Plan for assignment of temporary residence for apartment owners and inhabitants during implementation period of apartment renovation and reconstruction projects in Vietnam

 Plan for assignment of temporary residence for apartment owners and inhabitants during implementation period of apartment renovation and reconstruction projects in Vietnam (Internet image)

Regarding this matter, LawNet would like to answer as follows:

1. Plan for assignment of temporary residence for apartment owners and inhabitants during implementation period of apartment renovation and reconstruction projects in Vietnam

According to Article 23 of Decree 69/2021/ND-CP, assignment of temporary residence for apartment owners and inhabitants during implementation period of apartment renovation and reconstruction projects must be identified in compensation solutions as follows:

- In case owners manage their residence, project developers are responsible for incurring rent and other costs (if any) during project implementation period according to approved compensation solutions.

- In case owners cannot manage their residence, People’s Committees of provinces where the projects take place are responsible for taking charge and cooperating with project developers in assigning temporary residence for owners in form of: purchasing commercial houses or using relocation housing funds or investing in housing fund with budget funding sources or from Development Investment Fund, Housing Development Fund of local governments (if any) to prepare temporary residence.  

- In case inhabitants are renting houses owned by the state, People’s Committees of provinces are responsible for designating temporary residence or paying the inhabitants to manage their own residence during project implementation period according to housing laws.

- Designation of temporary residence must be convenient for daily activities of owners and inhabitants; in case of investing in housing fund to designate temporary residence, requirements for housing construction standards, regulations and quality must be met; in case temporary houses are eligible for sale and owners who are living in temporary houses wish to purchase, sell these houses to owners instead of relocating; sale price of said houses and settlement of the difference amount (if any) shall be identified in a manner similar to the case of compensation, financing, and relocation under compensation solutions.

2. Principles and details of compensation, financing, relocation, and temporary residence solutions for apartment owners and inhabitants in Vietnam

Principles and details of compensation, financing, relocation, and temporary residence solutions for apartment owners and inhabitants according to Article 20 of Decree 69/2021/ND-CP are as follows:

- Development and implementation of compensation solutions applying to apartment renovation and reconstruction must comply with following principles:

+ comply with Article 4 of Decree 69/2021/ND-CP; relocation flats must satisfy national technical regulations and standards on apartment buildings as per the law;

+ include regulations under Clause 2 of Article 20 of Decree 69/2021/ND-CP and be prepared on the basis of approved detail planning or overall premise drawing and architectural solutions;

+ allocation of relocation houses shall be implemented via relocation house purchase, lease, lease purchase agreements in a manner that guarantees benefits of apartment owners and inhabitants;

+ compensation, financing, relocation, and allocation of temporary residence must be transparent, objective, and compliant with compensation solutions approved by competent authority. Expenditure on organizing compensation, financing, and relocation is determined in total project investment;

+ in case apartment buildings are required to be deconstructed as per approved planning for construction of other buildings but not apartment buildings (including cases under Clause 4 Article 13 of Decree 69/2021/ND-CP), apartment owners may choose compensation in form of money or relocation to other locations.  

In case of relocation to other locations, may allocate construction projects for relocation houses or commercial houses in the same communes or districts if such buildings are not available in communes; in case such buildings are not available in districts, allocate in other projects in adjacent districts or if apartment owners demand to, may purchase, rent, rent purchase local social houses according to housing laws.  For compensation in form of separate houses according to Clause 4 Article 21 of Decree 69/2021/ND-CP, do not implement relocation at original locations while People’s Committees of provinces are responsible for planning for other locations according to principles of determining locations under this Point;

+ apartment owners being relocated shall be issued with certificate according to regulations and law on land and houses and are not required to submit land levy for land area where they are relocated to (including cases where they are relocated to other locations or purchase temporary residence), except when owners own apartments owned by the state.

- Compensation solutions include:

+ Name and address of apartment owners and inhabitants;

+ Location and area of original houses, area of relocation houses;

+ Sale price, lease price, rental price of relocation houses and other constructions (if any); value of houses and other constructions (if any) for relocation;

+ Prices for calculation of compensation for houses and other constructions (if any); compensation value of houses and other constructions (if any);

+ Difference value of project developers or owners to be settled (if any);

+ Project implementation time; completion time of compensation, financing, relocation, and assignment of temporary residence; transfer time of relocation houses;  

+ Assignment of temporary residence; expenditure on temporary residence;

+ Details under Article 21, Article 22, and Article 23 hereof and other relevant details (if any).

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