From
Vu Pham, Minh Hue
Sun, 25 August 2024 | 9:17 GMT+7
According to Long An authorities, a large housing project in Mekong Delta province required deposits of VND 30 million (US$1,200) per unit before approval was given to sell the properties or raise capital.
Potential clients study a large model of the LA Home project at the Hallmark building in Ho Chi Minh City. Photo by The Investor/Vu Pham.
The Luong Hoa Residential Area project, also called LA Home, covers approximately 101 hectares in Luong Hoa Commune in Ben Luc District. The project is invested in by Prodezi Long An Corporation and developed by Huong Viet Investment Consultant JSC.
A series of activities have launched and introduced the project. In early June, the investor has joined forces with many companies such as Aka Homes, Era Vietnam, Dong Tay Land, EximRS, Phuc Hung Group, Phu Hoang Land, ST Housing, The One Land, Southern Homes and Purple Home to offer its products.
According to the advertisement, LA Home will be a sustainable ecological urban area where residents can enjoy a harmonious and peaceful life surrounded by nature, but still enjoy all the amenities of city life. The project also offers many special incentives and attractive investment opportunities.
The project is divided into six sub-areas with more than 3,750 products. Its main products are townhouses and canalside villas with building areas ranging from 131 to 234 square meters.
An article published in early July in the Long On The newspaper mentioned that the LA Home project has been officially released for sale, with prices starting at just VND2.99 billion ($119,708) per unit. The first sub-area to go on sale was LA Sol, which accounted for 10% of the total area and included 375 products including townhouses, double-front townhouses, 18m and 60m wide shophouses and canalside villas.
The price of terraced houses was VND 2.99 billion ($119,708) per unit, double-fronted terraced houses VND 3.65 billion ($146,131), 18-meter-wide shophouses VND 4.75 billion ($190,171), 60-meter-wide shophouses VND 5.35 billion ($214,192) and canalside villas VND 5.55 billion.
The down payment for these products was VND 30 million ($1,200) per unit, with several options for later payments offered.
However, local officials say that despite the massive campaign, the legal processes to raise capital and clear the sale for the LA Home project have not yet been completed.
Luong Hoa community chairman Nguyen Van Tuan told a meeting convened on the issue that the project has the basic legal documents, including the investment plan, environmental impact assessments, a 1/500 plan and the building permit, but it is stuck in the eviction and compensation process.
However, the documents that Tuan presented at the meeting were a building permit for the technical infrastructure and a permit for the construction of a sports center, not the building permit for the project.
Meanwhile, the Ben Luc District People’s Committee said that the investor of the LA Home project has given priority to completing the infrastructure construction on the resettlement land for the affected households, as well as the transportation infrastructure on the land allocated and leased by the relevant authorities.
However, the provincial construction authority stressed that the LA Home project does not allow for a transfer of land use rights in the form of a division or sale of land.
It is noted that only the transfer of land use rights as resettlement and residential area has been permitted under the project. The products of the project can only be sold commercially with the approval of the relevant provincial authorities, the department said.
Compliance question
In September 2023, the Long An Provincial People’s Committee decided to convert the LA Home project from a residential area to a resettlement residential area to meet the resettlement needs of the people affected by the LA Home and Prodezi Industrial Park projects.
The decision made it clear that the relocation measures must be a priority and that the remaining land can only be sold once these have been completed.
However, even before the relocation component was completed, the investor had already advertised and distributed townhouses and villas for sale to brokerage firms.
