Lotte and Phat Dat Officially Sign Investment Agreement for Lotte Eco Smart City Thu Thiem Project
Strategic Agreement Between Two Major Corporations in Ho Chi Minh City on June 26, 2026
On June 26, 2026, in Ho Chi Minh City, Lotte Group (South Korea) and Phat Dat Real Estate Development Joint Stock Company (stock code: HOSE: PDR) officially signed the Investment Cooperation Agreement for the Lotte Eco Smart City Thu Thiem project, marking a significant step in the development of smart cities in Vietnam.
The event took place against a backdrop of positive developments in the southern real estate market, particularly in the central area of Ho Chi Minh City. The Lotte Eco Smart City project is expected to become a new symbol of modern, sustainable urban development in Vietnam.
Introduction to Participating Parties
Lotte Group
Lotte Group is one of the largest conglomerates in South Korea, operating across multiple sectors including retail, hotels, entertainment, food, chemicals, construction, and real estate. With extensive experience developing large-scale projects globally, Lotte has been investing significantly in the Vietnamese market with projects such as Lotte Center Hanoi, Lotte Marts nationwide, and most recently, a complex project in Ho Chi Minh City.
Phat Dat Real Estate Development Joint Stock Company
Phat Dat (stock code: PDR) is a reputable real estate enterprise in Vietnam with experience implementing numerous residential projects, villas, urban areas, and shopping centers across the country. With strong financial capacity and years of real estate development experience, Phat Dat has become a trusted partner of many major international corporations in large-scale projects in Vietnam.
Detailed Information About the Lotte Eco Smart City Thu Thiem Project
The Lotte Eco Smart City Thu Thiem is a high-energy-efficient urban complex project, developed on a total area of approximately 100 hectares in the new Thu Thiem urban area, District 2, Ho Chi Minh City. The project is planned with a total estimated investment of about $5 billion, making it one of the largest real estate projects in Vietnam in recent years.
The project is designed according to a smart city model, integrating advanced technology into every aspect of urban life, from energy management, smart transportation, security, to utility services for residents. The project aims to create a modern, sustainable, and environmentally friendly living space.
Main Components of the Project
- High-end apartment area with over 10,000 units
- Villa and commercial townhouse area
- Large-scale shopping center
- Grade A office space
- 20-hectare central park
- International school system
- International general hospital
Cooperation Content Between Lotte and Phat Dat
According to the signed agreement, Lotte will serve as the main investor, providing technology and global smart city development experience. Phat Dat will be the development partner in Vietnam, responsible for legal procedures, marketing, and project management locally.
Both parties will share risks and profits from the project, with specific capital contribution ratios to be announced in the near future. The project implementation is expected to proceed in phases, with the first phase beginning in the fourth quarter of 2026.
Economic and Urban Significance
The Lotte Eco Smart City Thu Thiem project is expected to bring numerous economic and social benefits to Ho Chi Minh City and Vietnam:
- Create approximately 50,000 direct and indirect jobs during construction and operation
- Significantly contribute to the city's budget through various taxes and fees
- Enhance the image of Ho Chi Minh City as a regional economic and financial center
- Provide high-quality living and working spaces, attracting foreign experts
- Promote the development of smart urban technical infrastructure in Vietnam
Future Vision
According to representatives from both parties, the Lotte Eco Smart City Thu Thiem project is not just a regular real estate project but a model for sustainable future urban development. The project will operate on the principle of a "city within a city," self-sufficient in energy, efficient in waste management, and minimizing environmental impact.
Both Lotte and Phat Dat reaffirm their long-term commitment to the Vietnamese market and will continue to seek cooperation opportunities in other projects in major cities nationwide.
Expected Implementation Timeline
| Phase | Timeline | Main Tasks |
|---|---|---|
| Phase 1 | Q4/2026 - 2028 | Complete legal procedures, site clearance, and technical infrastructure construction |
| Phase 2 | 2029 - 2032 | Construct high-end apartment areas and shopping centers |
| Phase 3 | 2033 - 2035 | Complete villa and townhouse areas and public works |
| Completion | 2036 | Finalize and bring the entire project into operation |
Conclusion
The signing of the cooperation agreement between Lotte and Phat Dat for the Lotte Eco Smart City Thu Thiem project marks an important milestone in the development of smart urban real estate in Vietnam. With the combination of Lotte's international experience and Phat Dat's local capabilities, the project promises to create a world-class living and working space, contributing to changing the urban landscape of Ho Chi Minh City in the coming years.
This is not only a success for the two enterprises but also evidence of the strong development of Vietnam's real estate market, attracting world-class strategic investors.