VIETNAM. Foreign investors are channelling big money into high-end hotel and resort projects in central Vietnam, a region that has seen steady tourism growth but lacks luxury accommodation. This area of Vietnam is seen as having great potential for tourism as the location of three world heritage sites: Hue imperial city, Hoi An ancient town and My Son Towers valley.
Work on one of the largest tourism projects – the US$30 million, 160-room Indochina Resort at Hoi An in Quang Nam province – commenced last week with completion expected within two years. The resort is being promoted by consortium led by Indochina Capital Corp, the financing house that has developed other properties like the Furama Resort in Danang and the Saigon Centre in Ho Chi Minh City. The new resort will be a catalyst for more luxury accommodation in a region that has just one five-star resort, the Furama.
Indochina Capital managing director Peter Ryder said he was very confident of success as tourism in the area should continue to grow at more than +12% a year. Quang Nam’s tourism has benefited from the growing traffic into Danang airport, where duty free is operated by the Hong Kong company Sundance Trading. Danang already receives direct flights from Hong Kong and Bangkok and is expecting more from Singapore and Japan.
State-owned Hoi An Tourist Service Co, owner of the four-star Hoi An Beach Resort and Hoi An Hotel, is going ahead with another five-star resort near Hoi An.
Meanwhile, other investors, both Vietnamese and foreign, are exploring sites for resort projects that they believe will benefit from the growing popularity of the central region to high-budget international travellers. Hon Tre, a long-abandoned island off the coast of Nha Trang, is set to be rejuvenated by the opening this week of the VinPearl Resort and Spa, the country’s first five-star island resort. Developed by Hon Tre Trading and Investment, backed by Russian investors, the resort hotel will have 500 beach-style guest rooms with conference rooms, casino, sports and retail facilities.
The luxury resort project is expected to breathe new life into the province’s tourism industry. Previous developments on Nha Trang’s islands were considered too small to keep tourists in the area for longer than a short stay.
The small Nha Trang airport can only receive domestic aircraft, so Cam Ranh airport, just south of Nha Trang, is to be put into commercial operation as an international airport next year. A Far Eastern Airlines plan to launch indirect flights from the US to Danang via Taipei will strengthen tourism growth in the area. The commercial opening of Chu Lai airport will further boost tourism.
