BIDV picked to develop Thu Thiem land lot

Covering about 23,000 square meters, the land lot in Thu Thiem which was earlier put up for bidding is located along the East-West Highway in An Thanh Dong ward in Ho Chi Minh City’s District 2.

It is planned to be developed into a commercial building project of multiple functions, including some 80 per cent set aside for offices areas, 10 per cent for retail spaces and the remainder for housing.

Nguyen Le Dung, deputy head of Thu Thiem Authority, said Shindo, a South Korean company, had also showed keen interests in the land but it was eliminated due to the unqualified bidding document. Now the local government has agreed in principle to allocate the land to BIDV.

The starting price for the bidding round of the land, which is the second area of Thu Thiem to be given to BIDV, was set at VND62.5 million (some $3,000) a square meter.

The city had previously handed over to BIDV a 25-hectare area in An Thanh Dong ward along the highway. The land will be constructed into a low-storey residential area of no more than eight levels.

Regarding resettlement schemes, Dung said Thu Thiem Authority in May had signed a contract with Duc Khai JSC to purchase apartments of the Binh Khanh resettlement project. As such, the city will arrange roughly VND1.1 trillion to buy 1,080 flats from the scheme.

Based on the contract, Thu Thiem Authority calculated it will spend about VND4 trillion buying 4,216 condos of the Binh Khanh residential area developed by 21st Century International Development Co.

Beside, the city is also calling for the participation of another investor to replace South Korea’s Daewon as the company has withdrawn from the 2,200-flat resettlement project in this urban area.

The city already asked the authorities of District 2 to review local demands for resettlement so that it will arrange tenders for land use rights of some 900 land lots of the 90-hectare Nam Rach Chiec resettlement area.

Some 710 out of 720 hectares of the new urban area have been cleared. Meanwhile, construction of the four backbone routes in the locality will get off the ground in the near future.

Dung said the municipal government had spent approximately VND16 trillion on site clearance compensation in District 2, with loans worth about VND10 trillion for local infrastructure development.