21:09 (GMT +7) - Thursday 17/08/2017

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Lotte Group signs contract for Thu Thiem Eco Smart City

Released at: 15:09, 27/07/2017

Lotte Group signs contract for Thu Thiem Eco Smart City

Lotte Tower in Seoul. Photo: Lotte Group

Investment contract signed on July 25, with construction to take five years.

by Hai My

Leaders from the Ho Chi Minh City People’s Committee and representatives from the Lotte Group signed an investment contract for the Thu Thiem Eco Smart City project on July 25.

The Lotte Group will assign four subsidiaries to invest in the project: Lotte Asset Development Company, Lotte Shopping Company (which owns Diamond Plaza, Lotte Mart, and Lotte.vn), Lotte Hotel, and Lotte Engineering and Construction.

The total investment capital for Eco Smart City is expected to be VND20.1 trillion ($884.26 million), excluding site clearance and compensation. The project will be built on a land area of 7.45 ha.

The Lotte Group will build multi-function commercial areas with a total floor area of about 505,000 sq m. Buildings with unique architecture will be a highlight in Functional Area 2a.

Construction is to take five years with a project lifespan of 50 years.

Lotte has paid nearly VND2 trillion ($87.98 million) in land use fees and been allocated the six land plots. It has also pledged to invest in complete technical infrastructure in Functional Area 2a to quickly establish a finance and banking and trade and services area.

It currently has a host of real estate projects in Vietnam, including the Lotte Center Hanoi, which opened in September 2015.

The Ho Chi Minh City People’s Committee has proposed that the Prime Minister determine the investors for the Functional Area 2a.

This area has not been developed as yet, because it is has been difficult to attract investors. Those who have expressed interest have asked for adjustments to the approved master plan, according to the People’s Committee.

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