Underground parking lot becomes wasteland
The corner of Nguyen Dinh Chieu - Tran Nhan Tong, where a 4-storey smart parking lot was planned many years ago, is still just a temporary parking lot on the sidewalk, serving mainly the needs of restaurants and offices. In other words, the smart parking lot is still only on paper.
The underground parking project at 295 Le Duan is still a vacant lot after 16 years.
Not far away, at 295 Le Duan, the 3-storey underground parking project is just a large plot of land surrounded by corrugated iron, with weeds growing wildly inside and garbage thrown everywhere.
Ms. Nguyen Thi Phuong, who lives nearby, shared: "In the central area, there are no houses to live in. The land costs several hundred million per square meter, but a strip of land thousands of meters wide is left empty. What a waste."
Similarly, the garden area next to the Temple of Literature, which was planned to be an underground parking lot, is also at a standstill, becoming an empty lot.
In the core district of Hoan Kiem, the parking lot space was originally planned to include 6 underground parking lots, with a total area of about 5 hectares in the Dong Xuan market area, Phung Hung - Bat Dan flower garden, Nhan Dan Newspaper Printing House, Dong Kinh Nghia Thuc Square, 19-8 Square and adjacent flower garden, and the yard of the Vietnam - Soviet Union Friendship Cultural Palace, but so far there has been no sign that the parking lots will be built.
Because parking lots were not deployed as planned, the city authorities were forced to apply a temporary solution of granting parking permits along the streets, on part of the sidewalk or the entire sidewalk. However, even taking advantage of the roadway and sidewalk, it only meets a small part of the people's needs.
According to research by the Institute of Transport Strategy and Development, Ministry of Transport, the total static traffic area in Hanoi is more than 90 hectares, meeting only 8-10% of parking needs.
This has led to an outbreak of illegal parking lots, wrong planning and unreasonable arrangement.
Businesses are not interested
Explaining the delay in building underground parking lots, the Hanoi Department of Planning and Architecture said that the system of legal documents related to investment and construction has changed a lot, leading to a delay in the time to establish, appraise, approve and implement investment projects.
According to the planning of bus stations and parking lots in Hanoi until 2030, with a vision to 2050, by 2050 Hanoi will have 1,620 public parking lots, including 73 underground ones.
According to statistics from the Hanoi Department of Transport in December 2023, the new city is investing in 96 parking lot projects.
Of which, 18 projects have completed construction investment, 12 projects have had investment termination policies/decisions, and 66 projects are under investment implementation.
The number of parking lots that have been invested in is only equivalent to about 5% of the set target; only about 1% of the parking lots have been completed.
Meanwhile, a representative of the Hanoi People's Committee informed that every year the city organizes investment promotion conferences to call for investors in projects using land, including investment projects in building bus stations and parking lots.
However, due to the location and location of the call for investment in public parking lots and stations, the results are very limited.
In addition, the initial investment cost of public parking projects is quite large, and the time and ability to recover capital are difficult to achieve, making businesses not interested.
Mr. Nguyen Xuan Luu, Director of the Department of Finance, shared: "The Government stipulates that land rental support for underground parking lots is equal to 10% of the ground rental.
While the investment capital for above-ground parking lots is very cheap, the investment capital for underground parking lots is very high, and the parking price is controlled.
To attract investment, there must be a mechanism, including interest rate support.
Mr. Vo Thanh Tung, Head of the Urban Management Department of Tay Ho District, said that with the mechanism not really attractive for socializing parking lots, some key projects need to be invested by the state.
Untangling the mechanism
According to Giao Thong Newspaper, Hanoi People's Council has just issued Resolution 07, approving a number of specific policies on investment in the construction of underground parking projects such as: 100% support for land rent in the first 10 years, from the time the obligation to pay land rent for parking lots arises;
Support 100% of import tax payable for imported equipment and technological lines directly serving the parking lot construction project;
Investors are allowed to use up to 30% of the total underground construction floor area of the project according to the planning to invest in exploiting commercial services, other services...
In addition, the Hanoi Department of Transport also advised the City People's Committee to issue a number of special mechanisms such as: Allowing investors to sell a number of underground parking spaces after completing the investment;
Within a radius of about 500m around planned parking lots, temporary parking on roadsides and sidewalks is not allowed;
Develop a separate mechanism for parking prices at socialized parking lots, to create conditions for investors to quickly recover capital...
A representative of a large unit operating in the field of parking said: "Previously, our company was assigned by the city to research a number of underground parking lots in the area. However, the actual cost of building an underground parking lot is very large, hundreds of billions of VND, the ability to recover capital is long-term, and it is difficult to see profits."
"In recent years, although the city has opened up more mechanisms, the reality is still not commensurate with the capital investors put in.
For example, the investment cost of the underground parking lot at 295 Le Duan is up to several hundred billion. So how many years will it take to recover the capital? Instead of thinking like that, business people will buy a few dozen houses to rent to see the profit," this representative emphasized and said that he has traveled to many countries in the world, showing that the fastest way to build an underground parking lot is for the State to invest money, then bid.
Currently, countries are doing so to serve the needs of their people. Without a truly "open" mechanism, it will be difficult for investors to be interested in underground parking lots.
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