What is the detailed guidance on determining the rent of official housing in Vietnam from August 1, 2024? What are method for determining the rent of official housing in Vietnam?
What is the detailed guidance on determining the rent of official housing in Vietnam from August 1, 2024? What are method for determining the rent of official housing in Vietnam?
According to Article 31 of Decree 95/2024/ND-CP stipulating the method for determining the rent of official housing in Vietnam:
(1) Rent of official housing include management operation costs, maintenance costs, and management rental costs for official residences.
(2) For projects involving the construction of official residences or the purchase of entire commercial housing projects for official residence use, the rental prices are determined as follows:
- Management operation costs include:
+ Salaries and other expenses of the official residence management unit;
+ Costs for services within the official residence area as regulated;
+ Electricity and water costs for the management unit’s office;
+ Public lighting electricity costs, other electricity consumption loads within the housing area, and other costs as regulated;
+ Management service prices for official residences are to be employed according to the framework prices promulgated by the provincial People’s Committee applicable to the area where the official residence is located;
- Maintenance costs for housing include:
+ Comprehensive costs for regular, periodic, and emergency repairs, replacement or repair of equipment, and interior furnishings tied to the official residence;
+ These costs are determined by the investor or management agency of the official residence, According to maintenance procedures for construction projects as dictated by construction law and housing law;
- Management rental costs include: indirect management costs of the official residence management agency and direct management costs of the operation management unit, which are determined as a percentage (%) of the total management operation and maintenance costs as decided by the home-owning representative agency.
(3) For circumstances where only a number of commercial apartments in a commercial housing project are bought for use as official residences:
- Operation management expenses follow regulations for managing apartment buildings;
- Maintenance costs for housing and management rental costs are determined as stipulated in point b and point c, paragraph 2, Article 31 of Decree 95/2024/ND-CP.
(4) The formula for determining the rental price of official residences is applied in the case of constructing official residence projects, purchasing entire commercial housing projects for rental, or buying some commercial apartments within commercial housing projects for use as official residences:
Where:
Gt is the rental price for 1 m2 of apartment usage in 1 month (VND/m2/month).
Q is the total annual operation management, rental management cost of the official residence area (VND/year).
Bt is the average annual maintenance cost inside the apartment and associated interior furnishings (VND/year).
Tdv are revenues from business services in the official residence area as regulated by law (VND/year).
S is the total usable area of the apartments in the official residence area (m2).
T is the value-added tax rate as regulated by the law on value-added tax.
Note:
- Revenue from renting official residences is used for maintaining the official residence, interior furnishings, and costs for operation management and rental management;
If rental revenues for the official residence are insufficient for maintenance and operation management of the entire official residence, the state budget will provide additional support to cover the shortfall. This follows the principle that the central budget covers official residences managed by central agencies, and the local budget covers official residences managed by local agencies.
- According to the method for determining Rent of official housing stipulated in Article 31 of Decree 95/2024/ND-CP, the provincial People’s Committee is responsible for issuing a rental price framework for official residences managed by the locality.
What is the detailed guidance on determining the rent of official housing in Vietnam from August 1, 2024? What are method for determining the rent of official housing in Vietnam? (Internet image)
What are contents of decision on investment and decision on developers of official housing investment and construction projects in Vietnam?
According to paragraph 3 of Article 27 of Decree 95/2024/ND-CP on the contents of decision on investment and decision on developers of official housing investment and construction projects in Vietnam:
- Project name;
- Developer’s name;
- Objectives, scope, scale, and location of project implementation;
- Total investment, capital structure, capital allocation plan for project implementation;
- Related costs during implementation and post-investment operation;
- Component projects or investment phases (if any);
- Responsibilities of relevant agencies and units in project implementation.
What are regulations on application for decision on investment and decision on developers of official housing investment and construction projects in Vietnam?
According to paragraph 1 of Article 27 of Decree 95/2024/ND-CP, the application for decision on investment and decision on developers of official housing investment and construction projects in Vietnam includes:
(1) Proposal for decision on investment and Developer's decision including the necessity of project investment; objectives and main contents of the project feasibility study report; proposed contents for the decision on investment and Developer’s decision;
(2) Decision on investment policy for the project by the competent authority;
(3) Project feasibility study report;
(4) Other related documents (if any);
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