Bac Giang Real Estate: Wide Room for Growth

10:21:23 AM | 7/31/2020

With six industrial parks and having attracted many big FDI projects, Bac Giang province is forecast to have great potential for real estate development.

Bac Giang province is at the center of the Northeast Economic Corridor consisting of six localities namely Lang Son, Hanoi, Bac Ninh, Bac Giang, Hai Phong and Quang Ninh, which altogether have attracted about 40% of total key economic investment nationwide. During a meeting with the Standing Board of the Bac Giang Provincial Party Committee on the 2020 socioeconomic development situation in early June, Prime Minister Nguyen Xuan Phuc highly appreciated the province’s achievements in recent years. Accordingly, in the first quarter of 2020, despite the impact of the Covid-19 pandemic, Bac Giang still had a GDP growth of 7.4%.

Magnet to FDI inflows

Bac Giang currently has 6 industrial parks covering nearly 1,500 ha. Five of them are in Viet Yen district, including Van Trung IP, Dinh Tram IP, Quang Chau IP and Vietnam-Korea IP. Bac Giang expects to attract US$1 billion of investment capital in 2020.

To achieve this goal, the province has focused on improving the business investment environment, reforming administrative procedures, encouraging investment, supporting investors and enterprises to deal with business difficulties and obstacles, and speeding up licensed investment projects.

The province has also mobilized investment resources, prepared infrastructure conditions, created a clean land fund and set up material areas to support and facilitate investors seeking to do business in the province.

The province has also built and improved transport infrastructure, including infrastructure in industrial parks like Quang Chau IP, Van Trung IP and Hoa Phu IP.

Particularly in the first five months of 2020, despite the adverse impact of the Covid-19 pandemic, Bac Giang province attracted nearly US$500 million of FDI fund, fulfilling nearly 50% of the full-year plan.

Wide room for real estate investment

Boosted by FDI projects, the real estate of Bac Giang is also showing signs of rapid growth. Currently, the value of local real estate is rising as investors are building various accommodation for foreign experts and workers inside and outside the province.

Real estate is developing in neighboring localities or areas where there are many industrial parks, such as Bac Giang City, Bich Dong Town (Viet Yen district) and Thang Town (Hiep Hoa district).

With the convenient position on the Northeast Economic Corridor, only a 50-minute drive from Hanoi City, a 15-minute drive from Bac Ninh City, and easy access to Noi Bai Airport via National Road 18, these localities have numerous advantages in attracting capital flows into real estate. Besides the favorable geographical position (lying in the transition area from the Northern upland and mountainous region to the Red River Delta, in the Hanoi region and in the Lang Son - Hanoi - Hai Phong - Quang Ninh economic corridor), Bac Giang also has a convenient transportation systems of various types like rail and road.

The above advantages promise a vibrant real estate market in this area in the near future.

Source: Vietnam Business Forum