Khang Dien House: Valuation reset, compelling upside

Research evidence excerpt

Khang Dien House: Valuation reset, compelling upside

Khang Dien House UBS Research

UBS Research THESIS MAP Thesisa guideMapto our thinking and what´s where in this report

Pivotal Questions Q: Can government policy revitalise Vietnam’s real estate sector?

Yes, in our view. Vietnam has been expediting revisions to and implementation of its urbanization

master plans, underpinned by infrastructure-driven policy support. While rezoning may occasionally

dampen buyer interest and transaction volumes in the near term, over the longer term it should

benefit all stakeholders, including buyers, developers, and the government, by improving living

standards and supporting economic development.

Median apartment and townhouse prices psf both cooled down QoQ in Q226 07/06/2026

Q: Can KDH leverage the recovery momentum from 2027E onwards?

Yes, in our view. We believe KDH's extensive landbank in Ho Chi Minh City will effectively address the

significant demand, particularly in light of the limited supply in recent years. The company has

established a strong reputation for adherence to legal standards and competitively priced products

that meet most market needs, thereby addressing the primary concerns of potential buyers.

Furthermore, with one of the lowest net gearing ratios in the industry (35% in 2025), we think KDH is

well-positioned to capitalise on its healthy balance sheet in a favourable M&A environment.

Khang Dien House - Gaining recovery momentum; initiate at Buy 05/05/2025

UBS VIEW We maintain Buy rating on Khang Dien House (KDH). KDH’s 510-hectare land bank, located entirely

in Ho Chi Minh City, positioned to address the significant short of supply in the city. KDH has

established a strong reputation as a reliable developer over the past two decades, recognised for its