Danang will become more attractive to tourists and individual investors seeking second homes in the central region. The municipal people’s committee is to woo tourists by permitting a marina and tourism property complex to be built by a joint venture between VinaCapital’s Danang Marina Investment Limited and local firm Quoc Cuong Gia Lai.

The joint venture has just gained investment certificate for building a marina, a water sport and entertainment park and a complex of coastal condos, villas, a hotel and office buildings.

The $174 million project will be located in Son Tra district’s Nai Hien Dong commune, three kilometres from Danang’s city centre and cover 11 hectares of land and 6ha of water surface. The first marina project ever licenced in Danang will be operational by 2018.

“This project is unique in central region. It will make the city more attractive to tourists,” said Lam Quang Minh, director of the Danang Investment Promotion Centre. He said the project, with a luxurious marina, sport and entertainment park, would underscore Danang as a famous coastal tourism destination like Phuket in Thailand or Bali in Indonesia.

Home to nice beaches and close to world heritage sites such as the ancient capital of Hue, My Son holy land and Hoi An ancient town, Danang is luring in lots of local and foreign tourists. But, while many investors are developing luxurious resorts in Danang, the city does not have many sites to satisfy tourists’ entertainment demands.

“Tourism property projects consist of a marina, sport and an entertainment park is what we need now,” said Minh.

Last year, Danang Port Holding Limited Liability Company signed a memorandum of understanding with Singapore Cruise Centre for building an international cruise hub in Danang, expecting to tap into the growing cruise industry demand in South East Asia. However, the cruise hub project has not yet to be licensed.

A marina at the newly licenced project of VinaCapital and Quoc Cuong Gia Lai will not only promote tourism attractiveness of the city, but also attract individual investors, who are seeking second homes in central region.

Currently, Danang is one of the largest second home markets in Vietnam with tens of projects. A report of property consultancy CBRE showed that Danang has 55 tourism property projects with total investment capital of around $3 billion.

Foreign developers like Indochina Capital, VinaCapital and Daewon Group are developing Hyatt Regency Danang Resort and Spa project, Danang Beach Resort project and Daewon Da Phuoc project respectively in Danang. Meanwhile, local developers also joined the race with projects like Furama Resort, Son Tra Spa and Resort and Vinpearl Danang Resort & Residences.

The supply of second homes is rising in this market, but Minh said facilities like a marina and a sport and water entertainment park would ensure the success of VinaCapital and Quoc Cuong Gia Lai’s project.

CBRE also said in a report on Vietnam’s second home market that building a marina, water sport and entertainment facilities was new wave for luring home buyers.