Information Phat Dat Real Estate Development Joint Stock Company (HOSE: PDR) bought back all shares of Dai Quang Minh Real Estate Investment Joint Stock Company at AKYN Trade and Service Investment Joint Stock Company, thereby, will implement the project at the land plot at 239 Cach Mang Thang Tam (old District 3 - now in Ban Co Ward, Ho Chi Minh City), appearing right when the real estate market entered a clear differentiation cycle.
This move not only opens up a new project for Phat Dat, but reflects an important shift in the development strategy of this enterprise. That is officially implementing the "process" in the inner city area - where the exploitation value and profitability of real estate projects are very high.
At the same time, this is also a step to upgrade Phat Dat's competitiveness, creating resonance power with the ability to "cover the field" from the core area to satellite cities.
With the current scarcity of land in the central area of Ho Chi Minh City, access to a project with a scale of 3,500 m2 in the core area reflects the capacity and determination of Phat Dat. Previously, Phat Dat had divested from a number of large-scale projects in other localities, including the project in the "golden land" "three fronts" Tran Phu - Bach Dang - Le Hong Phong in Da Nang.
From the economic - investment perspective, this is a suitable transition for the market repositioning period. As the trend of urban development is becoming increasingly clear and big cities like Ho Chi Minh City are stepping up renovation and embellishment of the old central area, the value of inner-city assets is expected to increase faster than the average of the whole market.
Possessing a central location therefore not only creates an advantage in future selling prices, but also improves portfolio quality, improves investor confidence coefficient and repositions the brand on the high-end real estate map.
The long-term impact of this step can be seen in three aspects.
Firstly, revenue and profit margin from inner-city projects are often higher than the market average, contributing positively to business results from 2027 onwards.
Second, brand value is strengthened when businesses are present in the central segment - a segment that is fiercely competitive but brings great influence.
Third, the portfolio restructuring strategy through divestment - reinvestment helps Phat Dat improve liquidity, optimize financial structure and reduce inventory risks.
Setting in the context of the entire industry, Phat Dat's move reflects the trend of "reversing the map of assets" that real estate businesses are implementing.
The shift from growth based on expanding land funds to growth based on asset value is a necessary adjustment when the market requires in-depth and high-level development, risk control and project quality improvement instead of simply pursuing scale.
The deal at the 239 Cach Mang Thang Tam project therefore has a meaning far beyond the transaction value, marking the official launch of a new phase of Phat Dat. In this new period, the Company clearly shows that it prioritizes implementation speed, asset quality and capital efficiency. The land fund expansion strategy is also consistent with that core requirement.
