{"id":44909,"date":"2020-07-28T16:21:59","date_gmt":"2020-07-28T08:21:59","guid":{"rendered":"http:\/\/www.mingtiandi.com\/?p=44909"},"modified":"2022-08-15T14:55:47","modified_gmt":"2022-08-15T06:55:47","slug":"mtd-tv-panel-vietnam-logistics-real-estate-gains-in-2020","status":"publish","type":"post","link":"https:\/\/www.mingtiandi.com\/real-estate\/events\/past-events-real-estate\/mtd-tv-panel-vietnam-logistics-real-estate-gains-in-2020\/","title":{"rendered":"MTD TV Panel: Vietnam Logistics Real Estate Gains Favour With Investors in 2020"},"content":{"rendered":"<div class=\"container-lazyload container-vimeo js-lazyload--not-loaded\"><a href=\"https:\/\/player.vimeo.com\/video\/441959633?h=3d6fe14b8d\" id=\"441959633\" class=\"lazy-load-vimeo preview-lazyload preview-vimeo\" data-video-thumbnail=\"https:\/\/i.vimeocdn.com\/video\/931093357-340ee00cf249a9ca7bee4fcb4a117329c85d7e816f82e47d031b7abdc795b1cf-d_295x166\" data-video-title=\"Mingtiandi APAC Logistics Series: Panel Discussion on Emerging Markets\" title=\"Play video &quot;Mingtiandi APAC Logistics Series: Panel Discussion on Emerging Markets&quot;\">https:\/\/player.vimeo.com\/video\/441959633?h=3d6fe14b8d<\/a><noscript>Video can&#8217;t be loaded because JavaScript is disabled: <a href=\"https:\/\/player.vimeo.com\/video\/441959633?h=3d6fe14b8d\" title=\"Mingtiandi APAC Logistics Series: Panel Discussion on Emerging Markets\">Mingtiandi APAC Logistics Series: Panel Discussion on Emerging Markets (https:\/\/player.vimeo.com\/video\/441959633?h=3d6fe14b8d)<\/a><\/noscript><\/div>\n<p>Warehouse properties in Vietnam have gained fresh appeal with investors across emerging markets in Asia, benefiting from an e-commerce boom and the ongoing diversification of global supply chains from China to other parts of Asia, industry experts said Tuesday in the <a href=\"https:\/\/www.mingtiandi.com\/logistics-investment-in-emerging-apac-markets-panel\/?utm_source=Mingtiandi+Mailing+List&amp;utm_campaign=29ac57334f-LOGISTICSSERIESREG__CONFIRM&amp;utm_medium=email&amp;utm_term=0_34ef0efbcc-29ac57334f-56610370\">third installment<\/a> of Mingtiandi\u2019s MTD TV online video series of Asia Pacific logistics opportunities.<\/p>\n<p>Despite the Covid-19 outbreak tilting the global economy into recession, the investment climate in Vietnam hasn\u2019t slowed down, said CK Tong, CEO of BW Industrial, a Warburg Pincus-backed industrial property developer in Vietnam. \u201cWe are seeing a lot of enquiries about manufacturing, mostly from overseas companies,\u201d Tong said. \u201cA lot of the local players are interested in expanding into distribution centres.\u201d<\/p>\n<p style=\"text-align: center;\"><a data-no-instant=\"1\" href=\"https:\/\/www.jll.com.hk\/en\/invest-in-real-estate?utm_source=mtd&#038;utm_medium=ol&#038;utm_campaign=ap-hk-cm-investor-platform-q323&#038;utm_content=set-n&#038;utm_term=780x250\" rel=\"noopener\" class=\"adv-link\" target=\"_blank\" aria-label=\"N-780X250\"><img decoding=\"async\" src=\"https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2023\/10\/N-780X250.gif\" alt=\"\"  width=\"780\" height=\"250\"   \/><\/a><\/p>\n<p>The Mingtiandi panel brought together top executives from Baker McKenzie, BW Industrial, JLL and Logos Property in a discussion that outlined how the logistics markets across Asia\u2019s emerging markets are evolving particularly as the Covid-19 pandemic accelerates the growth of e-commerce across the region.<\/p>\n<p>In an online survey during the panel discussion, Vietnam was picked by 66 percent of the participants as the best logistics investment destination across emerging Asia, followed by Indonesia with 25 percent and India with 8 percent.<\/p>\n<h3>Regional Shifts Pull Investors into Vietnam<\/h3>\n<p>\u201cVietnam is an extremely attractive market,\u201d said Peter Garrison, head of strategic customers at ARA Asset Management-backed Logos Property. \u201cThere are structural headwinds at play that have benefitted Vietnam, starting from the dispersal of manufacturing across the region. Off the back of the trade war and now with Covid-19, many occupiers are seeking alternatives for their manufacturing base around the region.\u201d<\/p>\n<p><a href=\"https:\/\/www.mingtiandi.com\/real-estate\/events\/mtd-tv-panel-vietnam-logistics-real-estate-gains-in-2020\/attachment\/pete-garrison-3\/\" rel=\"attachment wp-att-44911\"><img decoding=\"async\" class=\"aligncenter size-medium wp-image-44911\" src=\"https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2020\/07\/pete-garrison-400x240.jpg\" alt=\"pete garrison Logos\" width=\"400\" height=\"240\" srcset=\"https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2020\/07\/pete-garrison-400x240.jpg 400w, https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2020\/07\/pete-garrison-300x180.jpg 300w, https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2020\/07\/pete-garrison-420x252.jpg 420w, https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2020\/07\/pete-garrison.jpg 700w\" sizes=\"(max-width: 400px) 100vw, 400px\" \/><\/a><\/p>\n<p>The country is also considered as one of the most resilient in the region, with the World Bank still expecting <a href=\"https:\/\/www.worldbank.org\/en\/country\/vietnam\/overview\">Vietnam\u2019s economy<\/a> to grow as much as 4 percent this year despite the economic fallout from the pandemic. That\u2019s twice as fast as the <a href=\"https:\/\/www.worldbank.org\/en\/region\/eap\/publication\/east-asia-pacific-economic-update#kf1\">2.1 percent growth <\/a>the World Bank is predicting for the East Asia and Pacific regions generally.<\/p>\n<p>\u201cAs the economy grows, consumers are looking to have better access to daily essentials, perishables and a wide variety of product types &#8212; modern warehousing will be a key part of the infrastructure that will be needed to reach those consumers,\u201d Logos&#8217; Garrison said.<\/p>\n<p>In a trend fed by companies seeking to reduce reliance on any single market, global manufacturers are increasingly spreading their sourcing activity beyond China after the Covid-19 pandemic wreaked havoc on production and shipping in the region.<\/p>\n<h3>Foreign Investor-Friendly Laws<\/h3>\n<p>\u201cThere\u2019s a diversification in supply chains going on for security reasons, after recent events disrupted the supply chain,\u201d said Frederick Burke, partner at law firm Baker McKenzie. \u201cThe move from the just in time to just in case supply chain model is taking root and people look at Vietnam as one of the options.\u201d<\/p>\n<div id=\"attachment_44912\" style=\"width: 410px\" class=\"wp-caption aligncenter\"><a href=\"https:\/\/www.mingtiandi.com\/real-estate\/events\/mtd-tv-panel-vietnam-logistics-real-estate-gains-in-2020\/attachment\/fred-burke-2-2\/\" rel=\"attachment wp-att-44912\"><img decoding=\"async\" aria-describedby=\"caption-attachment-44912\" class=\"wp-image-44912 size-full\" src=\"https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2020\/07\/fred-burke-2.jpg\" alt=\"fred burke baker mckenzie\" width=\"400\" height=\"255\" srcset=\"https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2020\/07\/fred-burke-2.jpg 400w, https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2020\/07\/fred-burke-2-282x180.jpg 282w\" sizes=\"(max-width: 400px) 100vw, 400px\" \/><\/a><p id=\"caption-attachment-44912\" class=\"wp-caption-text\">Frederick Burke, Baker McKenzie<\/p><\/div>\n<p>Vietnam recently ratified investment laws that make it a more attractive option for foreign investors, Burke said. For instance, the new statutes now allow foreign firms to have 100 percent ownership of warehouse facilities, he said.<\/p>\n<p>The country has also kept in step with the transition to sustainable sourcing approaches by facilitating the adoption of renewable energy such as wind and solar in these industrial projects. \u201cThat\u2019s helping people to choose Vietnam as a location for their supply chain,\u201d Burke said.<\/p>\n<p style=\"text-align: center;\"><div style=\"margin-left: auto; margin-right: auto; text-align: center; \" id=\"mingt-997460861\"><a data-no-instant=\"1\" href=\"https:\/\/www.yardi.asia\/Resource\/?resource=Technology+Transformation+in+Asian+Real+Estate+%28White+Paper%29&#038;utm_source=mingtiandi&#038;utm_medium=website&#038;utm_campaign=wp23ttare\" rel=\"noopener\" class=\"adv-link\" target=\"_blank\" aria-label=\"Yardi &#8211; Asia Proptech Report 2023 v4_250\"><img decoding=\"async\" src=\"https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2023\/11\/Yardi-Asia-Proptech-Report-2023-v4_250.gif\" alt=\"\"  width=\"780\" height=\"250\"  style=\"display: inline-block;\" \/><\/a><\/div><\/p>\n<p>Within Asia Pacific, investors have $20 billion of capital ready to be deployed in logistics properties this year, according to estimates by JLL. A chunk of that dry powder could be invested in emerging markets across Southeast Asia, said Stuart Ross, head of industrial properties in Southeast Asia at JLL.<\/p>\n<h3>E-commerce Booms in Southeast Asia<\/h3>\n<p>\u201cThere\u2019s a lot of growth in Southeast Asia, particularly with the growth of e-commerce,\u201d Ross said. \u201cThere\u2019s been a very strong push towards digital purchases and a greater amount of online activity for retail sales, which is driving faster deployment of capital in these emerging markets into warehouse and logistics properties.\u201d<\/p>\n<div id=\"attachment_44913\" style=\"width: 410px\" class=\"wp-caption aligncenter\"><a href=\"https:\/\/www.mingtiandi.com\/real-estate\/events\/mtd-tv-panel-vietnam-logistics-real-estate-gains-in-2020\/attachment\/stuart-ross-jll\/\" rel=\"attachment wp-att-44913\"><img decoding=\"async\" aria-describedby=\"caption-attachment-44913\" class=\"size-medium wp-image-44913\" src=\"https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2020\/07\/stuart-ross-jll-400x234.jpg\" alt=\"stuart ross jll\" width=\"400\" height=\"234\" srcset=\"https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2020\/07\/stuart-ross-jll-400x234.jpg 400w, https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2020\/07\/stuart-ross-jll-308x180.jpg 308w, https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2020\/07\/stuart-ross-jll-420x246.jpg 420w, https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2020\/07\/stuart-ross-jll.jpg 915w\" sizes=\"(max-width: 400px) 100vw, 400px\" \/><\/a><p id=\"caption-attachment-44913\" class=\"wp-caption-text\">Stuart Ross of JLL<\/p><\/div>\n<p>With an e-commerce sector that is growing at more than 40 percent annually, according to a <a href=\"https:\/\/www.bain.com\/globalassets\/noindex\/2019\/google_temasek_bain_e_conomy_sea_2019_report.pdf\">report<\/a> released by Bain &amp; Co, Google and Temasek in October last year, making it one of the fastest growing regions. The study estimated that the annual gross merchandise value of the Internet economy across Southeast Asia will grow to $300 billion by 2025 from $100 billion last year.<\/p>\n<p>The Vietnamese government wants to get 55 percent of its 97 million people to use e-commerce by 2025, generating annual revenues of $35 billion, Gia Long Nguyen, special counsel at Baker McKenzie said. This online shopping push is whetting the appetite of Baker McKenzie\u2019s foreign clients, who are increasingly looking at opportunities to develop logistics properties in Vietnam, he added.<\/p>\n<p style=\"text-align: center;\"><a data-no-instant=\"1\" href=\"https:\/\/www.mingtiandi.com\/real-estate\/events\/oxford-ivanhoe-kic-savills-on-singapore-india-markets\/\" rel=\"noopener\" class=\"adv-link\" target=\"_blank\" aria-label=\"14 NOVEMBER 2023 conrad centennial Singapore\"><img decoding=\"async\" src=\"https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2023\/11\/14-NOVEMBER-2023-conrad-centennial-Singapore.jpg\" alt=\"\"  srcset=\"https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2023\/11\/14-NOVEMBER-2023-conrad-centennial-Singapore.jpg 780w, https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2023\/11\/14-NOVEMBER-2023-conrad-centennial-Singapore-400x128.jpg 400w, https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2023\/11\/14-NOVEMBER-2023-conrad-centennial-Singapore-640x205.jpg 640w\" sizes=\"(max-width: 780px) 100vw, 780px\" width=\"780\" height=\"250\"   \/><\/a><\/p>\n<p>The live panel session, which was sponsored by real estate software provider Yardi Systems, was viewed by more than 460 attendees, including executives from Blackstone, Brookfield, Morgan Stanley and Goldman Sachs. Together with the two earlier sessions, including <a href=\"https:\/\/www.mingtiandi.com\/real-estate\/logistics\/pandemic-boosts-appeal-of-logistics-assets-says-esr\/\" target=\"_blank\" rel=\"noopener noreferrer\">the spotlight interview with Warburg Pincus head of Southeast Asia Jeffrey Perlman<\/a>, and <a href=\"https:\/\/www.mingtiandi.com\/real-estate\/events\/e-commerce-boom-fuels-apac-logistics-investments\/\" target=\"_blank\" rel=\"noopener noreferrer\">a panel on investments in core markets in the region<\/a> on 14 July, the MTD TV APAC logistics series has now been viewed by more than 5,200 people.<\/p>\n<p>Note: this story has been updated to indicate Vietnam&#8217;s annual e-commerce revenue, as cited by Gia Long Nguyen, of $35 billion. Any earlier version had listed the figure at $25 billion. Mingtiandi regrets the error.<\/p>\n","protected":false},"excerpt":{"rendered":"<div class=\"container-lazyload container-vimeo js-lazyload--not-loaded\">https:\/\/player.vimeo.com\/video\/441959633?h=3d6fe14b8dVideo can&#8217;t be loaded because JavaScript is disabled: Mingtiandi APAC Logistics Series: Panel Discussion on Emerging Markets (https:\/\/player.vimeo.com\/video\/441959633?h=3d6fe14b8d)<\/div>\n<p>Warehouse properties in Vietnam have gained fresh appeal with investors across emerging markets in Asia, benefiting from an e-commerce&#8230;&nbsp;<a href=\"https:\/\/www.mingtiandi.com\/real-estate\/events\/past-events-real-estate\/mtd-tv-panel-vietnam-logistics-real-estate-gains-in-2020\/\">Read&nbsp;More>><\/a><\/p>\n","protected":false},"author":696,"featured_media":200950,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_genesis_hide_title":false,"_genesis_hide_breadcrumbs":false,"_genesis_hide_singular_image":false,"_genesis_hide_footer_widgets":false,"_genesis_custom_body_class":"","_genesis_custom_post_class":"","_genesis_layout":"","footnotes":""},"categories":[4092],"tags":[7094,5382,5359,3013,1594,8380,8400,5497],"ppma_author":[8893],"authors":[{"term_id":8893,"user_id":696,"is_guest":0,"slug":"jonathan-burgos","display_name":"Jonathan Burgos","avatar_url":"https:\/\/secure.gravatar.com\/avatar\/b4806223b47d85a3c2e7e90aa3333a5d?s=96&d=mm&r=g","user_url":"","last_name":"Burgos","first_name":"Jonathan","description":""}],"_links":{"self":[{"href":"https:\/\/www.mingtiandi.com\/wp-json\/wp\/v2\/posts\/44909"}],"collection":[{"href":"https:\/\/www.mingtiandi.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.mingtiandi.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.mingtiandi.com\/wp-json\/wp\/v2\/users\/696"}],"replies":[{"embeddable":true,"href":"https:\/\/www.mingtiandi.com\/wp-json\/wp\/v2\/comments?post=44909"}],"version-history":[{"count":0,"href":"https:\/\/www.mingtiandi.com\/wp-json\/wp\/v2\/posts\/44909\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.mingtiandi.com\/wp-json\/wp\/v2\/media\/200950"}],"wp:attachment":[{"href":"https:\/\/www.mingtiandi.com\/wp-json\/wp\/v2\/media?parent=44909"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.mingtiandi.com\/wp-json\/wp\/v2\/categories?post=44909"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.mingtiandi.com\/wp-json\/wp\/v2\/tags?post=44909"},{"taxonomy":"author","embeddable":true,"href":"https:\/\/www.mingtiandi.com\/wp-json\/wp\/v2\/ppma_author?post=44909"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}