•  Jointly to develop and operate more than 500,000sqm of industrial spaces
• Focused on delivering premium international grade ready-built factories, warehouses and build-to-suit facilities within the industrial parks
• Builds upon successful completion of Phase 1 of Binh Duong Industrial Park in South Vietnam, which caters to a growing international demand for premium industrial estates in the country

HANOI, 1 MARCH 2023

Frasers Property Vietnam (FPV), one of Vietnam's leading diversified property developers, at a signing ceremony today announced its partnership with local multi-sector investment holding company Gelex Group to grow its industrial portfolio and build its presence across North Vietnam, with a total combined investment of approximately US$250 million (approximately SGD337 million) (being the equivalent of VND6,000 billion).

With this agreement, FPV will initially add 80 ha of prime, strategically located industrial land to its landbank that will be developed eventually into more than 500,000 sqm of international grade ready-built factories, warehouses and build-to-suit facilities. This is in response to meeting significant international interest for more industrial space within the region as well as growing demand for high-quality, premium industrial estates. Active in eight markets across Asia, Australia and Europe, industrial & logistics is the Frasers Property Group’s largest asset class by property assets.

This portfolio expansion represents Frasers Property’s long-term commitment to Vietnam’s economic development. In early February, FPV established its representative office in Hanoi to support its business expansion plans for industrial, commercial and residential assets in the northern region.

Mr Tuan Nguyen, CEO of Gelex Group shared: “I am confident that Gelex, a leading industrial production and infrastructure group in Vietnam, in joining hands with an experienced and international real estate partner like Frasers Property Vietnam, will create sustainable industrial developments for the long run. Gelex and Frasers Property Vietnam's comprehensive relationship now and in the future provides momentum for further projects to grow together, particularly in establishing excellent industrial parks in Vietnam to fulfill the rising expectations of clients.”

Tapping on Frasers Property's global expertise in the industrial & logistics sector, as well as Gelex's leading position in the industrial real estate investment market in Vietnam, this cooperation plans to develop smart, modern and sustainable industrial facilities in the country, which will cater to a new segment of premium industrial estates – a first in the country. Developments under the Premium Estates concept will consist of high-quality industrial facilities with strong sustainability and technology features aimed at supporting workplace productivity and occupiers’ health and well-being. The developments will also aim for international green building certifications in line with Frasers Property’s sustainability targets.

“Frasers Property has a focus on pursuing sustainable innovation in real estate. We are in the business of developing future-ready industrial facilities in Vietnam aligned with our Group-wide sustainability goals, which is to be a net-zero carbon organisation by 2050. While doing our part for the low-carbon transition, we look forward to attracting higher value investments by bringing greater standards in industrial estates to Vietnam’s northern region with one-stop designs for build-to-suit solutions as well as ready-built factories and warehouses. This also aligns with the Vietnam Government’s 2022 Decree 35 on the management of industrial zones,” added Lim.

Building upon Frasers Property’s first industrial park in Vietnam

FPV’s first industrial showcase – Binh Duong Industrial Park (BDIP), located in one of Vietnam’s key southern economic hubs in Binh Duong province, has leveraged its longstanding development expertise in design and masterplanning capabilities. With Phase 2 under development, the project will eventually encompass over 230,000 sqm of industrial facilities developed on around 110 ha of industrial land by 2025. BDIP is also on track to achieve LEED Gold certification upon completion, one of the most respected green building certifications issued by the US Green Building Council.