Pressure put on slack developers

January 31, 2018 - 10:31

Construction projects that have stopped work may be adjusted or cancelled, according to a new order released by Hà Nội People’s Committee.

Construction projects that have stopped work may be adjusted or cancelled, according to a new order released by Hà Nội People’s Committee. — Photo tienphong.vn

HÀ NỘI — Construction projects that have stopped work may be adjusted or cancelled, according to a new order released by Hà Nội People’s Committee.

The order, signed by the city head, Nguyễn Đức Chung, touches upon land planning and management as well as construction-project evaluation and adjustment based on a Prime Ministerial directive on the land-information system.

Chung asked the city’s Department of Natural Resources and Environment to co-ordinate with other departments, districts and towns to complete land-use planning by 2020.

He said an assessment on halted construction projects would be made to the city People’s Committee by the end of April. He called for administrative procedures on land-related transactions to be simplified and transparent to remove obstructions.

Chung also asked the departments of finance, natural resouerces and construction to tighten price appraisals and strictly conduct land and house auctions to prevent budget deficits and corruption.

The order aims to address long halted construction projects. Several investors have refused to continue building and tried to readjust the use of the space for such things as carparks, Tiền Phong (Vanguard) Newspaper reports.  

Thịnh Liệt Urban Area in Hoàng Mai District, for example, had its 35ha area acquired by Hà Nội People’s Committee in 2004, which then assigned the space to Licogi Company as the main investor.

However, after 14 years, the project is still stalemated. Meanwhile, the area is being hired to set up car parks, facilities and concrete mixing plants.

The similar phenomenon even happens to hospital construction projects. In 2008, Hà Nội People’s Committee decided to acquire nearly 36,000sq.m area in Yên Sở Commune, Hoàng Mai District and assigned Quang Trung General Hospital Joint Stock Company to build Quang Trung General Hospital in 18 months.

Ten years have passed but the project has remained on paper. “Land belonging to nearly 300 families were acquired for the project. Although the local authorities have supported the investors in land acquisition, the investors have not allocated enough capital to implement it.

"Hoàng Mai District People’s Committee and the Department of Natural Resources and Environment have asked the city People’s Committee to withdraw the project,” said a representative of Yên Sở Commune People’s Committee.

Nguyễn Hữu Nghĩa, deputy director of the department, said that it was stipulated that within 12 months of receiving acquired land, investors had to start construction project. If the project was 24 months behind schedule, the department would ask the city People’s Committee to withdraw it. — VNS

 

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