TIMELY RESTRUCTURING HELPS REAL ESTATE ENTERPRISES DEVELOP SUSTAINABLY

Hung Thinh Land news

After restructuring, Hung Thinh Land becomes a nuclear unit in the real estate ecosystem of Hung Thinh Corporation in charge of developing more than 100 projects.

 

Tái cơ cấu kịp thời giúp doanh nghiệp bất động sản phát triển bền vững
New Galaxy project developed by Hung Thinh Land possesses a prime location adjacent to the Urban Area of Vietnam National University, Ho Chi Minh City.

 

Sustainable development is what many real estate enterprises want to aim to, but not all enterprises can do it. In addition, the successive difficulties in 2020 are a reagent for all. To be able to expand the market, most enterprises must promptly complete the restructuring process as well as make reasonable decisions.

A year of refinement and repositioning of enterprises in the real estate industry

In the context a series of enterprises falls into crisis, few enterprises with suitable strategy have been still successful. That is, real estate companies have made efforts to restructure, focusing on products that meet market demand well and aim to operate more professionally. Ms. Do Thi Thu Hang, Research and Consulting Director of Savills Hanoi said: “In some segments, COVID-19 has a clear influence when reshaping the market, creating new trends or creating fierce competition amon the parties. Accordingly, enterprises need to consider strategic factors for the short, medium and long term. COVID-19 slowed the implementation of projects, but it was also an opportunity for investors to consider the application of 4.0 technology in product sales support, real estate management and operation…”.

Hung Thinh Corporation is the enterprise that implement the restructuring most successfully among the real estate enterprises. After the restructuring, Hung Thinh Land becomes a nuclear unit in the real estate ecosystem of Hung Thinh Corporation, in charge of developing more than 100 projects with a land fund of more than 4,500 hectares in Ho Chi Minh City, Hanoi and other provinces with great economic potential such as Binh Dinh, Khanh Hoa, Binh Thuan, Lam Dong, Dong Nai, Binh Duong and Ba Ria - Vung Tau ... In addition, Hung Thinh Land is in the process of negotiation with many partners to increase the land fund to more than 8,000 hectares, to secure the land fund for long-term and sustainable growth.

“In order to have enough capacity to implement many projects at the same time, we have built a capital turnover strategy based on our available advantages, and at the same time Hung Thinh is always ready to be welcomed by banks if needing capital, even during the period of credit tightening,” said by Mr. Le Trong Khuong, General Director of Hung Thinh Land.


Good relationship with financial institutions not only brings Hung Thinh resources to expand business activities, but also facilitate customers to easily own real estate through a series of attractive policies, such as: loan ratio up to 70-80% of real estate value, loan term up to 20-25 years depending on needs and capabilities of customers, competitive lending rates compared to the market, simple and easy loan procedures. For example, with the outstanding dual financial solution applied for the first time: support for home loans up to 70% of the value of the apartment and consumer loans up to VND 300 million and many other attractive preferences. New Galaxy project developed by Hung Thinh Land and introduced to the market in recent August has attracted a large number of customers.

For 18 years of establishment, Hung Thinh has provided the market with approximately 50,000 housing products in line with needs of customers, including projects with a variety of types and segments, from apartments, bare land products to luxury shophouses and villas. Report on September 17, 2020 of Vietcombank Securities Company stated that Hung Thinh Land accounted for 4% of the market share of housing real estate in Vietnam in the period of 2016 - the first half of 2020 and is the second largest real estate developer in Vietnam. Recently, Hung Thinh Land has also included in the list of 1,000 largest corporate income taxpayers in Vietnam 2020. With a large land bank in strategic locations, especially in provinces with great economic growth potential and high mechanical population growth rate, Hung Thinh Land can ensure sustainable growth and development in the next 10 years.

 

Tái cơ cấu kịp thời giúp doanh nghiệp bất động sản phát triển bền vững

Decisions to help keep the company in "COVID-19 storm"

In 2020, the COVID-19 epidemic had a general impact on the entire economy and Hung Thinh Land is not out of that general impact. Without delay, CEO Le Trong Khuong and Hung Thinh Land's Board of Directors made timely decisions to "hold fast" the company. Through 2 epidemic outbreaks, Hung Thinh Land has grown even more than the common ground of the market with nearly 5,000 apartments and bare land products introduced since the beginning of the year. The value of real estate sold for the first 9 months of 2020 is VND 10,000 billion, compared with the whole year of 2019 that was VND 15,000 billion. This is indeed an unexpected result in this extremely difficult year.


For achieving that breakthrough, Hung Thinh Land has made many flexible moves, adapting to the market. Hung Thinh Land's products are reasonable for the prices, areas and always ensure the progress and quality of the project as committed and the attached utilities are also cared towards healthcare of residents such as: park, walkway, spa, gym, healthy saltwater swimming pool, multi-functional sports ground... Most of Hung Thinh Land's products are in the affordable segment - the segment with many potentials and most sustainability of the real estate market. So even if the epidemic happened, the real demand has been still great and Hung Thinh Land - the place to sell what the market needs but not what we have, has been always thriving. Besides, this enterprise also has a diversified product structure with many eco-projects, suitable for resort and investment needs.
 

 

Tái cơ cấu kịp thời giúp doanh nghiệp bất động sản phát triển bền vững
Paying attention to healthcare facilities in apartments developed by Hung Thinh Land.


Regarding the payment policy, this enterprise is always flexible, extending schedule, splitting into the payment packages so that more people can reach; especially discount policies during the epidemic season (giving away 5% cash on total payment) ... Thanks to that, Hung Thinh Land's projects had certain successes, ensuring revenue cash flow and sales ratio, helping the Company to operate stably and create good products for the market, bringing economic value to investors. In addition, the Company always maintains prudent financial policies, ensures liquidity to overcome difficulties as well as to support customers - home buyers.
 
At the same time, investing in technology is a remarkable aspect of this enterprise. Hung Thinh Land and Hung Thinh Corporation conducted strategic cooperation with large domestic and foreign corporations in many fields such as Samsung, Hitachi, FPT, TMA Solutions... These partners will help Hung Thinh take advantage of the partners' rich product ecosystem, and at the same time build services that combine mutual outstanding strengths, with the ultimate goal of providing customers with qualified, cost-saving and effective products. In particular, Hung Thinh Corporation, the parent company of Hung Thinh Land, is devoting a lot of resources to the development of appropriate technologies to help improve capacity of management, sales, project development and other processes. Hung Thinh Corporation has been investing USD 15 million in developing a Proptech project with the aim of creating a platform that can serve all real estate market participants. The cost for this platform is expected to reach USD 70 million and is likely to be announced in early 2021.

 

Tái cơ cấu kịp thời giúp doanh nghiệp bất động sản phát triển bền vững
Active cooperation with strategic partners will contribute to creating products for smart urban areas and orienting the construction of industrial - high-tech parks developed by Hung Thinh Land.


In this fourth quarter, Hung Thinh Land will continue to introduce many large-scale projects in provinces, especially focus on apartment development in many satellite urban areas such as Binh Duong, Dong Nai ... to serve HCMC's population density loose trend as well as launch many diverse projects in big cities such as Vung Tau, Nha Trang, Quy Nhon ... Especially in 2021, Hung Thinh Land is expected to deploy 5 projects with about 10,000 apartments in Hanoi.


Sharing his intention to list on the stock exchange in the coming time, Mr. Le Trong Khuong expressed: “The time of IPO will be considered by the Board of Directors when the stock market records favorable developments. With the current capital size of about VND 6,500 billion, surely growing more times after we complete the restructuring along with owning the largest land bank in Vietnam today, we set a target to listed in top VN30 after listing”.
 

 

According to Nhip cau dau tu