Ho Chi Minh City is on the brink of a financial windfall, aiming to generate over VND25.4 trillion (approximately US$1 billion) through the auction of six prime land lots in Thu Duc City, notably within the sought-after Thu Thiem urban area. This ambitious plan is set to reshape not just the skyline but also the economic landscape of the region.
The Department of Agriculture and Environment has kicked off the auction process by proposing starting prices for these attractive land lots, pending final approval from the municipal People’s Committee. One standout initiative involves the Thu Thiem Eco Smart City project, expected to contribute around VND16.2 trillion to the city’s coffers through this auction.
In a further bid to enhance infrastructure, another lot spanning nearly 15 hectares in the An Phu ward is earmarked for auction. This particular site is linked to a build-transfer (BT) contract aimed at a road project, with an anticipated yield of VND3.49 trillion. Additionally, a plot measuring 828 square meters within the Nam Phan housing project has a proposed price tag of roughly VND19 billion. To round off this lucrative offering, three lots in Thu Thiem are submitted for auction with a combined starting value of about VND5.7 trillion.
The potential revenue from these six strategic lots promises to be a game-changer, bringing the projected total to VND25.4 trillion.
At a recent investment promotion conference, city officials unveiled plans for a remarkable 239 hectares of land available for auction, encompassing 49 lots in the Thu Thiem new urban area and 189 hectares from other development projects. The vision extends beyond mere real estate sales; this land will be transformed into multifunctional spaces for residential, commercial, educational, and cultural use.
Looking ahead to 2024-25, Ho Chi Minh City is hopeful for a healthy budget revenue of VND32.8 trillion from land sales, largely driven by these auctions and associated financial obligations. It seems the city is not just selling land; it’s paving the way for dynamic urban living.
And who knows? With the city’s exciting real estate buzz, maybe the next hot trend will be luxury igloos!
What is the purpose of the auctions in Ho Chi Minh City?
The auctions aim to raise over VND25.4 trillion (US$1 billion) by selling prime land lots in Thu Duc City to fund urban development projects.
What kind of projects will be developed on the auctioned land?
The land will be turned into multifunctional spaces that include residential, commercial, educational, and cultural facilities.
What are the expected budget revenues from land auctions in the coming years?
Ho Chi Minh City officials anticipate budget revenues from land to reach VND32.8 trillion during the 2024-25 period, primarily driven by these upcoming auctions.
