Vinh Phuc announces land-use project

The land-use project will take up almost 30 hectares in Vinh Phuc

According to Vinh Phuc People’s Committee, the project is aimed at developing new-style, modern urban areas with synchronous social and technical infrastructure systems to meet local demand for housing and for commercial, cultural, and educational services, as well as sports.

The project covers an area of 29.0208 hectares for a population of 5,000 people and six major types of land as follows:

Residential land will cover a total of 125,517 square metres. Of this, 66,891sq.m have been allocated for semi-detached houses, 24,557sq.m for residential land for commercial use, 24,062sq.m for villas, and 10,042sq.m for mixed residential land.

16,681sq.m will be used for public land. 14,652.6sq.m of this will be dedicated to developing educational facilities, 1,410.7sq.m will be used for cultural facilities, and 618sq.m for medical establishments. Commercial land will cover1,384sq.m.

Land area for green trees, water surface, sports and physical fitness facilities will total 24,744sq.m. Of note, the land area reserved for green trees and flower gardens is 13,361sq.m, including 2,798sq.m for isolated green land and 2,829sq.m for sports and physical fitness facilities, while the water surface will be 5,755.5sq.m.

Land for technical infrastructure will take up a total area of 1,234sq.m.

120,646sq.m of land will be used to develop internal transport infrastructure. Of this, internal roads will account for a total of 107,830sq.m while parking lots will cover 12,816sq.m.

The investment scale of the construction includes technical infrastructure, including levelling the ground, constructing internal roads, clean water supply, rain and wastewater drainage systems, electricity supply and lighting systems, telecommunications networks, and green areas.

In addition, the investor is required to develop social infrastructure such as schools, health and cultural facilities, and five-storey shopping malls.

Furthermore, they will be required to co-operate with housing units to develop two 10-storey mixed-use housing facilities with one basement for parking, two six-floor mixed-use buildings with one basement, a cluster of low-rise houses including 579 semi-detached units for housing only, 218 semi-detached units for residential and commercial use, and 77 villas. The project investor will be responsible for building houses as prescribed in the investment certificate granted by Vinh Phuc People’s Committee.

The preliminary costs of the project are estimated at VND1.668 trillion ($72.5 million), which included an estimated VND68.5 billion ($2.98 million) for ground clearance and VND1.6 trillion ($69.57 million) for other items.

The investment capital will come from the investor’s equity and other legal sources. The capital could be mobilised from commercial banks and secondary investors in compliance with the current laws on real estate business and housing.

The project is scheduled to be completed in 60 months from the date the investor is approved by the provincial authorities.

The shopping malls will be part of the mixed-use housing blocks and the shopping streets in Vinh Tuong and Tu Trung townships. Further details are available in Decision No.509/QD-UBND issued by Vinh Phuc People's Committee on March 13, 2020.

The land allocated for the project is now mainly used for rice and subsidiary crop cultivation, agricultural irrigation canals, and internal roads.

The investor to be approved by the provincial authorities must meet the preliminary requirements in terms of financial power and experience. The investor has to mobilise at least 15 per cent or VND250.3 billion ($10.88 million) of the total investment capital while its average minimum net asset value must not be lower than its equity of at least VND250.3 billion ($10.88 million) during the past five years. The selected investor is likely toarrange loan capital worth VND1.4 trillion ($60.87 million).

Additionally, the investor must have past experience in implementing similar projects with the total investment equivalent to at least 50 per cent of the total capital of this project. The minimum equity of the investor is the sum required for the project investor. Investors are required to have deployed similar projects in the past five years, with the projects including primary items such as technical infrastructure, rain and wastewater drainage systems, and electricity supply.

Investors also cannot have had the investment certificate of a similar urban area and housing project revoked by competent agencies due to infringements of regulations or delayed progress.

Involvement in similar urban area and housing projects includes participation as an equity contributor.

Besides, the selected investor must meet other regulations on bidding, real estate business, and the development of urban area and housing.

Eligible investors can apply for bidding and implementing the project within 30 days of the issuance of project-related information.

They can register for bidding and implementing the project on the Vietnam National E-Procurement System (VNEPS). In case the Ministry of Planning and Investment has yet to issue the relevant guidance, eligible investors can submit their dossiers and register at Vinh Phuc province's Department of Planning and Investment.

To register, eligible investors must submit a registration form, documents related to legal status, documents proving technical and financial competence, and other relevant documents.