Novaland Resumes Sales for Ho Chi Minh City 'Golden Land' Project After Three-Year Hiatus

Novaland, a leading real estate developer in Vietnam, has relaunched its 'The Grand Manhattan' project in the heart of Ho Chi Minh City, following a three-year hiatus focused on resolving legal and financial hurdles. The company announced that sales for the project, located on Co Giang - Co Bac streets in the old District 1, will resume in phases until 2027. The Grand Manhattan is considered one of the rare prime land parcels remaining in the city center. The 1.4-hectare development features three 38-story towers with over 1,000 apartments, complemented by a commercial center, hotel, and internal amenities. Introduced to the market in 2018, sales for the project were largely stalled from late 2022 as Novaland underwent a corporate restructuring. Alongside cash flow difficulties, the project faced delays due to issues in determining land use fee obligations. However, in May, the Ho Chi Minh City People's Committee concluded that the project was exempt from paying land use fees, thereby removing a significant legal impediment and allowing Novaland to complete procedures and reintroduce the project to the market. Novaland stated that all related financial obligations for the project have been settled. The company is now collaborating with relevant authorities to finalize further legal procedures, including the issuance of certificates to buyers. Concurrently with legal finalization, Novaland and its general contractor, Ricons, are accelerating construction across all three towers. The developer anticipates commencing property handovers to customers in the third quarter of this year. In mid-July, Novaland organized an event to introduce the project and showcase model apartments to customers, investors, and financial institutions, marking its return to the market after an extended period of inactivity. This move comes as Novaland gradually completes its restructuring process following a challenging period for the real estate market. According to the company, from 2025, its operational focus will shift from addressing outstanding legal and capital issues to completing projects, delivering products, and restoring business operations. To settle debts and overdue payables, Novaland is offering to sell over 800 million shares to existing shareholders at VND 10,000 per share. If successful, Novaland aims to raise over VND 8 trillion, with a significant portion allocated to repaying debts and financial obligations. Source: VnExpress