Aeon to buy 3.5ha more land at Ce­ladon City

New Straits Times - - Business -

HO CHI MINH CITY: Gamuda Land ex­pects to ink a deal this year with Japan’s largest re­tailer Aeon Co Ltd to sell an­other par­cel of land at the de­vel­oper’s town­ship Ce­ladon City here.

Aeon Co plans to buy 3.5ha in Ce­ladon City to dou­ble the size of its ex­ist­ing AEON Mall there to 1.6 mil­lion sq ft.

Gamuda Land Ho Chi Minh City gen­eral di­rec­tor Wy­eren Yap Vooi Soon said upon com­ple­tion, AeonMall will op­er­ate as the largest shop­ping mall in Viet­nam.

The re­tail gi­ant first ac­quired 3ha in Ce­ladon City in 2010 to set up Aeon Mall with a gross floor area of 800,000 sq ft and net let­table area of 450,000 sq ft.

Aeon Co paid RM90 mil­lion for the land and spent US$70 mil­lion (RM301 mil­lion) on the mall de­sign and con­struc­tion.

The mall started to op­er­ate in 2014 and is cur­rently al­most fully ten­anted.

Yap said Gamuda Land was in fi­nal ne­go­ti­a­tion with Aeon Japan for the sale of the land and hoped to close the deal ear­li­est in July.

Ac­cord­ing to peo­ple fa­mil­iar with land deals in Ho Chi Minh City, the 3.5ha land par­cel in Ce­ladon City is ex­pected to fetch be­tween US$40 mil­lion and US$50 mil­lion.

Ce­ladon City com­prises res­i­den­tial, com­mer­cial and ed­u­ca­tion com­po­nents which will all be fully de­vel­oped by 2020. The gross de­vel­op­ment value is about RM5 bil­lion.

Gamuda Land HCMC gen­eral di­rec­tor Wy­eren Yap Vooi says Gamuda Land hopes to close the land deal ear­li­est in July.

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