Social housing is the way out for real estate businesses; Real estate market is "heating up" every day

Nam Dinh has found an investor for a project of 1,100 social housing units; Binh Dinh has 3 more social housing projects that meet the criteria to benefit from a loan package of 120,000 billion VND; Ho Chi Minh City will increase incentives for businesses renovating old apartments.

Social housing is the way out for real estate businesses; Real estate market is "heating up" every day

Nam Dinh has found an investor for a project of 1,100 social housing units; Binh Dinh has 3 more social housing projects that meet the criteria to benefit from a loan package of 120,000 billion VND; Ho Chi Minh City will increase incentives for businesses renovating old apartments.

Here are the real estate highlights of the week.

Building social housing: A way out for real estate businesses

In recent days, Mr. Tran Duc Vinh has been busy with meetings, design review sessions and legal procedures for the development plan of social housing projects in Duc Hoa district (Long An).

Mr. Vinh said that after many years of operation, the company has accumulated a large land fund, with the purpose of developing commercial housing projects, but so far it has not been able to implement them.

With a large land fund, real estate businesses are shifting to developing social housing projects instead of commercial housing.

“Spending a large amount of money on land acquisition, but project development is very slow, causing many difficulties for businesses. The Government's project "Investing in the construction of at least 1 million social housing apartments for low-income people and industrial park workers in the period of 2021 - 2030" has opened a way out for businesses. We decided to reserve some of the existing land and submit documents to develop a social housing project. With this proposal, we immediately received approval from the leaders of Long An province," Mr. Vinh shared.

According to Mr. Vinh, Long An province is currently seriously lacking in housing projects for workers and laborers, while businesses have a lot of land but have difficulty in carrying out legal procedures to carry out commercial housing projects. Therefore, developing social housing will not only solve the problem of jobs for businesses, but also solve the problem of land abandoned for many years and contribute to the socio-economic development of the country.

“The construction cost is about 10 million VND/m2, then the loan capital, land cost, so for each square meter we calculate the profit is only 1 million VND, or about 5%,” said Mr. Vinh.

Also calculating in detail about the story of social housing development, Mr. Nguyen Thanh Quyen, General Director of Thang Loi Real Estate Group said that previously, the enterprise planned to develop a commercial housing project in Long An, but from the beginning of 2025, the Government has a new policy on supporting real estate enterprises to develop social housing projects, so Thang Loi decided to change the plan to develop commercial housing projects into social housing.

Mr. Le Hoang Chau, Chairman of the Ho Chi Minh City Real Estate Association, commented that real estate businesses registering to participate in developing social housing projects using their own land funds is the right direction, creating a way out for businesses that have a lot of land funds but cannot yet implement commercial housing projects.

“To have these land funds, most businesses have to borrow from banks, have to bear a large interest cost, while the land has to be left fallow, causing waste. If calculating to build commercial housing, the profit will be about 20%, but the waiting time for legal procedures is quite long, and converting to social housing, the profit will be about 10%, but the legal procedures will be quick, businesses will soon recover capital, and handle debt,” said Mr. Chau.

Nam Dinh finds investor for 1,100 social housing project

According to the Nam Dinh City Construction Investment Project Management Board, the Nam Dinh - My Xuan Urban Joint Venture, including Nam Dinh Urban Development and Investment Joint Stock Company and My Xuan Hanoi Housing Joint Stock Company, has met the requirements to implement the Bai Vien social housing project (My Xa ward).

Social housing completion targets in Nam Dinh province and other localities.

The project has a total investment of over 909 billion VND, an area of ​​over 3 hectares with a construction scale of 6 buildings of 9 floors. When completed, the project will bring to the market 1,100 apartments, with an area of ​​25 - 70 m2.

The project will be implemented in 3 phases. Specifically, phase 1 will take place from 2025 - 2026, including the construction and putting into use of blocks B, C with 324 apartments. Phase 2 from 2026 - 2028, the goal is to complete blocks D, E, providing 304 apartments. Phase 3 from 2028 - 2030, the task is to build blocks A, F, with 472 apartments.

The project's operating period is 50 years. The progress of investment procedures, bidding for investor selection, land allocation and construction commencement is from 2024 - 2025. The progress of construction and completion of technical infrastructure items is from 2025 - 2030.

According to the target of completing social housing assigned by the Prime Minister to each locality, from now until 2030, Nam Dinh province will have to complete 9,800 apartments. Of which, 1,000 apartments will be completed in 2025; 324 apartments in 2026; 1,000 apartments in 2027; 1,504 apartments in 2028; 1,800 apartments in 2029; and 4,172 apartments in 2030.

Notably, in the period 2021 - 2024, Nam Dinh province has not completed any social housing projects. This also happens similarly in provinces such as Thai Nguyen, Ninh Binh, Tuyen Quang, Vinh Long...

Quang Ngai is about to have a 640 billion VND social housing area

On March 14, Vice Chairman of Quang Ngai Provincial People's Committee Tran Phuoc Hien chaired a working session with the Vietnam General Confederation of Labor delegation to discuss and agree on a number of contents related to the investment project to build Trade Union Social Housing in this province.

In November 2023, the People's Committee of Son Tinh district issued a decision approving the detailed construction plan at a scale of 1/500 of the Trade Union Institution Area in Tinh Phong commune, with a total area of ​​about 4.05 hectares.

Perspective of the Trade Union Institutional Area in Quang Ngai.

The representative of the Vietnam General Confederation of Labor proposed that the Provincial People's Committee allocate part of the land of the approved project to invest in building social housing to serve the rental needs of workers and laborers.

The total land area is expected to be about 2 hectares to build 750 apartments, a garage, a system of flower gardens, technical infrastructure works, etc. The number of residents is about 2,500 people. The total investment is expected to be 640 billion VND.

"If Quang Ngai province creates all favorable conditions, it is expected that in October 2025, the trade union social housing project in Tinh Phong commune will start. Initially, about 2 hectares will be built, and the completion time will be about 6-9 months," emphasized a representative of the Vietnam General Confederation of Labor.

Binh Dinh: 3 more social housing projects meet criteria to benefit from 120,000 billion VND loan package

The People's Committee of Binh Dinh province has just reported to the Ministry of Construction and the State Bank of Vietnam on adding 3 social housing projects in Tran Quang Dieu ward, Quy Nhon city, ensuring the conditions and criteria to benefit from the 120,000 billion VND credit program according to Resolution No. 33/NQ-CP dated March 11, 2023 of the Government.

Specifically, the Long Van Social Housing Project is invested by LICOGI13 Thuan Phuoc Two-Member LLC (established from the Joint Venture of Saigon Thuan Phuoc Green Real Estate Joint Stock Company - Licogi13 Joint Stock Company), with a loan demand of VND 450 billion. The project was approved on February 28, 2022, with an area of ​​over 2 hectares, a total investment of over VND 781 billion, and a total of 838 apartments.

Phu Tai Loc Social Housing Apartment Project is invested by Binh Dinh Industrial Construction Joint Stock Company, with a loan demand of 200 billion VND. The project was approved on March 15, 2023, with an area of ​​over 0.4 hectares, a total investment of 358 billion VND, and a total of 285 apartments.

The remaining project is the Pisico Social Housing Project invested by Pisico Binh Dinh Corporation - Joint Stock Company, with a loan demand of 161 billion VND. The project was approved on August 16, 2021, with an area of ​​over 0.5 hectares, a total investment of over 263 billion VND, and a total of 321 apartments.

Binh Dinh Provincial Department of Construction informed that as of February 25, 2025, of the above 3 projects, only Long Van Social Housing Project is under construction of the ground leveling item, expected to be completed in 2026 (the initial progress is to be completed in the third quarter of 2024).

The remaining two projects have been allocated land and granted land use right certificates. They are currently completing procedures for licensing and starting construction, expected to be completed in the fourth quarter of 2025.

For the two social housing projects Phu Tai Loc Apartment and Long Van Social Housing, in early November 2024, Mr. Pham Anh Tuan, Chairman of Binh Dinh Provincial People's Committee, inspected the project, then requested the investor to focus resources, speed up the progress of completing all documents and procedures to implement the project, ensuring the completion of the project according to the schedule approved by competent authorities.

Ho Chi Minh City will increase incentives to support businesses participating in renovating old apartments.

The government is drafting a Resolution to supplement incentive and support mechanisms for investors participating in renovating and rebuilding apartment buildings in the area.

In the period 2016 - 2020, Ho Chi Minh City renovated and repaired 237/474 apartment buildings built before 1975, reaching a rate of 49.3%.

The support proposals include: supporting 50% of the cost of constructing technical infrastructure works within the project scope but not exceeding 10 billion VND/project; supporting 50% of the cost of relocation and forced relocation according to the approved plan; and supporting 100% of the cost of appraising construction investment projects.

Mr. Vu Anh Dung, Deputy Head of Urban Development Department - Ho Chi Minh City Department of Construction said that according to the Housing Law 2023 and Decree No. 98/2024/ND-CP dated July 25, 2024 of the Government on renovation and reconstruction of apartment buildings, there are specific and clear regulations on investment procedures and incentive mechanisms when implementing projects to renovate and reconstruct apartment buildings.

Accordingly, investors enjoy many preferential mechanisms such as: exemption from compensation for State land, exemption from land use fees and land rent; permission to trade in apartments, commercial and service areas after completing compensation and resettlement work; and at the same time, the State supports costs for relocation, forced relocation and infrastructure construction costs.

Many projects restart, real estate market "heats up" every day

The land planned for the Dat Xanh Homes Riverside Project (Thu Duc City) is regaining its vitality with urgent construction pace. After a long delay, Dat Xanh Group has officially restarted the project, attracting the attention of the Eastern market of Ho Chi Minh City.

According to the reporter's records, the project construction area is taking place at a high intensity. Dozens of mechanical vehicles and construction machinery such as excavators and pile drilling machines are mobilized to the maximum. Convoys of trucks carrying soil and construction materials enter and exit the construction site, creating a bustling, urgent atmosphere. Every day, two groups of workers take turns to ensure progress, and the construction site is almost never idle.

It is known that the investor plans to reopen the project for sale this year, with prices ranging from 110 to 120 million VND/m2. It is estimated that the total revenue from the project could reach about 27,000 billion VND in the period of 2025-2027. The company is expected to start recording revenue from 2026, marking an important turning point in the development journey of Dat Xanh Homes Riverside.

In Binh Duong and Dong Nai, Hung Thinh Corporation also announced plans to restart a series of large-scale real estate projects. Notably, the New Galaxy Project (Di An City, Binh Duong) has been restarted, with the goal of handing over houses to customers in early 2026. Similarly, the Lavita Thuan An Project, which includes 4 apartment blocks with more than 2,400 apartments, continues to be built after a delay.

The Bien Hoa Universe Complex project (Dong Nai) by Hung Thinh has officially restarted after nearly 3 years of stagnation. This project is expected to become one of the important highlights in Dong Nai when completed in 2026.

Another mega project here that is showing signs of revival is Aqua City by Novaland Group. After resolving planning-related issues by the end of 2024, Novaland is focusing its resources on accelerating the construction of previously opened subdivisions. According to the plan, Novaland will hand over more than 1,000 townhouses and villas in 2025, and is expected to open a new subdivision in July 2025.

In Long An, An Phu Sinh Residential Area (Can Giuoc District) is one of the notable projects in the local real estate market. The project was launched in 2019 and infrastructure construction began in 2021. However, due to many impacts, the implementation was interrupted. After a long period of "inactivity", in early February 2025, An Phu Sinh Company reached a cooperation agreement with a new investor, creating conditions for the entire project to be restarted in April 2025.

Dong Nai prepares to auction 37 land plots, expected to collect 21,000 billion VND

Dong Nai Provincial People's Committee has just issued Plan No. 79/KH-UBND on auctioning land use rights in 2025 in the province.

According to the plan, there will be 37 plots of land expected to be auctioned in 2025.

Long Giao Industrial Cluster, Cam My District, Dong Nai will be auctioned in 2025.

Of the total 37 land plots, there are currently 17 land plots, with a total area of ​​over 168 hectares, that are eligible for auction, including some large land plots such as: Long Giao Industrial Cluster with an area of ​​55.9 hectares; Hoa An Quarry Land with an area of ​​36.9 hectares...

It is expected that 17 land plots will be auctioned, with a total value according to the current land price list of 2,172 billion VND. Dong Nai Provincial People's Committee assigned the Provincial Land Fund Development Center to organize the auction.

In case the auction is unsuccessful, continue to post auction information for subsequent times.

For the remaining 20 land plots, with an area of ​​nearly 680 hectares, the Dong Nai Provincial People's Committee assigned departments, branches and districts to speed up the implementation of procedures to organize land use rights auctions in 2025.

It is expected that the auction of these 20 plots of land will be worth 18,814 billion VND according to the current land price list.

In addition, the People's Committee of Dong Nai province requested relevant departments, branches and People's Committees of districts and cities to focus on handling existing problems to soon organize auctions of the right to use 9 land plots, with a total area of ​​nearly 260,000 m2, recovered from enterprises that no longer need to use or have expired land leases.

The auctioned land lot at 262 million VND/m2 in Ha Dong district has been fully paid.

According to the Ha Dong District Construction Investment Project Management Board, the deadline for paying land use fees for the auction of 27 plots of land in Phu Luong, Yen Nghia, and Duong Noi wards has ended. However, only 5 plots have been fully paid, including the “beauty queen” plot 1A-03 priced at VND262 million/m2. The remaining four plots also had very high winning prices, from VND156 to VND182 million/m2.

Map of auctioned land in Dong Danh - Dong Coc, Phu Luong ward.

Meanwhile, the remaining 22 plots of land were abandoned by customers who did not pay land use fees after the auction results were recognized.

Previously, according to a source from a reporter from Dau Tu Newspaper - Baodautu.vn , the person who won the bid for the land plot of 262 million VND/m2 was a tycoon and had been aiming for this land since 2019.

“Lot 1A-03 in Dong Danh - Dong Coc area, Phu Luong ward was bought by the tycoon to live in, not to sell. Meanwhile, most of the other auctioned lots were won by ‘auctioneers’,” the character revealed.

This person also shared that many auctioned land lots in Ha Dong were initially resold by associations and groups at a difference of about 600 million VND compared to the winning price. However, this number is not fixed. After the initial market reaction, the difference has decreased to about 200 - 250 million VND.

Source: https://baodautu.vn/batdongsan/nha-o-xa-hoi-la-loi-thoat-cho-doanh-nghiep-dia-oc-thi-truong-bat-dong-san-nong-len-tung-ngay-d254102.html