House prices on Le Van Luong Street skyrocket despite news of violations

The Ministry of Construction Inspectorate once pointed out a series of violations related to violations and errors in planning and construction on Le Van Luong Street, Hanoi such as: Converting land plots with military, defense, and agency functions into housing, increasing floors, floor area, etc., causing overload on traffic and social infrastructure.

However, real estate products in this area are still being bought and sold actively, and the value of real estate has even increased compared to the time before the violations were announced.

Brokers are everywhere, ensuring the project has completed legal procedures.

Walking around Le Van Luong Street, it is not difficult to see real estate brokers from many different trading floors standing and offering products right in front of the project.

A typical example is the mixed-use project of office for rent - housing plot 3.10 (including 2 buildings with the commercial name Handiresco Complex - Handico Complex) located at plot 3.10, number 33 Le Van Luong, the investor is Hanoi Housing Investment and Development Corporation HANDICO.

Previously, the joint venture investor completed the first phase of the project and put into operation a Handi Resco Complex building consisting of two 25-storey buildings. Apartments in this building are being offered for sale at prices ranging from 62 to over 70 million VND/m2.

As for the Handico Complex project, phase 2 has an area of ​​1,792m2, including a 25-storey building and 3 basements, under construction with a scale of 25 floors.

Real estate brokers from various trading floors are standing in front of the project to sell their products.

Payment process for buying apartments at Handico Complex project is provided by brokers.

According to information introduced by the project broker, Handico Complex is expected to officially open for sale between July 10-15 and is expected to be handed over in 2025.

Mr. Hoang Trung Dung (real estate broker) said that after a period of legal problems that caused the project to be delayed, the investor has now completed the paperwork for the project and when customers buy an apartment, they will own a long-term pink book, not the 50-year type as before.

In the apartment purchase contract, it will be clearly stated that the customer will pay 95% of the apartment value in advance, and must pay the remaining 5% when receiving the pink book.

Currently, the project is being offered directly by brokers right at the foot of the project with prices ranging from 65 million VND/m2 or more, equivalent to an apartment costing more than 4 billion VND.

Referring to the prices posted on e-commerce sites, this project is also being offered for sale from about 62.5 million VND/m2 or more. There are exceptional cases of offering with information about diplomatic quotas, working directly with the investor with a good price of only about 50 million VND/m2.

Price is close to hundreds of millions of VND/m2

Less than 200m away is the BRG Diamond Residence project. After 5 adjustments, the BRG Diamond Residence project was raised from 18.5 floors to 35 floors, increasing the population to more than 3,000 people. This adjustment was concluded by the Ministry of Construction Inspectorate to be illegal.

However, despite warnings about violations, the prices of apartments in the above project have increased steadily over the years.

Brokers in this area said that almost all 2-bedroom apartments in the BRG Diamond Residence project have been absorbed by the market and most of them are foreign customers. Currently, there are only a few 3-bedroom and 4-bedroom apartments with high value that have not found owners.

When it first opened for sale, the apartments here were advertised for sale at around 60 million VND/m2. Up to now, the project has been advertised for sale directly at nearly 90 million VND/m2, equivalent to a 3-bedroom apartment with an area of ​​120m2 will cost around 10 billion VND, the difference depends on whether the customer pays in full or borrows from the bank.

Going around the electronic brokerage floors, the project's selling price also fluctuates from 75 million VND to over 85 million VND/m2 of apartment floor.

According to statistics from Batdongsan.com.vn, the selling price of the above project has increased by nearly 30% in the past year. And compared to before the time the violations were announced, the selling price of this project has increased by more than 45%.

Not only do new and upcoming projects on Le Van Luong Street increase in price, but even projects that have been in operation for a long time still maintain high prices, even increasing.

A typical example is the Center Point project located on plot 3.7 at 27 Le Van Luong, invested by Hanoi Construction Investment Company No. 2 (Hacinco).

The above project, after two adjustments by the Hanoi People's Committee and the Department of Planning and Architecture, was in violation of legal regulations, having been adjusted from public city land to rental housing, to housing, then to mixed use (service offices and rental housing), the construction density from 26% to 52%, the height from 15 floors to 32 floors, increasing the population by about 1,060 people.

Before the violations were announced, apartments in the above project were advertised for sale at a price range of 40 million VND/m2, but have now grown to over 60 million VND/m2, an increase of about 50% in the past 3 years .

Source: https://www.nguoiduatin.vn/gia-nha-duong-le-van-luong-tang-phi-ma-mac-tin-tuc-sai-pham-bua-vay-a670575.html