Vietnam Industrial & Logistics Real Estate Market Update Mr. Greg Ohan

Transcription

1 Vietnam Industrial & Logistics Real Estate Market Update Mr. Greg Ohan Deputy CEO September 2018

2 AGENDA 01 BW Industrial Development Intro 02 Recent Headlines - Industrial & Logistics 03 Market Update 04 How BW Industrial is driving Vietnams 4.0 Industrial Revolution 05 Regional Case Study

3 BW Industrial Development

4 BW Industrial Development Company Overview TOKYU Corporation, a major Tokyo-based infrastructure developer and residential developer. Vietnam Singapore Industrial Park platform ("VSIP ), a JV between Sembcorp, (a Temaseksponsored industrial group) widely recognized as the most successful industrial park developer in Vietnam with over $10 billion of investments todate. ESR - largest "pure-play" pan-asia logistics warehouse developer, owner and manager with an AUM of over US$12 billion. D&J China - leading industrial and business parks developer in China with AUM of over US$4 billion. Embassy Industrial Parks one of India's fastest growing logistics and industrial park developers. ZTO Express China's largest express delivery company. Source: BW Industrial 2018

5 Market Update

6 Industrial & Logistics Highlights in

7 Vietnam Industrial Boom - The Drivers 14 th largest country in the world Over 92 million people Huge consumer market Progressive domestic policy and global integration Cost Effective Labor, real estate, skilled labor

8 Vietnam Industrial Boom - The Reality = FOOTWEAR From: China Plus Many to China Plus Vietnam Plus Many, ( US Fashion Industry Association noted in a 2017

9 Vietnam Industrial Boom - The Reality = FOOTWEAR Todays Typical sourcing portfolio % from China, % from Vietnam & the rest from others

10 Vietnam Industrial Boom TRADE WAR

11 Quality Supply Increases Especially Foreign Invested Parks Vinh Phuc: Thang Long III (213ha) _ By Sumitomo Coporation Bac Ninh: VSIP Bac Ninh II (500 ha) _ By VSIP Nghe An: Hemaraj Industrial City 3200 ha _ By Hemaraj Future Supply Da Nang HTP 550 ha Binh Duong: VSIP III Industrial park 1000 ha _ By VSIP

12 High Demand for Industrial Land across Vietnam Dinh Vu IZ 335ha (Vinfast) Trang Due IP1.5ha (KR EMS) Sector Automotive Electronics Origin Recent Transactions Dinh Vu IZ 2.7ha (Top Oil & Gas Solvent) VSIP Quang Ngai 14ha (Hebei, Xindadong) VSIP Quang Ngai 8ha (Wanek Furniture) VSIP II IP 8ha (Tata Coffee) Hiep Phuoc IP 7ha (CJ Cau Tre) FMCG FMCG

13 Tenant Mix of Logistics Warehouse/Factory User in the North TENANTS BY INDUSTRY IN THE NORTH (Source: BW Industrial 2018)

14 Tenant Mix of Logistics Warehouse/Factory User in the South TENANTS BY INDUSTRY IN THE SOUTH (Source: BW Industrial 2018)

15 Large-Scale Foreign Investors The North The South

16 High Concentration Logistics Hub in Hai Phong & HCMC 95% Hai Phong Port ~ 5.0m TEU/year (Source: Saigon New Port Cat Lai~ 4.54m TEU/year (Source: (Source: BW Industrial 2018)

17 Rising Aviation handling cargo Ha Noi Noi Bai Airport 25% Total Export turn over In Viet Nam Ho Chi Minh Tan Son Nhat Airport Dong Nai Long Thanh Airport Expected to be completed in 2025

18 The Samsung Effect

19 The E-Commerce Effect

20 How BW Industrial is driving Vietnams 4.0 Industrial Revolution

21 Well developed highway network in the North

22 Transportation network for the key Southern economic region

23 Our objective is to support the drive of manufacturing FROM: MADE IN CHINA TO: MAKE IN VIETNAM Source: BW Industrial 2018

24 Leapfrog china

25 Premium Quality Built-to-suit/Ready-built Warehouse & Factory We learn from the best to be the best. Our regional expertise will transfer best in class practices so we can deliver the same quality in Vietnam

26 Over2 Milion SQ.M In 60Days Bac Ninh Hai Phong Binh Duong Dong Nai Proximity to largest Queen bee and Noi Bai Airport Maritime gateway of North Highest GDP growth in Viet Nam The aviation gateway of the South

27 PRODUCT & SERVICE READY- BUILT FACTORIES LOGICTICS WAREHOUSES BUILT-TO SUIT- FACILITIES SALES AND LEASEBACK

28 WE ARE THERE TO HELP YOU FROM DAY ONE! WE HAVE THE EXPERTS THERE FOR YOU

29 Regional Case Study

30 - Our Regional Expertise 2016 e-shang Cayman Ltd ( e-shang ) - founded in 2011 by Warburg Pincus Redwood Group Asia, Pte. Ltd. ( Redwood ) Major Tenants A LEADER million square meters of projects in operation and under development across Asia

31 Amazon Warehouse in ESR Jjangsu Province Jiangsu, China

32 Guangzhou, China Guangzhou Conghua Distribution Centre Lease Area: 36,000 sqm

33 To lead the 4.0 Industrial Revolution we will need help! Infrastructure Policy International & Domestic Changing the way we look at Logistics Real Estate Solutions

34 THANK YOU BW Industrial Development JSC Floor 17, Becamex Tower 230 Binh Duong Boulevard, Phu Hoa Ward, Thu Dau Mot City, Binh Duong Province, Vietnam bwidjsc.com