Phat Dat Real Estate Development Joint Stock Company announced it recently signed a memorandum of understanding (MoU) with Lotte Properties HCMC, a Lotte Group member, for the Thu Thiem Eco Smart City project.

Located in functional area 2A (now An Khanh ward, Ho Chi Minh City), the project was proposed in 1997 with an investment exceeding 20,100 billion VND. This represents one of the few remaining central land parcels suitable for a large-scale mixed-use complex, featuring financial, service, and residential components.

Lotte Group signed a contract for this project with the Ho Chi Minh City People's Committee in mid-2017 and began construction in September 2022. Last year, Lotte proposed terminating the project due to challenges but later expressed a desire to proceed once issues were resolved. The company suggested adjusting the ownership ratio among its member companies and attracting external investors for up to 35%.

In an announcement on the morning of 27/5, Phat Dat highlighted the signing with Lotte as a significant step in their partnership.

At the annual meeting last month, Nguyen Van Dat, Chairman of Phat Dat's Board of Directors, expressed strong interest in the Thu Thiem Eco Smart City project. He noted Phat Dat was Lotte's second-priority partner for this venture. If the primary partner failed to reach an agreement, Phat Dat would have the opportunity to participate.

Outside the Thu Thiem Eco Smart City project site, September 2025. *Photo: Phuong Dong*

A week ago, Phat Dat sought shareholder approval for a "significant investment policy," as it constitutes over 35% of the company's asset value, equating to at least 9,300 billion VND. The company, however, did not directly name the Thu Thiem Eco Smart City project. This marks Phat Dat's largest deal in approximately five years.

According to Dat, the company plans to develop projects around Ho Chi Minh City and Dong Nai. Its two main pillars are commercial real estate and build-transfer (BT) projects, with BT investments primarily aimed at creating land banks for commercial real estate.

The company anticipates total revenue of 8,830 billion VND and pre-tax profit of 1,788 billion VND this year, representing increases of 350% and 174% respectively compared to last year.

PDR shares saw significant movement yesterday following news of the Lotte Group cooperation. The stock surged to its maximum allowed limit, reaching nearly 17,000 dong, its highest price in about three months.

*Phuong Dong*