Mitsubishi Estate expects to expand investment in the Vietnamese market

According to the Vietnam Quarterly Market Report H1/2024 by Savills, foreign direct investment (FDI) flowing into Vietnam surged to US$15 billion in the first half of the year, marking a 13% increase from the same period last year, underscoring growing economic collaboration between Vietnam and international enterprises, which is expected to continue in coming years.

Among the active foreign investors, Mitsubishi Estate Co., Ltd (Mitsubishi Estate), a leading real estate developer in Japan, is also interested in further expanding its investment in Vietnam soon.

The company builds its reputation both in Japan and internationally with a vision for sustainable, long-term urban development and management that stems from its development history in Marunouchi.

Located between the Imperial Palace and Tokyo Station, the Marunouchi district was once an unattractive grass-covered area. Until 1890, the Mitsubishi Company, with a different vision, purchased over 353,000 square meters of Marunouchi land from the government and began a strategy of sustainable urban development.

Developed by Mitsubishi Estate, Marunouchi is currently one of important economic centres of Japan. Photo courtesy of Mitsubishi Estate

In 1937, as a result of business spinning off, Mitsubishi Estate was established to continue the real estate business of Mitsubishi Company, including Marunouchi development, and quickly became Japan’s leading real estate developer.

Over 130 years of evolving the Marunouchi, the area has become a key economic centre, home to the headquarters of leading corporations.

Marunouchi is built on the philosophy of sustainable urban development. Photo courtesy of Mitsubishi Estate

The know-how gained from Marunouchi development forms the basis for the group’s business expansion in various sectors, from residential and office building development to hotel management and retail. In 1972, the establishment of a company in New York City, USA, marked a significant milestone in the company’s global expansion, which then extended to Europe, Oceania, and Asia.

In Vietnam, Mitsubishi Estate has had joint ventures through Mitsubishi Estate Asia since 2010 and officially established its first office in 2019 in Ho Chi Minh City.

Bringing the philosophy of sustainable urban development to Vietnam, in 2017 Mitsubishi Estate acquired the Riverbank Place office building in District 1 and improved the working space, upgrading the experience for tenants.

For over a decade, the company has partnered with many Vietnamese real estate businesses to develop numerous key projects, most notably the high-end Lumi Hanoi apartment project, which Mitsubishi Estate is co-developing with Far East Organization and the investor CapitaLand.

Launched in 2024, Lumi Hanoi is a prominent project in Hanoi as its design and development philosophy not only focuses on residents’ comfort and convenience but also creating sustainable and modern experiences.

Lumi Hanoi, a prominent residential real estate project that Mitsubishi Estate is investing in Vietnam. Photo courtesy of Mitsubishi Estate

As one of the active real estate developers in Vietnam, Mitsubishi Estate is showing interest in expanding its operations in this potential market, especially in the context of Vietnam actively attracting foreign investment from reputable enterprises and developing in a sustainable direction.