Rose Rock Group, a China-focused real estate investment and development firm founded by the Rockefeller family, has inked its first investment outside of China with a funding commitment to a $2.5 billion community resort development on the south coast of Vietnam, according to a joint statement.
Rose Rock has signed an agreement with domestic petroleum company Vung Ro Petroleum to “cooperate” on the construction and development of the Vung Ro Bay resort. The financial details of Rose Rock’s investment were not disclosed, and PERE understands that the size of the firm’s equity commitment still is being determined.
The resort will have convenient links to the city of Tuy Hoa and its airport, with the goal of attracting business and tourist visitors as well as permanent residents. The commercial floor area is expected to total approximately 2.2 million square feet, including retail space, restaurants and several hotels. A total of 4,300 apartments and 100 luxury townhouses also are planned.
The development is expected to cost $2.5 billion overall and take between four and eight years to complete. The plans for Vung Ro Bay already have won some industry awards, and it is understood that Rose Rock intends to stay involved for the entire development period.
“We look forward to making this development an outstanding and preferred destination in the Asia-Pacific region for visitors and a lifestyle choice for residents,” Rose Rock president Collin Eckles said in the statement. “We look forward to bringing unique and differentiating occupiers to the project from our global network to provide compelling value enhancing content to Vietnam.”
Kirill Korolev, chief executive and general director at Vung Ro Petroleum, also pointed to Vietnam’s high growth rate and favorable demographics as an encouraging sign for investors.
Though a private firm, Rose Rock has not raised commingled funds as of yet. It also is currently working on another $2 billion development project in Tianjin’s financial district alongside the Tianjin Finance Investment Company.