Novaland Group (Novaland), formerly known as Thanh Nhon Commercial Company Limited, was established in 1992. Novaland has its core business in investing, constructing and trading real estates. Novaland Group has already implemented more than 40 projects at strategic locations of most districts in Ho Chi Minh. According to CBRE, Novaland Group occupies approximately 18% of the Hochiminh apartment market-share sold in 2017. Novaland was listed and traded on Ho Chi Minh Stock Exchange (HOSE) in December 2016.
- Constructing housing works;
- Trading real estate;
- Novaland Group has already implemented more than 40 projects at strategic locations of most districts in Ho Chi Minh city. According to CBRE, Novaland Group occupies approximately 18% of the Hochiminh apartment market-share sold in 2017.
- Researching and innovating design, construction and technologies to develop and supply smart well-equipped urban areas with high-quality in premium and medium class at convenient strategic locations of Ho Chi Minh;
- Developing and promoting real estate leasing services;
- Providing support services in real-estate transfer and financial consultation;
- Investing and developing urban areas connected with modern infrastructure;
- Demand for construction and real estate development has shown recovery signs. Particularly, the new Law on Housing dated July 1, 2015 allows that foreign investors are entitled to purchasing and owning residential real estate properties, suggesting increasing demand on this real estate segment.
- According to the Circulars 36/2014/TT-NHNN, SBV announced reduction on the risk ratio for the real estate business loans from 250% to 150% and increase the percentage of using short – term loans to finance long – term from 30% to 60%. This is considered the positive factor to develop real estate business market.
- The Company has to face with fiercer competition due to an increasing number of domestic real estate firms in 2015 and lower entry barriers with the effect of TPP, WTO and FTA.
- Real estate development period lasts 3-5 years, which exposes the Company to cash flow mismatch and liquidity risk. due to prolonged ground clearance, compensations and legal procedures.