Golden southern hub plots are losing their shine

Vincom Center is among the few projects in prime locations advancing forward

Except for Vincom’s Eden project on Nguyen Hue, Le Thanh Ton, Dong Khoi and Le Loi streets, which is expected to be soon completed and Bitexco’s the 55-storey twin tower The One, located at Ben Thanh Tetragon area that has just kicked off, the rest of the prime land plots are still on paper.

Some are delayed as developers face difficulties in finance, land clearance or paper works, whereas others need new investors.

Thai Van Re, director of Ho Chi Minh City Planning and Investment Department, said: “Most of the 20 prime locations were handed over to their developers in a short time after they were put up for auction in 2007. However, some developers did not carry out their commitments. Hence, the city revoked their licences and found other potential developers.”

Recently, the 2,245sqm land plot at No.107-No.107B, Tran Hung Dao street in District 5 was taken back by the city people’s committee.

The land was handed over to Saigon Garment Manufacturing Trade and District 5 Housing Development and Management Company to develop the Big World complex project in 2007. A lack of capital saw the firms sell 80 per cent of the project’s ownership to Hong Quang Real Estate. However, at this time, no one knows exactly who are the real owners of  the project.

For several years, Hong Quang sold its ownership in the project to some investors without the city’s permission.  The city took a year to investigate the sales and finally decides to auction the project again to find another developer.

Another newly-revoked-project on the list of projects on the 20 prime locations is the 55-storey commercial centre on 13,000sqm bounded by Tran Hung Dao, Pham Ngu Lao, Nguyen Thai Hoc streets.

The former developer of the construction, an alliance formed by Khanh Gia Company and three of Korean-backed realty firms, was forced to withdraw from the project as it did not meet the city’s requests for executing the project.

Other prime land plots in Ho Chi Minh City’s District 1, waiting for new developers are the 9,700sqm land at No.164 Dong Khoi street,  the 14,900sqm area bounded by Le Loi, Huynh Thuc Khang and Nam Ky Khoi Nghia streets.

Re said to avoid wasting prime locations, the delayed projects on them would be revoked and handed over to other developers.

Some projects are presently known as delayed-for-a-long-time projects, are Ngan Binh Company’s the 45-storey Golden Hill at No.87 Cong Quynh street, Sabeco’s 45-storey Sabeco World Trade Centre at No.6 Hai Ba Trung street, Lavenue Investment’s 36-storey Lavenue Crown at No 8-No.12 Le Duan street, SJS’s 52-storey SJC Tower at 66 Le Loi and An Dong’s 23ha Ba Son new urban area on Ton Duc Thang street.