Lotte Group Revives Stalled Smart City Project in Ho Chi Minh City
Lotte Group has received approval from Ho Chi Minh City to adjust its shareholding structure and proceed with its stalled smart city project in Thu Thiem New Urban Area. The city has also granted exemptions from supplementary land-use fees for the project.
Lotte Properties HCMC Co., Ltd. initially sought to terminate the Lotte Eco Smart City project due to legal entanglements, including high land use fees. The project, worth VND20.1 trillion ($761.8 million), was set to cover 50,000 square meters and include a mix of commercial and residential spaces.
The city's Department of Finance received a termination notice on August 20, 2025, but the reason was not specified. However, Chairman Nguyen Van Duoc has since reiterated the city's support for both domestic and foreign investors, including Lotte. In a recent working session with the municipal People's Committee, Jun Sung Ho, CEO of Lotte Properties HCMC Co., Ltd., expressed the company's wish to resume the project.
With the city's approval, Lotte Group can now adjust its shareholding structure to bring in external investors with stakes of up to 35% and proceed with the Lotte Eco Smart City project, exempt from the additional 5.4% land use fees. This move is expected to boost investment and development in the Thu Thiem New Urban Area.
