Two driving forces boosting the central Da Nang apartment segment – VnExpress

In the first 5 months of the year, Da Nang welcomed over 7.74 million staying visitors, an increase of more than 20% compared to the same period last year. Among them, international visitors reached about 4.18 million, up over 23%.

Revenue from accommodation, catering, and travel services is estimated at 27,700 billion VND, an increase of more than 19%. The city currently operates 27 domestic and international flight routes, and is promoting the opening of 4 new routes, bringing the operating frequency to about 148 flights per day.

Besides natural advantages with a sea – river – mountain ecosystem, Da Nang also maintains many international-scale events such as the Da Nang International Fireworks Festival (DIFF), the Asian Film Festival, and various cultural, artistic, and culinary activities taking place year-round. The city also continuously adds new tourism products to extend the length of stay and increase visitor spending.

The Han River area (Da Nang) attracted tourists during peak hours on the recent Hung Kings Commemoration Day. Photo: M Riverside

In addition to the driving force from tourism, the coastal city also faces the opportunity to welcome new demand from the development of the international financial center. This center has been operating since the beginning of the year at Software Park No. 2. According to the planning, the IFC has a scale of about 300 hectares, developing under a multi-functional model, connecting with the international airport, seaport, and strategic traffic axes of the city.

The infrastructure serving the center is being completed. The operational headquarters currently has over 4,000 square meters of workspace, while the 20-story high-tech building with a total floor area of more than 27,000 square meters is expected to be completed this year. The city has also covered 5G in the areas planned for the IFC.

Unlike traditional financial centers, Da Nang IFC is oriented to develop fintech, digital asset, and digital payment models. In the initial stage of operation, 12 enterprises became official members and 5 organizations registered to participate in activities at the center.

The building where the Vietnam International Financial Center Management Agency in Da Nang is located. Photo: M Riverside

Alongside the development of the IFC, Da Nang also recorded positive growth momentum in investment attraction. In the first 5 months of the year, the city attracted 313 million USD in FDI capital, 2.6 times higher than the same period last year, while also attracting over 71,000 billion VND in domestic investment capital. The city granted new licenses to 57 FDI projects with a total registered capital of over 280 million USD.

The increasing investment capital flow is expected to entail the presence of businesses, experts, and high-quality personnel in the fields of finance, technology, and innovation. This is also the target customer group that the IFC aims for when developing international financial, fintech, digital asset, and technology models.

Meanwhile, the demand for high-quality accommodation in Da Nang continues to be maintained. According to data from Avison Young, by the end of the first quarter, the room capacity of the 4-star and 5-star hotel segments reached 85% and 88%, respectively. During peak periods, the occupancy rate of the 4-5 star hotel group in the central area can reach 90-95%.

Besides the short-term accommodation demand from tourism, the appearance of a team of experts and high-quality personnel is expected to create additional demand for long-term housing and accommodation products in the city center area. Unlike regular tourists, this customer group not only looks for a place to live but also cares about the connectivity to their workplace, commercial systems, services, and urban amenities.

This opens up opportunities for apartment projects in the central area, where the city’s financial, commercial, and service activities are concentrated. Located on the 2/9 – Binh Hien – Dao Tan street axis, M Riverside Danang possesses a location near the Han River, opposite the APEC park, and conveniently connects to the Da Nang IFC area.

Perspective of the M Riverside Danang project, about 5-10 minutes moving from the international financial center. Photo: Kyoritsu Vietnam

The 25-story building, with 3 basements, provides 321 commercial apartments and office spaces combined with accommodation including studios, one-bedroom, and two-bedroom units. The investor stated that the project has transparent legal status.

M Riverside Danang is developed according to the Work – Live – Resort model, integrating living, working, and resort spaces in the same complex. This model is considered suitable for the flexible living trend of international experts, businessmen, or digital nomads which is increasing in Asian coastal cities.

“Along with the development process of tourism and the IFC, the central area of Da Nang is forecast to continue to play a focal role in commerce, services, and economic activities. This is also where the majority of the demand for accommodation, working, and living of new customer groups will be concentrated in the coming years,” a representative of the M Riverside Danang development unit further shared.