The real estate business that once caused a “shock” with an apartment of VND 240 million is now “afraid” of making cheap housing

Remember in the fourth quarter of 2012, Le Thanh Twin Towers project located at Ma Lo and Huong Highway 2, Binh Tri Dong A ward, Binh Tan district appeared an apartment of VND 240 million, causing a stir in the market.

Super cheap apartments at this time are 35m2, designed to suit single people or young families, 100% complete handover including a master bedroom, living room, kitchen and toilet. The investor provides a full set of furniture if the customer needs it.

Le Thanh Company, the investor of this project, said that the product is sold in two forms: apartments for sale and for rent so that customers have many choices. The long-term rental price for 15 years is 240 million VND per apartment, paid in 5 installments within 12 months. While the selling price is 5 times more expensive than that, the average price is 11-12 million VND per m2 depending on the area and location of the floor. The apartment has 2 blocks, 19 floors high, the podium consists of 4 floors with utilities: commercial center, supermarket, entertainment area, sports area, swimming pool, restaurant…

At this time, Le Thanh Trading and Construction Company Limited is a typical private enterprise that invests in social housing, low-cost rental housing with “out-of-pocket” on the land fund it has transferred. However, ironically, after nearly 10 years of implementation, Le Thanh Company is suffering a lot of bitterness and “afraid” of building cheap houses in the context that the market is still seriously lacking in this segment.

Explaining the cause of “fear” to make cheap houses at the seminar “Unlocking the development of social housing and housing for workers” organized by VTC Radio in collaboration with the Ministry of Construction on the morning of February 19, Director Le Thanh Construction Trading Co., Ltd., Le Huu Nghia said that while the real estate market is scarce with cheap apartments, many projects of Le Thanh take 4-5 years and still have not completed the procedures, facing many problems.

Mr. Nghia also pointed out a series of problems the company is “stooping” to support. Specifically, at Le Thanh An Lac Social Housing Project in Binh Tan District, Ho Chi Minh City, although the land use purpose was changed in 2014 and licensed, construction started in 2017, but until 2017. Currently, 19 townhouses of the project have not been granted land use right certificates because land use fees have not been charged.

As for Le Thanh Tan Kien Social Housing Project in Binh Chanh, Ho Chi Minh City, although Le Thanh Company has submitted an application since March 2019, but so far there has been no decision on investment policy. the first of 4 steps to complete the procedure.

Mr. Nghia said that if the procedure continues to face difficulties due to inconsistencies in the regulations on construction of social housing, the Company will reluctantly have to apply to invest in commercial housing to quickly bring the project to life. to use instead of watching the whole project grass grow over the years.

It can be said that for businesses developing real estate projects, the story of the time it takes to carry out legal procedures is always a fear, even for social housing projects. Recently, the slowness in handling administrative procedures, especially the procedures for granting pink books to homebuyers, construction licensing procedures, and investment policies… have made projects stand still. For decades, 57 real estate businesses in Ho Chi Minh City have simultaneously called for help.

According to Lan Nhi

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