Behind the scenes of the USD-1.5-billion project: Why did The Trump International choose Kinh Bac?

Less than a year from signing to the start of construction, the USD-1.5-billion Trump International Hung Yen project has made the public curious: What has made the process so fast? Mr. Dang Thanh Tam, Chairman of the Board of Directors of Kinh Bac, shared exclusively with Forbes Vietnam the story behind the cooperation with The Trump Organization in this project.

The USD-1.5-billion project took place 'rapidly' from signing to commencement. Could you share the real story behind this collaboration?

Mr. Dang Thanh Tam:  The Khoai Chau golf course complex project has been studied by us since 2023. In 2024, it was continued to complete the preparation steps, put it into the planning of Hung Yen province and was approved by the Prime Minister. The project was actually signed on September 25, 2024, before the US presidential election. Thus, if you had known that the project had been prepared very carefully in advance, it would have been completely understandable to start construction at this time.

Earlier this year, we received a high-tech investor in Hung Yen - a USD-500-million project being licensed and taken less than a month to commence. Thus, the golf course complex is not an exceptional case. The current Vietnamese government has a very clear policy: projects with large capital, high technology and in the field of encouragement are prioritized, similar to many other countries.

Trump International Hung Yen is positioned as the most high-end golf course in Vietnam, with Trump 5++ resort exceeding current standards. We hope to create a new push for tourism around Hanoi, contributing to promoting Vietnam's image to the world.

To be honest, the government is currently very dynamic and transparent, so the fact that large investors are licensed quickly is gradually becoming a familiar image.

Was Kinh Bac "chosen" or Was this the result of the company's strategy of proactively approaching international partners? What are the key factors that convince Kinh Bac of The Trump Organization?

Mr. Dang Thanh Tam: From an industrial park developer, Kinh Bac has expanded into the field of social housing, providing a large housing fund for workers in high-tech parks – which has attracted many manufacturing corporations for Apple such as Foxconn, Luxshare, Goertek and LG partners with a total investment of tens of billions of USD.

Grasping the passionate needs of investors, especially from Korea, Japan and Vietnam, we have thoroughly researched and prepared the project in a professional and methodical way. The project receives support from major international partners, leading experts, and the companionship of the company's key staff, family and friends.

The number of international investors renting land to build our factories such as Korean and Japanese investors is increasing, and most of them are high-class golfers. Therefore, our participation in this high-end golf course project not only increases its attractiveness, but also provides more high-quality services to customers in our industrial parks.

President Donald Trump visited Vietnam twice during his first term and showed his love for our country. Thanks to the support of local leaders, especially Hung Yen Secretary, and on the occasion of General Secretary To Lam's business trip to attend the United Nations General Assembly in New York on September 2024, we signed a cooperation agreement with partners and the People's Committee of Hung Yen province, marking an important step forward of the project.

It is indeed not easy to be chosen, because The Trump Organization is a huge global brand. They only work with those who are transparent, not involved in money laundering or on the government's watch list. After checking and seeing that I was 'clean', they just started cooperating.

With a scale of USD 1.5 billion, what is the capital structure and the division of roles between Kinh Bac, IDG Capital and The Trump Organization? On Kinh Bac's side, how does the company raise capital for this project?

Mr. Dang Thanh Tam: Kinh Bac's total debt is currently only 50% of equity, much lower than the average loan which is 3 times the capital of listed enterprises. We are committed to lending by major banks in Vietnam.

Investment funds are also very supportive. Kinh Bac is implementing a project of over VND 80,000 billion, so the investment in the VND-40,000-billion project is not too big. IDG Capital is ready to act as a focal point for financial arrangements and also participate in capital. Thus, in terms of capital, we do not have any obstacles because the nature of the project is quite feasible.

On the groundbreaking day of the Trump Hung Yen project, a large number of people came to film, expressing their joy and welcoming Mr. Eric Trump, Vice Chairman of the Trump Organization, and his wife Lara Trump. Many people in Hung Yen also invited us to a party to thank us for bringing the project to the locality, which was very touching.

How is this project positioned in the long-term development strategy of Kinh Bac, which is known as a strong unit in industrial real estate and housing in industrial parks?

Mr. Dang Thanh Tam: Perhaps many people do not know that I have entered into a joint venture with Saigontourist to invest in building and owning many hotels throughout Vietnam, so the tourism field is no stranger to us.

Therefore, when favorable conditions come, we deploy very quickly! At the same time, we understand the Trump brand value and have great faith in The Trump Organization and its high international standards.

Although built a few decades ago, their golf course and villa still retain their value and are not outdated. Their membership is considered one of the top clubs in the world, with the waiting list for membership in the United States still very long. On the day of the start of construction, many golfers registered for membership – this is a vivid and rare proof that not any brands could achieve.

After the groundbreaking ceremony, what is the actual implementation progress now, sir?

Mr. Dang Thanh Tam: The total estimated time to complete the project is 4 years, with the first phase including 2 high-class golf courses, qualified to hold major golf tournaments in the world, along with a comfortable clubhouse, a chain of luxury villas and a part of the resort put into operation.

The key factor is the quality of high-class works. We have extensive professional support from The Trump Organization's experts, from design to construction, every step follows a strict process.

As soon as it is completed, the project will be handed over to the Trump Organization to manage and operate, ensuring the quality standards of the Trump brand.

In the process of working with The Trump Organization, what factors do you see are most interested in in the Vietnamese market?  What are the keys to convincing partners like The Trump Organization to accompany you?

Mr. Dang Thanh Tam: The Trump Organization cares comprehensively: from policies, investment environment to long-term growth potential. However, what impresses them the most is the Vietnamese people, who are still struggling today but will develop rapidly and deserve to enjoy world-class utilities and services like the Trump project.

Therefore, they expect this project to become a model of service quality and top-class experience: from golf courses, hotels and resorts with Trump-style, to high-end villas, contributing to creating a push in attracting both domestic and foreign tourists.

The project combines the modern style of The Trump Organization, a major brand of the United States, with the depth of Vietnamese cultural history, when implemented right near Pho Hien Cultural Historical Site. Thereby, the project does not only highlight the increasingly good cooperative relationship between Vietnam and the United States, in line with the stature of the comprehensive strategic partnership, but also contribute to the new era of development of the Vietnamese nation.

The: https://forbes.vn/