Existing barriers restrain development of social housing projects

According to representatives of the Real Estate Association of Ho Chi Minh City, the current legal regulations are not synchronized, or overlapped; therefore, they have restrained the development of social housing projects.

 

Existing barriers restrain development of social housing projects  ảnh 1 At the meeting (Phtoto: SGGP)
Representatives proposed the Ho Chi Minh City National Assembly Deputies Delegation have comments on adjusting and supplementing several contents to facilitate the development of social housing projects.
On July 26, the Ho Chi Minh City National Assembly Deputies Delegation worked with the Ho Chi Minh City Real Estate Association and several real estate companies in the city to supervise the implementation of the Housing Law in the southern metropolis from January 1, 2016, to December 31, 2021.
At the meeting, Mr. Le Hoang Chau, Chairman of Ho Chi Minh City Real Estate Association, said that now there are many businesses that are very enthusiastic about the construction of social housing.
However, many existing problems related to legal regulations have caused difficulties for businesses; especially the issues related to the application for investment policy, tax exemption and reduction, land use levy, and regulations on rebuilding old apartments.
Mr. Le Huu Nghia, General Director of Le Thanh Construction Trading company specializing in implementing social housing projects in Ho Chi Minh City complained that the project application procedure usually takes about five years to complete.
The time to carry out the procedures is too long, while the standard profit of the social housing project is up to 10 percent which is lower than interest rate of savings deposit , so when the project is completed, developers are no longer profitable. profit.
Besides, currently, social housing construction enterprises have not yet received the support policies as prescribed.
To solve these above-mentioned problems, representatives of the Real Estate Association of Ho Chi Minh City and businesses proposed the National Assembly Delegation to have opinions on adjusting a number of regulations that have not yet ensured the uniformity and consistency between the Housing Law and other sub-law documents.
At the same time, it is recommended that city authorities should amend problems within the competence of the city so that businesses can access proper capital and enjoy policies in accordance with the law.
Existing barriers restrain development of social housing projects  ảnh 2 Mr. Le Hoang Chau, Chairman of Ho Chi Minh City Real Estate Association, speaks at the meeting (Phtoto: SGGP)
Regarding the investment procedures for social housing projects, Mr. Huynh Thanh Khiet, Deputy Director of the municipal Department of Construction, said that the Department of Construction has now completed the construction of investment procedures for this type of housing which will be submitted to the People's Committee in Ho Chi Minh City for consideration. When this process is approved, the legal procedure for a social housing project will be about 120 days.
Concluding the meeting, Deputy Head of the Ho Chi Minh City's National Assembly delegation Van Thi Bach Tuyet thanked the units for preparing detailed reports and taking note of comments and recommendations at the meeting.
At the same time, Ms. Van Thi Bach Tuyet suggested that the units continue to synthesize and send in writing to the city's National Assembly Delegation to summarize unresolved problems during the working session to send to the National Assembly.

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