Vietnam’s real estate market has intrigued foreign investors for years, given its compelling fundamentals. Vietnam has a population of almost 90 million and is undergoing rapid urbanization as it transforms and grows its economy. From 26 million urban dwellers in 2010, Vietnam expects to have 45 million people living in its low-rise, overcrowded cities by 2020. A complete regeneration of the urban environment is required.

Foreigners have invested approximately US$48 billion in Vietnam’s real estate market during the past eight years, with investment peaking in 2008. Investments take many forms, including direct investments, limited partnerships and listed investment funds.

However, after being listed among the top emerging market real estate investments for several years, Vietnam’s investment image is currently tarnished due to concerns about macroeconomic stability, particularly the high interest rates now in place to combat inflation. Vietnam has struggled to c