Real estate projects of Mr. Dang Le Nguyen Vu

Mr. Dang Le Nguyen Vu, Chairman of Trung Nguyen Group, is well known for his mountain coffee brand and his fleet of expensive supercars. However, he has also "invaded" into real estate.

In which, a series of typical projects are known as Coffee City; Trung Nguyen Legend - Loc An Coffee product display and exhibition area; Livestock farm and development combined with Eco -tourism (Krong A commune, M'Drak district); Dray Sap Thuong waterfall tourist area and Dray Nur waterfall (Krong Ana); Trung Nguyen guesthouse (Tan Loi ward, Buon Ma Thuot city)...

However, over the years, some projects have been behind schedule, construction is unfinished, some projects have been allocated land but compensation has not been made and recently some projects of Trung Nguyen Group have been put under review and revocation.

Trung Nguyen Legend Coffee product display and viewing area - Loc An

With an area of over 1.5 hectares, the Trung Nguyen Legend Coffee Exhibition and Display Area Project - Loc An, Bao Lam District was approved for investment by the People's Committee of Lam Dong Province in October 2017. It is expected that by the end of the third quarter of 2019, Trung Nguyen will have to complete the project and put it into use.

The project's objective is to build an exhibition and display space for Trung Nguyen coffee products, as well as food and beverage services.

The Ministry of Planning and Investment concluded that this project was one of 14 projects in Lam Dong province that were behind schedule compared to the investment policy decision, so it proposed to withdraw and terminate the project.

Loạt dự án bất động sản của ông Đặng Lê Nguyên Vũ - 1 — The Trung Nguyen Legend coffee product display and viewing area has not been completed (Photo: An Khang).

Since 2022, Lam Dong province has decided to terminate the project's operations due to the delay in putting the land into use in violation of the provisions of the 2013 Land Law, and the slow progress of project investment in violation of the 2014 Investment Law and the 2020 Investment Law.

In May 2023, Lam Dong Provincial People's Committee issued a document assigning the Department of Natural Resources and Environment to preside over reviewing the content of the proposal to recover and manage land at this project.

Recently, the Department of Natural Resources and Environment of Lam Dong province responded in writing to the request of Trung Nguyen Coffee Joint Stock Company to continue using an area of 4,337 square meters at the above project.

However, the Department affirmed that the proposal of Trung Nguyen Company has no basis for consideration. The Department of Natural Resources and Environment of the province said that the Land Law stipulates that in case the State reclaims land due to violations of land laws regarding project implementation time, after the extension period expires but the investor has not yet put the land into use, the State will reclaim the land without compensation for the land and assets attached to the land.

Previously, Trung Nguyen Company had a written request to continue using the 4,337m2 land at the Trung Nguyen Legend - Loc An project. The company said that the 4,337m2 was legally transferred by the enterprise from Tien Dat II Tra Co., Ltd. according to the land use right certificate issued by Lam Dong Provincial People's Committee in April 2002.

The remaining 11,192m2 of the total area of 15,529m2 of land recovered in the project was leased by the People's Committee of Lam Dong province. From 2007 to 2016, the company used this land area to establish a branch. By 2017 (ie 15 years after receiving the transfer), the company invested this 4,337m2 along with 11,192m2 leased by the State into the Trung Nguyen Legend project.

According to Trung Nguyen Company, the area of 4,337m2 is not land allocated or leased by the State. When the project is terminated, the company must receive this land back.

Coffee City Project

The Coffee City project is Trung Nguyen’s first product in the real estate sector. Previously, this project was called Suoi Xanh Coffee Cultural Ecological Urban Area, Tan Loi Ward, Buon Ma Thuot City, Dak Lak.

The project is introduced to have an area of 45.45 hectares, including products such as apartments, villas, social housing, educational facilities... According to the introduction, the project includes many items such as a reading area, a commercial and culinary area, a sports area... The apartments here are divided into different products with different prices, ranging from over 9 billion VND/apartment with a floor area of 350m2 and over 13 billion VND/apartment with a floor area of 416m2.

Loạt dự án bất động sản của ông Đặng Lê Nguyên Vũ - 2 — Perspective of Coffee City Project (Photo: Trung Nguyen).

This project was conceived in 2006, approved for investment in 2016 and started construction in January 2017.

The investor will deploy the project in 2 phases including items such as museum, townhouses, commercial townhouses, shopping center, resort hotel, coffee cultural eco-park...

Regarding the current status, some items of the project have been completed and put into use, such as the World Coffee Museum. By April, the progress update shows that some townhouses and terraced houses have completed the exterior, while others are in the process of being completed or built in the rough.

For phase 1, Buon Ma Thuot City People's Committee has approved the compensation plan, support and costs for organizing compensation and support when the State reclaims land for construction. The total compensation and support cost is more than 116 billion VND for 80 affected households, land recovery and completion of handover of the entire area of more than 19 hectares for the investor to implement the project.

For phase 2, on June 15, 2018, Buon Ma Thuot City Land Fund Development Center sent a document requesting Trung Nguyen Company to provide relevant documents to implement the project. However, Trung Nguyen only handed over the preliminary milestones but has not yet coordinated and handed over the relevant documents.

Loạt dự án bất động sản của ông Đặng Lê Nguyên Vũ - 3 — Progress of townhouses and commercial houses in Coffee City in April 2023 (Photo: Trung Nguyen).

The project's slow progress has led to difficulties for households in daily life, not being able to use clean water, and damaged houses and roads not being allowed to be repaired... In a press conference in early July, a representative of the People's Committee of Buon Ma Thuot City said that in the coming time, the city will review and report to the Provincial People's Committee, requesting the investor to commit to implementing the project on schedule to ensure the quality of life of the people. If the company does not implement the project as committed, the land will be reclaimed.

Eco-tourism area dubbed "Vietnamese version of Dubai"

Another project that Trung Nguyen Group was approved by the Dak Lak Provincial People's Committee for investment in 2004 is the project of Livestock Farm and Development combined with Ecotourism (Krong A commune, M'Drak district).

This project is also considered as "Vietnamese version of Dubai". The project is introduced to have a scale of 595 hectares, registered capital of 68 billion VND and has been leased 377 hectares of agricultural land by the local government to build initial investment items.

On January 15, 2018, the People's Committee of Dak Lak province requested Trung Nguyen Coffee Joint Stock Company to carry out procedures to adjust the project's objectives and scale in accordance with regulations; to have a written commitment to complete and put the eco-tourism area into use before November 2019, and to comply with tax obligations when implementing projects in the area.

However, after many years of project delays, in 2021, the Provincial People's Committee issued a decision to add this project to the 2021 Land Use Plan of M'Drak district.

Cu H'Lam Hill Scenic Area

The Cu H'Lam Hill Scenic Area is invested by Dang Le Tourism Investment Company Limited (under Trung Nguyen Group). The project area is introduced as 62 hectares, expected to start construction in 2016.

However, in 2017, Dak Lak province announced that the implementation progress would be extended to October 2019. The People's Committee of Cu M'gar district was asked to speed up the progress of compensation and site clearance after the compensation, support and resettlement plan was approved by competent authorities, and to soon hand over the land to investors to implement the project.

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