Jones Lang LaSalle optimistic about VN real estate market

Jones Lang LaSalle optimistic about VN real estate market


(SGT-HCMC) Jones Lang LaSalle (JLL), one of the world’s leading real estate services firms, yesterday opened its first Vietnam office in HCMC given the positive outlook of the real estate sector in the country.

With the increase in foreign investment and the improvement of the legal system in the country, the real estate sector is forecast to grow steadily in the near future. This is the reason why the company, which is headquartered in Chicago in the U.S. state of Illinois, opened its office in Vietnam.

“The influx of foreign investment into Vietnam and the improvement in the country’s legal system make it a viable destination for investors,” said Andrew Brown, managing director of JLL Vietnam. “We are excited to be part of Vietnam’s growth and our business in Vietnam is gaining strong momentum.”

The company offers a full range of services including capital markets, transaction management services, tenant representation, leasing, consultancy, research, valuations, property management and integrated facility management services.

It has been providing the real estate advice and services to a growing list of multinationals in the property, technology, consuming products and financial services industries, including investment funds, Microsoft, Procter & Gamble and IBM, Brown added.

Le Quang Buu, senior manager in charge of consultancy and research of JLL Vietnam, said, “Vietnam’s economic growth, higher living standards, positive consumer trends, rapid urbanization, emerging tourism industry and growing foreign investment offer attractive opportunities for foreign and domestic property investors alike.

“HCMC and Hanoi are two main metropolitan centers for investment given their attractive population profile and strategic location.”

Vietnam’s real estate market is viewed as promising and opportunistic, he said, adding that despite this optimism, market challenges exist such as the country’s low administrative efficiency, low transparency, an underdeveloped legal system and its requirements for significant infrastructure improvements.

However, Vietnam’s attractiveness to foreign investors remains but they require long-term commitments, deep pockets, flexibility, patience and persistence, he noted.

With foreign investment inflows and tourism growth, the demand for offices, shopping centers, hotels and warehouses is growing. Furthermore, the Real Estate Trading Law which came into effect early this year will free up opportunities to non-resident Vietnamese and foreign property investors.

Brown said, “We are optimistic about Vietnam’s future and confident our strong global and regional network as well as the growing number of our clients looking to make their foray into or expand in Vietnam. JLL will be able to capitalize on the opportunities in this emerging market.”

JLL, the only real estate money management and services firm named to Fortune magazine’s “100 Best Companies to Work For” and Forbes magazine’s “400 Best Big Companies,” has some 150 offices worldwide and operates in more than 450 cities in over 50 countries, with 2006 revenue of over US$2 billion and a portfolio of over one billion square feet worldwide.

JLL has over 220 years of experience worldwide and more than 45 years of experience in Asia Pacific.