Vietnam: Proposing a plan to appoint investors for social housing construction projects that are invested in construction other than with public investment capital?
- What are the regulations on the selection of investors to build social housing construction projects in Vietnam?
- Is there a proposed plan to appoint investors for construction projects of social housing projects invested in construction other than with public investment in Vietnam?
- What are the procedures for selecting investors of social housing projects for social housing construction investment projects that are invested in construction other than with public investment capital in Vietnam?
What are the regulations on the selection of investors to build social housing construction projects in Vietnam?
Pursuant to Clause 2, Article 57 of the 2014 Law on Housing in Vietnam, the selection of investors of social housing construction projects for social housing invested other than with capital sources or forms specified in Clause 1, Article 53 of the 2014 Law on Housing in Vietnam, the provincial-level housing management agency shall report to the provincial-level People's Committee for selection of the owner The private provisions are as follows:
+ With respect to the social housing which is constructed on the piece of land allocated or leased by the State, if there are more than one investors registering for being the investor(s), they shall be selected through inviting bids; if there is only one investor registering for being the investor, he/she shall be appointed;
+ With respect to the social housing which is constructed on the piece of land resaved in a project for commercial housing construction as prescribed Clause 2 Article 16 of this Law, the investor in that project shall be appointed as the investor in the project for social housing construction, unless the State allocates such piece of land to other organization for social housing construction;
+ In case any enterprise or cooperative has lawful piece of land in conformity with the planning for housing construction, meets all requirement for being the investor and wishes to build social housing, such enterprise or cooperative shall be assigned as the investor in the project for social housing construction;
+ In case the social housing is constructed to provide accommodation for workers in a industrial park, any enterprise providing infrastructure services, manufacturing enterprises, or real estate enterprises shall be assigned as the investor in the project by the State.
- Investors building social housing specified in Clauses 1, 2 and 3, Article 57 of the Law on Housing in Vietnam 2014 shall build social housing in accordance with the Law on Housing in Vietnam 2014.
Vietnam: Proposing a plan to appoint investors for social housing construction projects that are invested in construction other than with public investment capital?
Is there a proposed plan to appoint investors for construction projects of social housing projects invested in construction other than with public investment in Vietnam?
Proposing in Clause 2, Article 97 of Draft 2 of the Law on Housing in Vietnam (amended), for social housing construction investment projects invested not with public investment capital or foreign state investment, the selection of investors shall be made by two options as follows:
- Option 1: Keep the current provisions in Clause 2, Article 57 of the Law on Housing in Vietnam 2014;
- Option 2: Appoint the investor of the social housing construction project
+ In case the State allocates land or leases land for the construction of social housing without bidding for projects using land, the competent agency shall approve the investment policy and at the same time approve the investor for eligible investors according to the Government's regulations;
+ In case the land fund must be set aside in an investment project to build commercial houses or urban areas for the construction of social housing as prescribed in Clause 2, Article 96 of this Draft, the investor of such commercial housing construction project or urban area shall concurrently assume the position of investor of the social housing construction investment project;
+ In case organizations, households or individuals have residential land or other land other than residential land in conformity with the master plan, land use plan or urban planning, are eligible to be investors of social housing construction projects as prescribed in this Draft and have a need to build social housing, the competent agency shall approve it investment policies and at the same time approve the investor for such organizations, households and individuals.
What are the procedures for selecting investors of social housing projects for social housing construction investment projects that are invested in construction other than with public investment capital in Vietnam?
The guidance in Clause 2 Article 8 of Decree 100/2015/ND-CP amended by Clause 7 Article 1 of Decree 49/2021/ND-CP for social housing construction investment projects invested not with public investment capital or foreign state investment, the selection of investors shall be as follows:
- For cases provided for in Point a Clause 2 Article 57 of the Law on Housing in Vietnam, investors shall be selected in accordance with regulations of law on bidding;
- For cases provided for in Point c Clause 2 Article 57 of the Law on Housing in Vietnam, investors shall be selected in accordance with regulations of law on investment. Investors applying to be investors of social housing projects must be licensed for real estate trading according to regulations of law on real estate trading and determined as investors of social housing projects in the written approval for investment guidelines;
- For cases provided for in Point d Clause 2 Article 57 of the Law on Housing in Vietnam, investors shall be selected in accordance with regulations of Law on Housing in Vietnam. Investors applying to be investors of social housing projects must satisfy financial conditions for project performance according to regulations of law on land and relevant law provisions.
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