Singapore’s Mapletree acquires Kumho Asiana Plaza in Saigon for $215 million

By Dam Tuan June 13, 2016 | 04:00 am PT

On June 9, Mapletree Investments announced its acquisition of Kumho Asiana Plaza project in District 1 of Ho Chi Minh City for $215 million.

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The Singapore based group acquired the deal from Kumho Industrial Company Limited and Asiana Airlines Incorporated and this is Mapletree’s largest acquisition involving a completed, income-producing property in Vietnam, according to the media release by Mapletree on June 9.

The deal is in line with Mapletree Investments’ overall strategy to invest in strong-yielding assets to further grow its business and earnings. “Kumho Asiana Plaza is a rare asset given its attributes such as size, its multiple components with strong occupancies, and location in the heart of HCMC’s central business district. We are glad to have seized this opportunity to acquire such a quality, income-producing property in Vietnam,” said Hiew Yoon Khong, Mapletree Group Chief Executive Officer.

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Kumho Asiana Plaza is located in prime location of District 1's CBD. Photo from mapletree.com.sg

Kumho Asiana Plaza is a prime mixed-use asset with nearly 146,000 square meters in gross floor area located in the heart of HCMC’s central business district. It comprises of Grade A offices, highly-rated serviced apartments and a hotel managed by InterContinental Hotels Group (IHG), as well as a variety of food & beverage (F&B) offerings. Occupancies for the office, serviced apartment components and the F&B podium have been consistently over 90 percent.

Mapletree began its investment in Vietnam in 2005, and today it owns and manages a portfolio of office, retail, industrial, logistics, and serviced apartment assets. The Group now has over S$1 billion ($733 million) in assets under management in the country.

“We will continue to seek investment opportunities in completed, quality assets that are immediately yield-accretive in Vietnam’s major cities such as HCMC and Hanoi. We are also keen to invest in green field opportunities to develop office, retail, residential, serviced apartment and mixed-use developments, either on our own or with local partners,” Khong said

All our investments in Vietnam are geared towards broadening and growing our earnings base, to delivering strong and stable returns,” the group’s CEO added.