I am confident that CLD Vietnam is poised to lead the way in shaping the future of real estate development, creating lasting value for the communities we serve.

With Vietnam’s residential market poised for growth due to strong economic fundamentals, a young population, and rapid urbanization, how does CLD plan to invest in this sub-sector? Specifically, will you be targeting the growing demand for mid-range housing?

Over the next five years, our key objective is to build scale and strengthen our residential footprint around the country, expanding our portfolio from 18,000 units to 30,000 by 2029. This ambitious growth plan underscores our commitment to becoming a leading player in Vietnam’s evolving real estate market, with a focus on meeting the growing demand in both the mid to high-end segments, where we have established deep expertise and a strong track record over the past three decades.

As part of this strategy, we are open to undertake larger residential projects. Sycamore and Lumi Hanoi serve as initial showcases, setting the stage for our future growth in this market segment. These developments not only reflect our capability to manage large-scale ventures but also reinforce our commitment to delivering high-quality, integrated communities that meet the diverse needs of the market.

Our investment plan leverages Vietnam’s impressive economic potential, with 8 per cent GDP growth projected for 2025 and urbanization reaching 45 per cent, by accelerating development in key urban centers. Geographically, we will continue to expand our presence in key growth regions, with a particular emphasis on the Greater Ho Chi Minh City area, including Binh Duong, Dong Nai, and Long An provinces, as well as the Greater Hanoi area, with targeted developments in Hung Yen and Bac Ninh provinces as well as Hai Phong city. These strategic locations align with the dynamic growth and urbanization trends, ensuring that we remain well-positioned to serve the rising demand for both mid-range and premium residential offerings.

Vietnam’s real estate sector is receiving substantial FDI, with figures reaching $1.84 billion in 2024, for a 60 per cent increase against 2023. How do you interpret these trends, and what impact do you believe they will have on the market?

The rise in FDI reflects Vietnam’s strategic role in the global supply chain, its pro-business environment, and rapid economic growth, consolidating its position as a key manufacturing hub. This influx brings opportunities such as job creation, improved infrastructure, and a stronger business ecosystem. However, it also presents challenges, including rising land prices and increased competition for resources, particularly in the residential market, where demand for high-quality housing is growing among both expatriates and an increasingly affluent local population.

CLD sees these emerging trends as a strategic opportunity and remains committed to expanding our presence in Vietnam. Our approach will center on medium and large-scale, well-planned residential master plan developments in mid to high-end segments, helping shape Vietnam’s evolving urban landscape while meeting the needs of both local and international communities. We will also explore attractive commercial and industrial opportunities to capitalize on the macro trends taking place in Vietnam.

FDI disbursement in the real estate sector declined in opening month of 2025. While seasonal factors like the Lunar New Year, or Tet, holiday may have played a role, do you see this as an early warning sign of a potential real estate bubble, or is there another explanation?

While the real estate market has experienced fluctuations in recent months, it is important to note that the underlying fundamentals remain strong. The current market is driven by genuine demand, including a growing middle class, increasing foreign business activity, and a dynamic urban environment. The Law on Land 2024 and the Law on Housing 2024 are designed to enhance market transparency and ensure financial prudence, which will mitigate the risk of speculative behavior and help maintain long-term market stability.

We are optimistic that, despite short-term variations, the market is well-positioned for sustainable growth. With ongoing regulatory reforms, Vietnam is poised for a rebound in FDI disbursement, continuing to attract robust investment. This will support the ongoing development of high-quality, integrated, and sustainable projects, contributing to the nation’s long-term success in the real estate sector.

Looking ahead, what are your key priorities for CLD? Are there any specific projects or strategic initiatives that you’d like to highlight?

CLD is focused on expanding our presence in Vietnam, a key market in our regional strategy. Given our proven track record, we target to more than double our capital allocation in the country over the next five years to expand our business significantly.

In addition to residential projects, we are also exploring opportunities in the commercial sector. With multinational corporations expanding and the demand for premium office space rising, we see significant potential in this field. Moreover, as Vietnam continues to strengthen its role as a manufacturing hub under the “China Plus One” strategy, we are exploring opportunities in industrial and logistics sectors to support the growing trade and supply chain networks.

Beyond business growth, we remain dedicated to social impact. Recently, the CapitaLand Hope Foundation (CHF), the philanthropic arm of the CapitaLand Group, launched the CapitaLand Community Resilience Initiative, a S$3 million ($2.23 million) regional grant aimed at empowering vulnerable children and youth in China, India, Singapore, and Vietnam. This initiative, in collaboration with social investment network builder AVPN, is a significant milestone for CHF’s 20th anniversary and reflects our ongoing commitment to building resilient communities. Non-profit organizations with sustainable projects focused on education, health, and well-being are invited to submit applications before April 25, 2025. The third edition of “Together We Step: Step For Kindness” will take place in the fourth quarter of this year, aiming to rally the community to support youth and children in need.