Close-up of 3,790 resettlement apartments in Thu Thiem about to be converted to commercial housing

TPO - These 3,790 resettlement apartments were first auctioned by Ho Chi Minh City in 2017 with a starting price of VND8,800 billion but no one bought them. After that, Ho Chi Minh City organized many auctions for these 3,790 apartments but until now they are still lying abandoned, deserted and degraded.

TPO - These 3,790 resettlement apartments were first auctioned by Ho Chi Minh City in 2017 with a starting price of VND8,800 billion but no one bought them. After that, Ho Chi Minh City organized many auctions for these 3,790 apartments but until now they are still lying abandoned, deserted and degraded.

With a land area of ​​38.4 hectares and dozens of massive apartment blocks, Binh Khanh Resettlement Area (Thu Duc City) is the largest resettlement area in Ho Chi Minh City, built and completed in 2015. Since then, many apartment blocks have remained closed and are seriously degraded.

Binh Khanh resettlement area is located in the center of Thu Thiem peninsula.

Recently, the leaders of the Ho Chi Minh City People's Committee signed a document to send to relevant departments and localities about the conversion of the functions of 3,790 apartments in lots R1, R2, R3, R4, R5 in the 38.4 ha area in the Thu Thiem New Urban Area (An Khanh Ward, Thu Duc City).

Binh Khanh resettlement area has a prime location, surrounded by many "golden" plots of land.

Accordingly, the Ho Chi Minh City People's Committee has approved the proposal of the Department of Construction to continue auctioning 3,790 apartments in lots R1, R2, R3, R4, R5 in the 38.4ha area in the Thu Thiem new urban area with the purpose of use and function as commercial housing, which has been commented by the Ministry of Construction.

Previously, the 3,790 apartments were created with budget capital, so to ensure strict procedures and authority for selling public assets, the Ho Chi Minh City People's Committee will direct relevant departments and branches to continue reviewing and proposing procedures that need to be completed before the auction.

In February 2018, Ho Chi Minh City held a second auction, conducted by the Ho Chi Minh City Property Auction Service Center (under the Department of Justice), with a starting price of more than VND9,100 billion, but failed because there were no buyers.

After many years of abandonment, the fire prevention and fighting system, electricity and water supply in Binh Khanh Resettlement Area have degraded and damaged.

The fire extinguisher was stolen.

The fire hydrant was also affected.

In June 2021, Ho Chi Minh City continued to auction these 3,790 resettlement apartments for VND9,900 billion. At that time, the above apartments were divided into 2 packages for auction.

The first package includes 1,570 apartments in lots R4 and R5, the second package includes 2,220 apartments in lots R1, R2 and R3. Since the packages are worth thousands of billions of VND, the target audience is real estate businesses. However, no businesses participated in the auction.

The landscape in Binh Khanh Resettlement Area has been abandoned for a long time and has become a place to breed mosquito larvae.

Grass grows taller than people in Binh Khanh Resettlement Area.

Most of the apartments in the 3,790-apartment area mentioned above have an area larger than 70 square meters, not meeting social housing standards.

The main reason for the unsuccessful auction was the somewhat strict and unreasonable payment issue, which prevented businesses from participating.

According to regulations, when participating in an auction, a business must deposit 20% of the starting price. If the auction is won, the business must pay 50% of the auction value within one month, and the remaining 50% within 90 days.

In fact, mobilizing about 10,000 billion VND in 3 months is not easy for most real estate businesses.

Many real estate business leaders believe that if the number of apartments is not divided, the upcoming auction will be very difficult to succeed.

Pham Nguyen-Duy Quang

Source: https://tienphong.vn/can-canh-3790-can-ho-tai-dinh-cu-o-thu-thiem-sap-chuyen-sang-nha-o-thuong-mai-post1726532.tpo