HÀ NỘI — The Housing and Urban Development Corporation (HUD) has started construction of a new US$16.2 million social housing project in the central coastal Khánh Hòa Province’s Nha Trang City.

The project spans an area of 1.8ha in the Phước Long new urban area, comprising of three 10-storey apartment buildings. Each apartment has an area of 59-66sq.m.

HUD, under the Ministry of Construction, is waiting for the provincial People’s Committee’s approval for the pricing plan of the project, with the average price of an apartment under VNĐ9.5 million per sq.m.

Located in the west of the city, the project is connected to regional residential areas, factories, universities, attracting a large number of citizens, students and workers who have high demand for affordable housing, especially housing with an average price that is below VNĐ10 million per sq.m.

At the project’s groundbreaking ceremony, Deputy Minister of Construction Bùi Phạm Khánh said the project, once completed, would meet the demand for housing of poor and low-income households currently living in Nha Trang City, creating favourable conditions for them to improve their living standards.

The Ministry of Construction has asked HUD to focus on the management of the project’s construction and quality and make ensure citizens get their new houses as scheduled.

According to Đào Công Thiên, vice chairman of the provincial People’s Committee, from now until 2020, Khánh Hòa needs 15,000 affordable apartments and, so far, it has implemented a total of 11 affordable housing projects with 5,733 apartments.

“Although the price, fluctuating at some VNĐ9 million per sq.m. seems reasonable, but in total, people have to spend VNĐ600 million to buy a 60 to 70sq.m. house, which may still be a strain for them. Therefore, investors, in the future, should consider building smaller apartments, such as from 30 to 40sq.m, to meet the demands of people from lower income groups," Thiên said.

Thiên added that Khánh Hòa Province will create favourable conditions for investors and solve any problems related to project development. — VNS