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Nam Long Investment (NLG VN) – Q2 2025 – Presales Surge 24.5%, Suburban Demand Rises
Summary of Q2 2025 results and outlook of Nam Long Investment (NLG VN)
- The Hanoi and HCMC markets saw a quarterly increase in new apartment supply, supported by further easing of legal procedures. New launches remained concentrated in the high-end segment, leading to higher prices and softer absorption. In contrast, more affordable projects in suburban areas along key infrastructure corridors attracted stronger demand, reinforcing the shift in homebuyer preference toward outer suburbs for affordability. Meanwhile, low-rise projects in satellite cities with limited infrastructure connectivity continued to face subdued demand. Looking ahead, new supply is expected to increase further in satellite areas at more affordable price points, supported by continued policy tailwinds and ongoing infrastructure upgrades.
- Presales performance during the period was largely driven by demand from investors. Total presales reached VND3,334 bn (+24.5% y/y), with 65% of the value contributed by a low-rise project in Long An province (~40 km from HCMC’s CBD). The performance was largely driven by the sale of 60 high-value villas, each priced above VND30 bn. Given the premium pricing, misaligned with current market demand, it is likely that most buyers were investors rather than homebuyers. Meanwhile, low-rise/land lot projects in Can Tho and Dong Nai recorded moderate absorption, while current mid-end apartment phases in HCMC are nearly sold out.
- NLG delivered 798 units across its apartment projects in HCMC and low-rise/land-lot developments in Long An and Can Tho, generating project development revenue of VND2,046 bn (+102.9% y/y).
- Looking ahead, sustained demand for mid-end housing in HCMC is expected to support its upcoming apartment launches in the city. The government’s ongoing infrastructure push, aimed at driving economic growth, is expected to enhance regional connectivity and gradually shift housing demand toward suburban areas. Backed by a sizable, cleared land bank in satellite provinces such as Long An, Dong Nai, and Can Tho, NLG is well-positioned to maintain solid sales performance in the coming years.
- For H2/2025, presales growth will be driven by the launches of new phases of several low-rise projects in satellite provinces, along with one mid-end apartment development in HCMC.
Interested in NLG? Click here to read more of our previous analysis on NLG’s quarterly earnings.
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