Next month, Hanoi authorities are set to auction a two-hectare plot of land located in the city’s western region. The initial entry price has been established at VND1.06 trillion, or approximately US$40 million, which equates to VND52.9 million per square meter.
The plot of land is situated in the An Khanh Commune, positioned 22 kilometers away from the city center. The auction will be conducted by the Lac Viet Auction Partnership Company. The land is zoned for commercial residential development, opening up possibilities for significant business ventures.
The auctioning process will be conducted through multiple rounds of sealed bids, with at least five rounds expected to occur. Each incremental bid will be increased by VND10 billion. Bidders are required to place a deposit equivalent to 20% of the starting price to participate in the auction.
An Khanh Commune is home to a population of 102,000. Its close proximity to Thang Long Avenue has catalyzed the establishment of several significant residential projects such as Sudico Nam An Khanh, HaDo Charm Villas, and Vinhomes Thang Long.
In the previous year, Hanoi set a new record in its revenue from land-related transactions, generating VND107.9 trillion. This figure surpassed its intended target by 125% and was over twice the amount earned in the previous year. This revenue constituted 15% of the city’s total income.
Looking forward, Hanoi has set a target to earn a total revenue of VND3.7 quadrillion from 2021 to 2030. Of this amount, about 21.6% is expected to be derived from land transactions.
What is the starting price for the land auction in An Khanh Commune?
The starting price is VND1.06 trillion, or approximately US$40 million.
What type of development is permitted on the auctioned land?
The land is zoned for commercial residential development.
What percentage of Hanoi’s total revenue from 2021 to 2030 is expected to come from land transactions?
About 21.6% of the total revenue is projected to come from land transactions.
