Japan’s Nomura Real Estate has bought Zen Plaza, a 14-story, commercial property that is a mixed use, office and retail space. Zen Plaza was established in 1995 as a joint venture between Saigon Coop and Hasegawa Japanese Company. In 2003, Zen Plaza was transferred to a new investor, Yazuya, which manufactures and sells food in Japan and invests in real estate.
Zen Plaza is a well-known building in Ho Chi Minh City’s District 1 area. It has been reported that 90% of the companies leasing office space are foreign companies and that Japanese companies make up 60 ~ 65% of the companies leasing space in the building.
This is not Nomura’s first real estate investment in Vietnam. In June 2018, the company acquired a 24% ownership in Sun Wah Tower, an office building in District 1 that is home to many foreign companies. The company has also taken part in the residential condominium project Phu My Hung Midtown Project.
|In June 2018 Nomura purchased 24% of Sun Wah Tower in District 1|
In June of this year, Nomura established its new Vietnam subsidiary, Nomura Real Estate Vietnam Co., Ltd. The company has said that it is interested in investing in other commercial and residential real estate projects in the country and will focus on Hanoi, Da Nang and Ho Chi Minh City, since many Japanese businesses are in these cities.
Related to commercial real estate, Nomura believes that its connections and knowledge of Japanese companies human resources and office operations, that it can develop projects in Vietnam that will be attractive to both Japanese and non-Japanese customers. Because the availability of Grade A office buildings is limited, while demand is high, Nomura believes that this a real estate segment that it should invest in.
Nomura Real Estate is also involved in residential real estate and in 2015 collaborated with Japanese companies Daiwa House and Sumitomo Forestry and local project developer Phu My Hung Development Corporation to create the Phu My Hung Midtown Project
This is a 2,100-unit upscale residential condominium project in HCMC’s District 7, Phu My Hung area. The project targets upscale Vietnamese and expatriate business people in Vietnam. The project is located.