Combining Residential and Resort Real Estate: A Multi-Investment Chain at Venezia Beach
Driven by the specific characteristics of diverse real estate demand groups, coastal cities emerge as a creative solution, effortlessly integrating residential real estate with resort and vacation real estate qualities.
When residential and resort real estate merge into one.
Based on their characteristics, real estate in Vietnam is classified into 4 main groups: Residential, commercial and service, tourism and resort, and industrial real estate.
Residential real estate is defined as a form of property and housing that has been awarded long-term ownership rights to meet the demands of long-term settlement and residence by people. Industrial real estate is related to various producing units. Commercial and service real estate consists of commercial centers, offices, medical services, education, and hotels with business facilities.
Picture 1: Coastal cities are residential cities that satisfy the need for long-term habitation while also generating revenue from tourists.
Resort real estate is categorized as commercial and service real estate. Tourism, according to the World Tourism Organization, encompasses all activities undertaken by tourists and temporary residents for the purposes of sightseeing, exploring and learning, experiencing, or resting, amusing, and relaxing. Therefore, resort real estate is the construction that serves human tourism, and short-term stays. Because it is located in commercial and service real estate, the vast majority of pure resort real estate in Vietnam has a limited ownership period.
From here, coastal cities are born from the combination of residential real estate as the features of resort real estate. The combination of the two real estate companies enables coastal communities to benefit from the most significant advantage of residential real estate, namely long-term ownership privilege, while also inheriting the opportunity to use resort real estate for rent/business purposes.
HomeResort: The Ultimate Upgraded Version of Coastal Cities.
A new trend upgraded with several ideal qualities by Danh Viet Property, HomeResort is not just another coastal city.
10 types of wellness luxury, including 6 wellness living ideals and an exclusive beachfront location in the coastal real estate market where four different types of water bodies converge, represent this. A 1.1 km river, 4 km of canals, and 1 km of lakes make up the sea. In addition, it is owned and operated by Marriott International, one of the top global brands, which has 7,000 locations in 132 countries, and Best Western Premier, which has more than 4,000 locations across more than 100 countries.
Multi-functional Investment Chain
A multifunctional investment solution for HomeResort, centered on three values: sustainable living and resort for a happy life, sustainable real estate value appreciation, and optimal rental exploitation will effectively arise from the combination of residential and tourism real estate, along with upgraded features.
Particularly, the value appreciation problem is “guaranteed” for life, immune to market fluctuations thanks to the Vietnamese people’s mentality of “Comfort is better than pride” – prioritizing long-term ownership. In the seminar “Real Estate Ownership Trends: International Experience and Vietnamese Practices”, when surveying the selling price and absorption rate of a coastal real estate project in the same area with equivalent quality, the type with long-term legal status is always higher than the limited one.
Picture 3 HomeResort offers a multi-functional investment fund.
The Vung Tau – Binh Chau coastal road, the Bien Hoa – Vung Tau expressway, which began construction in 2023, and the Long Thanh airport, which is expected to be completed in 2025, are just a few of the infrastructure projects that will significantly affect Binh Chau – Ham Tan. 2022 is the ideal year to invest because local real estate prices will still be reasonable. According to expert Tran Khanh Quang, in the next 2-3 years, Binh Chau – Ho Tram is expected to increase in price from 50-100%. And when Long Thanh airport is completed, it will create a second wave of price increases.
The Knight Frank Wealth Report 2022 predicts that the number of ultra-rich people in Vietnam will increase by 26% per year from now to 2026, ranking third in the world. A combination of factors including its proximity to Ho Chi Minh City, Vietnam’s primary economic hub, only 90 minutes away, Venezia Beach is the most popular tourist destination. As a result, the demand for long-term ownership of beachfront homes like this one will rise in direct proportion to the Vietnam’s wealthy and ultra-rich population’s pace of growth.
Models that meet the requirements, as Venezia Beach, are expected to have a significant potential for price appreciation in the face of the growing demand for long-term ownership of coastal properties while the supply of such items is limited.
With its beginning point bordering Binh Chau (BRVT) and its ending point bordering Ham Tan (Binh Thuan), Venezia Beach is well-positioned to capitalize on the tourism and short-term rental industries. As a result, the coastal city can welcome up to 22 million visitors annually.
Picture 4 With 16 “all-in-one” utility complexes, Venezia Beach is ready to become a regional tourism hub.
With 16 international-standard utility clusters integrating hundreds of component utilities that meet all needs for entertainment, shopping, relaxation, sports, exploration, conference centers, marinas, wellness, etc., it is the foundation for retaining and attracting tourists. Particularly considering that the 22 km of coastline between Binh Chau and Ham Tan lacks any five-star hotels or coastal real estate, the “all-in-one” utility system, like to Venezia Beach, on a scale of 72ha, rapidly emerges as the region’s core for tourists.
The partnership approach with Crystal Bay, a tourism business that specializes in worldwide markets, not only inherits the international tourist source from two respectable operators but also provides the coastal city with an extra efficient avenue to welcome visitors. Presently, 1,800 flights are provided by Crystal Bay to almost fifty thousand travelers from Asia and Europe annually.
Ho Tram is setting the standard for the percentage of hotels and resorts that have reopened during the epidemic, per a recent Savills analysis. Over 80% of rooms have been occupied regularly, with premium lodging achieving 100% occupancy on weekends.
According to ratings from online booking sites, a 30–40 m2 seafront room in Ho Tram costs VND8–10 million per night on the weekends and VND3–4 million per night on weekdays. Three- to four-bedroom villas cost between VND18 and 20 million on weekdays, which is 50–1500% more than what typical markets charge for rentals. Room rentals at Venezia Beach are anticipated to cost around the same as those at Ho Tram on the same beach route. Because there is a shortage of 5-star supply, a high occupancy rate is expected at the same time.
