BIEN HOA CITY, Vietnam, Oct. 25, 2024 /PRNewswire/ -- KCN Vietnam Group, a professional industrial property developer in Vietnam, has officially broken ground on the first phase of its high-quality ready-built warehouse project in Nhon Trach VI Industrial Park - Zone D, Dong Nai Province. The project spans a total area of 14.5 hectares, offering over 97,000 sqm of leasable space. Phase 1 will provide more than 44,000 sqm of leasable area and is expected to be completed by Q2 2025.
Leaders from the Dong Nai Industrial Zones Authority, KCN Vietnam Group, and the construction contractor performed the groundbreaking ceremony for the Group’s ready-built warehouse project in the Nhon Trach VI Industrial Zone (Dong Nai).
KCN Vietnam Group's newest footprint in Dong Nai is designed to meet LEED Gold standards, aligning with the growing demand from global investors for sustainable buildings. This initiative is expected to promote logistics development and enhance the appeal of the Southeast region, especially Dong Nai, as a destination for foreign direct investment (FDI).
The Southeast region is Vietnam's largest hub for industry, logistics, playing a key role in the national supply chain - handling nearly 50% of the country's total cargo and over 60% of container throughput at Vietnamese ports. In the first half of 2024, the region's export value reached $115.7 billion, accounting for 31% of Vietnam's total export-import turnover. However, according to the Vietnam Logistics Business Association (VLA), its current logistics infrastructure falls short of meeting demand, with investment reaching only 25 – 27% of the planned target, as per government goals.
Due to its strategic location and key industrial zones, Dong Nai is a pioneer in both regional and national logistics development. By 2030, the province aims for annual growth of 30 – 35% in the logistics sector, contributing 20 – 25% to the service sector's GDP. Investment in logistics and warehouse infrastructure in Dong Nai and the Southeast region not only meets market demand but also leverages regional strengths, generating significant socio-economic benefits.
Recognizing Dong Nai Province's strong potential to attract foreign direct investment (FDI), particularly in the logistics sector, KCN Vietnam Group has crafted a strategic plan and committed significant resources to develop a state-of-the-art warehouse system that meets international standards.
With the strategic location, KCN Vietnam Group's new project offers seamless access to the country's major transportation routes and enables businesses to easily access key infrastructure, including Long Thanh International Airport (within a 10 km radius) and the international seaports of Cat Lai and Cai Mep (within a 20 km radius). This strategic advantage positions the project to attract substantial foreign direct investment (FDI) into Dong Nai's key logistics sector while addressing the growing demand for warehouse space in the Southeast region.
In addition, KCN Vietnam's new ready-built warehouse project is designed to achieve LEED Gold certification, adhering to high sustainability standards. This is a crucial consideration for many businesses and investors when evaluating industrial property projects. According to the U.S. Green Building Council (USGBC), LEED-certified buildings not only reduce emissions and lower energy costs but also provide significant advantages in enhancing corporate reputation, strengthening brand image, and boosting competitiveness within the global supply chain.
The groundbreaking ceremony for the project was attended by leaders from the Dong Nai Industrial Zones Authority, representatives of KCN Vietnam, and many distinguished partners from consulting firms, logistics companies, and major domestic and international investors. Mr. Nguyen Tri Phuong - Head of Dong Nai Industrial Parks Management Board: "Dong Nai Industrial Zones Management Board welcomes the Group's efforts and serious investment in developing modern industrial infrastructure, particularly projects aimed at fostering green industrial development within the province. We believe this project will further enhance Dong Nai's competitive capacity, facilitate the growth of the logistics sector, attract FDI, and encourage the presence of international businesses in the area."
Mr. Hardy Diec, Chief Operating Officer of KCN Vietnam, stated: "In addition to our existing projects at Ho Nai and Nhon Trach V Industrial Parks, we are excited about the new project at Nhon Trach VI, which aims to provide internationally standardized warehouse space to the local market. This initiative will not only contribute to the development of the logistics sector and attract foreign investment to the region but also reflect our commitment to achieving LEED Gold certification. KCN Vietnam is dedicated to developing green buildings, promoting energy efficiency, and minimizing environmental impact while meeting the increasingly high standards set by international investors."
The newest ready-built warehouse project by KCN Vietnam Group at Nhon Trach VI Industrial Park marks a significant milestone in the company's ambitious investment strategy within the industrial real estate sector nationwide. Since the beginning of 2024, the Group has broken ground on four new industrial projects in key economic zones and industrial parks in both northern and southern Vietnam, delivering nearly 400,000 square meters of new industrial floor space to the market. These projects encompass a variety of categories, including ready-built warehouses, ready-built factories, and mixed-use industrial spaces, contributing to local job creation while significantly boosting foreign direct investment (FDI) inflows into Vietnam.
ABOUT KCN VIETNAM
Since 2021, KCN Vietnam was established to address the escalating demand for high-quality industrial rental properties. As of now, KCN Vietnam has launched 9 high-quality ready-built warehouses and ready-built factories projects in strategically located industrial zones across both the North and South regions, including DEEP C (Hai Phong), Thuan Thanh 3B (Bac Ninh), Ho Nai (Dong Nai), Phu An Thanh (Long An), etc with a total land bank of 300 hectares.
Our mission is to develop, design, and manage industrial and logistics infrastructure to meet the growing demand for high-quality industrial rental properties while supporting businesses in promoting sustainable growth in Vietnam.
The future trajectory involves expanding our portfolio to establish KCN Vietnam as the leading local industrial property platform. Its long-term vision centers on becoming the primary choice for customers' needs and playing a pivotal role in Vietnam's global expansion as a sustainable industrial hub.
KCN Vietnam was awarded the Best Industrial Developer title at the Vietnam Outstanding Property Awards 2023 and honored as Top 50 Corporate Sustainability Award 2024 by Nhip Cau Dau Tu Magazine. The Group was also ranked among the Top 10 Developers in Vietnam 2023 at the BCI Asia Awards.
source: KCN Vietnam
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