Gia Phu apartment project was approved for construction investment in 1996, but after 2 generations of project owners, compensation and site clearance have not been completed.
The above content has just been concluded by the Department of Natural Resources and Environment of Ho Chi Minh City, in the Inspection Conclusion document No. 3566/KL-STNMT-TTr on the compliance with land law of Saigon Construction Corporation - One Member Co., Ltd. with regard to the land plot No. 267 - 269 Gia Phu, District 6.
Through 2 owners, the project is still an empty lot.
In 1996, the People's Committee of Ho Chi Minh City issued Decision No. 467/QD-UB-QLDT on investment in the Gia Phu Apartment Project of the District 6 Economic Development and Construction Company under the People's Committee of District 6 with a scale of 84 apartments (2 blocks of 1 ground floor and 4 upper floors).
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| After taking over in 2015, Saigon Construction Corporation did not continue to implement the project, leading to the project being prolonged. There are still 6 cases that have not been compensated. Photo: Trong Tin |
Two years later, the City People's Committee decided to reclaim 1,590 square meters of land, handing over nearly 1,460 square meters to the District 6 Economic Development and Construction Company to build Gia Phu apartment building, the rest was used to expand the road. The District 6 Economic Development and Construction Company agreed to compensate households to carry out the project.
District 6 Construction and Economic Development Company was later equitized and renamed Binh Phu Investment Joint Stock Company. In 2015, Saigon Construction Corporation took over the Gia Phu apartment project from Binh Phu Investment Joint Stock Company.
At the end of 2017, the Ho Chi Minh City People's Committee approved a partial adjustment to the 1/2000 scale zoning plan for the inter-ward residential area 1-2 (District 6). Part of the area at Gia Phu apartment project belongs to the planning of high-rise residential land combined with commercial services, and part has changes in architectural planning criteria.
According to the report of District 6 People's Committee, up to now, the investor has completed compensation for all 63 market stalls and 22/28 housing cases.
The current status of the land has 2 areas A, B with a total area of 884 m2, which is vacant land, outside the corrugated iron fence. Area C has an area of 258 m2 and is currently used by households. Previously, the market stalls in front were compensated, but the inside of the households have not been compensated.
According to the inspection conclusion, Saigon Construction Corporation after taking over in 2015 did not continue to implement the project, leading to the project being prolonged, and there are still 6 cases that have not been compensated.
District 6 wants to convert to school
Regarding the implementation of financial obligations, Saigon Construction Corporation said that the investor agreed to compensate households to implement the project, so it does not have to pay land rent. When completing the compensation and site clearance work, the investor will complete the procedures to pay land use fees, grant ownership rights and carry out the procedures to implement the project.
The audited financial report for 2023 of Saigon Construction Corporation shows that, by the end of 2023, the Company recorded more than VND 7.7 billion as unfinished production and business costs at Gia Phu Apartment Project. This amount did not arise compared to the beginning of 2023.
However, due to the local adjustment of the 1/2000 scale zoning plan for the residential area of Ward 1-2 (District 6), the project scale is no longer suitable. Therefore, in early 2017, the People's Committee of District 6 proposed to consider the procedure of reclaiming the land and handing it over to the locality to invest in building a new kindergarten.
But in 2023, when working with the inspection team, Saigon Construction Corporation proposed to continue implementing the project.
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| By the end of 2023, Saigon Construction Corporation recorded more than VND 7.7 billion as unfinished production and business costs at Gia Phu Apartment Project. Source: Financial statements |
Decree 67/2021/ND-CP of the Government regulating the rearrangement and handling of public assets stipulates that agencies, organizations and units directly managing and using houses and land shall prepare a declaration report for all houses and land facilities under management and use that must be rearranged and handled according to the provisions of this Decree and send it to the superior management agency for synthesis and reporting to the competent authority to develop a plan for rearrangement and handling of houses and land.
Therefore, the Department of Natural Resources and Environment believes that Saigon Construction Corporation must be responsible for reviewing and proposing feasible solutions that are suitable to the current situation (regarding planning, compensation, and current usage status) to ensure continued implementation of the project.
In case the project implementation is not feasible, it is necessary to consider local opinions to arrange effective use, ensuring State management and the rights of related land users.
Based on the inspection conclusion, the Department of Natural Resources and Environment recommended that the Ho Chi Minh City People's Committee assign Saigon Construction Corporation to coordinate with District 6 People's Committee to develop a plan to submit to Steering Committee 167 (Department of Finance) for consideration and decision on whether to continue implementing the Gia Phu Apartment project according to the approved zoning plan or not.
Assign District 6 People's Committee to coordinate and support Saigon Construction Corporation in developing the plan, ensuring feasibility and compliance with legal regulations.
Source: https://baodautu.vn/batdongsan/hon-28-nam-du-an-chung-cu-gia-phu-tphcm-van-chua-xong-thu-tuc-d214846.html
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