An interesting article from Communist-run Vietnam which has one of the world’s poorest economies but has a shocking price tag for its land price:
- According to the City Tax Office:the price of shop space in Ben Thanh market in the heart of the country’s trade hub,Ho Chi Minh City,has jumped 40% in two years to 230 taels of gold per square metre,or US$173,000 (RM636,280),and finding an available plot is not easy;
- Incidentally take note that the price easily outstrips the world’s currently most valuable stretch of land in Tokyo‘s shopping district Ginza which sells for around US$130,000 per square metre.
- The tiny shops,around 1.5 square metre each,in the Ben Thanh market,which was built by the French colonial government in 1899,sell locally-made garments,shoes,spices and souvenirs to foreign tourists.
Property prices in the Southeast Asian country have jumped around 30% to 40% in big cities such as Hanoi and Ho Chi Minh City in the past three years,as well-heeled families from provinces migrate to urban centres and traders compete for a limited supply of shop spaces.
Despite an annual per capita income of just around US$640,developers said condominiums with two or three bedrooms are still retailed for around US$100,000 per unit.
The boom began in the late 1990′s,driven principally by Vietnam‘s transition from a centrally-planned to a market economy and a fast-growing flow of foreign investment that has fuelled economic growth of 7%-8% a year
( Source:The Edge Malaysia (30/8/06)
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