DA NANG (VNS)— The city faces a shortage of affordable housing, yet investors remain focused on developing luxury apartment projects, said Vu Xuan Thien, deputy director of the Ministry of Construction's Housing and Real Estate Market Management Department.
|A view of Man Quang Bay in Da Nang, seen from the Son Tra Peninsula. Investors remain focused on developing luxury apartment projects, even as the shortage of affordable housing continues. — VNA/VNS Photo Le Lam
There are now 36 luxury apartments and new urban projects in the city, most of which have struggled to attract buyers, according to the municipal People's Committee.
Le Tung Lam, deputy director of the city's Construction Department, blamed the slow implementation of these projects for investors' lack of funds.
In order to better address these difficulties, Thien suggested the municipal People's Committee consider revoking the licences of real estate projects which could not be implemented as scheduled because they lacked capital or were unfeasible.
Several localities including HCM City and Ha Noi reported that they had withdrawn licences from hundreds of idle real estate projects, while the southern provinces of Dong Nai and Binh Duong each revoked licences from 20-30 projects.
But Da Nang failed to report a single revocation, Thien said.
Meanwhile, Da Nang People's Committee vice chairman Nguyen Ngoc Tuan petitioned the Government to direct the State Bank of Viet Nam and commercial banks to create more favourable conditions for real estate developers to access low interest loans.
That could help firms complete their projects faster, he said. — VNS