Proposal to decentralize the authority to the provincial People's Committee to adjust commercial housing to social housing

(CLO) Prof. Dr. Pham Hong Chuong, Principal of the National Economics University (NEU), proposed to study and consider piloting the decentralization of authority to decide on adjusting commercial housing construction projects to social housing for the Provincial People's Committee.

Currently, the National Assembly has passed three laws related to the real estate market: the Housing Law 2023, the Real Estate Business Law 2023 and the Land Law 2024. These laws, along with their implementing documents, have officially come into effect and will be implemented on August 1, 2024 (5 months earlier than previously stipulated).

In order for these three laws to come into effect, and truly be an effective tool for the development of a stable, sustainable, and healthy real estate market, contributing to stabilizing the macro-economy and implementing major balances of the economy, Professor Dr. Pham Hong Chuong, Principal of NEU, said that the role of State management agencies and the awareness of market participants are extremely important.

NEU Principal proposes decentralizing the authority to provincial People's Committees to adjust commercial housing to social housing. (Photo: ST)

According to Mr. Chuong, there are still many difficulties in accessing land to implement investment projects in localities. Many projects are stuck in land acquisition, compensation, site clearance, difficulties in converting land use purposes, planning land use purposes for investment projects, etc.

Therefore, according to him, solutions need to aim at solving specific problems of businesses.

Firstly, it is necessary to complete the auction, bidding and land allocation process according to the new provisions of the Law, to ensure that investment projects with completed infrastructure and legal conditions can be implemented in accordance with regulations.

Second, the State needs to develop and adjust the land price list in accordance with the spirit of the new Law, but it needs to ensure the interests between the State and investors so that enterprises have a basis to fulfill their financial obligations to the State and management agencies have a basis to approve projects.

Third, speed up the completion of legal procedures, remove obstacles for projects, to facilitate the transfer of projects to projects that do not have sufficient financial capacity as required by the Law on Real Estate Business 2023;

Fourth, allow adjustment and guidance on the implementation process of converting commercial housing projects into social housing for rent or lease-purchase for policy subjects;

Fifth, Prof. Dr. Pham Hong Chuong proposed to study and consider piloting the decentralization of authority to decide on adjusting commercial housing construction projects to social housing for the People's Committees of provinces/cities to promote the process of restructuring real estate products in the market.

Source: https://www.congluan.vn/kien-nghi-phan-quyen-cho-ubnd-cap-tinh-duoc-dieu-chinh-nha-o-thuong-mai-sang-nha-o-xa-hoi-post319437.html