VIETNAM 5 PROPERTIES S$18.0 million TOTAL GROSS PROFIT (FY 2023) S$193.0 million VALUATION (as at 31 December 2023) S$36.5 million TOTAL REVENUE (FY 2023) 893 UNITS Somerset Central TD Hai Phong City KEY MARKET CLAS owns five leasehold serviced residences in Vietnam, which contributed about 5% of the total gross profit for FY 2023. Operating under management contracts, the five properties have an average length of stay of five months. Somerset Grand Hanoi comprises 185 units and is located within Hanoi’s largest CBD, close to a host of restaurants, entertainment stretches and local attractions. Somerset Hoa Binh Hanoi comprises 206 units and is well located next to the business and financial districts as well as the flourishing Hoa Lac high technology development zone. Somerset Chancellor Court Ho Chi Minh City is a 172-unit serviced residence with a prime location in the CBD, which attracts expatriates working for large multinational companies within the vicinity. The 198-unit Somerset Ho Chi Minh City is strategically located in District 1, the city's acclaimed commercial, diplomatic and shopping district. Somerset Central TD Hai Phong City is a 132-unit serviced residence that is part of an integrated development and close to a multitude of international schools, shopping malls and hospital facilities. The property is located in the growth city of Hai Phong, the third largest city and one of the largest industrial hubs and ports of Vietnam. A 15-minute drive from three industrial parks, the property is well-positioned to capture the demand arising from foreign direct investment and business activities in the city. 2023 REVIEW Vietnam’s GDP growth in 2023 slowed to about 5.1%, down from 8.0% in 20221. High inflation, soft global demand and political uncertainties weighed on the country’s exports. Nonetheless, Vietnam’s GDP growth in 2023 was respectable, as the country was amongst the fastest-growing economies regionally and globally2. Foreign direct investment (FDI) into Vietnam rose 32.1% YoY in 2023, breaking records. Major investment destinations in the country included Ho Chi Minh City and Hai Phong1. Vietnam received 12.6 million international visitors in 2023. While the number of visitors was higher by 240% YoY, it was 70% of pre-pandemic levels. The recovery in international inbound travel into Vietnam was slower compared to its neighbouring countries, largely due to restrictive visa policies which deterred tourists1, even though these policies had been relieved in phases. 1 Source: VietnamPlus (2024) 2 Source: The Business Times (2023) ANNUAL REPORT 2023 43 Overview Leadership Portfolio & Performance Sustainability & Governance Financial Statements and Other Information
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