From humble beginnings as a coastal village, the provincial capital of Nha Trang has grown to be one of the most beautiful coastal cities in Vietnam. The urban space of the province has also expanded to many other areas. With its own potential in tourism, seaports have become a great driving force for urban development. For many years, capital has poured into this locality, creating a new look and expanding urban space, making Khanh Hoa red hot on the list of Vietnam’s real estate market options.

Khanh Hoa unleashes urban development potential - illustration photo

Architect Ngo Son, chief advisor of the Planning Steering Committee of Khanh Hoa, said that the locality is among the leaders in building integrated planning in the spirit of science.

“A good master plan will open up many development chances for Khanh Hoa. Therefore, although the planning process is not yet approved, corporations are interested in discussing the implementation of projects. This demonstrates that Khanh Hoa has received a lot of attention from investors and has a strong attraction in resources,” Nam Son shared.

At a conference announcing planning and investment promotion for Khanh Hoa earlier in 2023, a series of large, multi-million dollar projects were approved.

They include Cam Ranh Bay Urban Area (over $3.7 billion); a social housing project in Cam Nghia ward of Cam Ranh, ($163.4 million); and VCN Ecological Urban Area ($391 million). There is also the Hon Ngang-Bai Cat Tham marine ecotourism project from T&M Van Phong Investment and Tourism, which is worth $1.1 billion and will belong to Van Phong economic zone (EZ).

Khanh Hoa province will also sign an MoU to invest in Hon Lon urban-tourism complex and an airport in Van Ninh district by Sun Group; and investment in Ninh Tinh General Port from Saigon Newport Corporation.

Besides the list of 122 projects calling for non-budget capital in Khanh Hoa province by 2025, with orientation to 2030, the locality also calls for funding in a series of urban projects. These include the urban area along Cam Ranh Bay and Cam Lam district new urban area.

Phan Viet Hoang, general secretary of the Khanh Hoa Real Estate Brokers Association, said developments such as these will help to expand the local development space, thereby creating a driving force in many fields.

“When the plans are completed, the real estate market of Nha Trang and wider Khanh Hoa will benefit and attract investment cash flow,” Hoang said.

According to the master plan to 2030, Khanh Hoa has two urban areas at grade 1, (Nha Trang and Cam Lam new urban area); one urban grade 2 in Cam Ranh city; and one city at grade 3, among others at lower grades.

Nha Trang in particular is aiming to become a national and international marine tourism city by 2040; and the administrative, political, economic, cultural, scientific, and technical centre of Khanh Hoa province.

According to Nam Son, in the past 10 years, Nha Trang has flourished and the density of the coastal area of the city has increased massively, starting to form a “wall of buildings” along Tran Phu beach. But new projects want to provide many breakthroughs to minimise disruption.

Accordingly, Khanh Hoa will minimise the number of buildings along Tran Phu-Pham Van Dong streets, but encourage the construction of buildings in areas deeper inland, forming new areas to kick off high-rise, service, and commercial projects.

“At the same time, in developing an urban area along the Cai River along the axis perpendicular to the sea, projects on both riversides not only create a bustling urban living space, but also create opportunities for high-rise buildings with a sea view,” he added.

In addition, Vo Nguyen Giap street has been upgraded to become the most important arterial road in the province. “It has the potential to bring high efficiency in terms of economy as well as urban planning, bringing great benefits with a large land areas on both sides of the road,” said Nam Son.

Meanwhile, Van Phong EZ hopes to soon bring high economic benefits to the province. The southern region will focus on developing small-scale cargo and transshipment seaports, and industrial parks with well-connected infrastructure. The northern area, in addition to the reserve land for the construction of an international transshipment port, will develop a high-class ecotourism city, associated with environmental protection and landscape improvements.

Currently, there are 150 projects (122 domestic projects and 28 foreign-led projects) registered to invest in the EZ at total registered capital of around $4.1 billion; implemented capital is $2.74 billion. In the north Van Phong area, groups such as Sungroup, Novaland, Dat Tam Investment, FPT, and Flamingo Holdings are looking into investing in services, tourism, airports, seaports, and urban areas, according to the locality.

Elsewhere, Cam Lam aims to become a modern and ecological airport city of international class and sit alongside Nha Trang, Cam Ranh, and Van Phong EZ to form a harmonious combination and contribute to shaping a cosmopolitan city, and engaging global citizens.

In particular, the airport urban area will be developed with a financial-intelligence centre and global innovation centre to transfer and apply trends such as AI and green energy. At the same time, it wants to build an international sci-tech centre; develop international and national educational and medical institutions; and boost synchronous connection of infrastructure and logistics services with Cam Ranh international airport.