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Posts Tagged ‘low-income’

Low-income housing to expand in 2011

In Uncategorized on January 8, 2011 at 4:08 am

Low-income housing to expand in 2011

QĐND – Thursday, January 06, 2011, 21:17 (GMT+7)

More than 70,000 low-income households will have new apartments this year, according to Deputy Minister of Construction Nguyen Tran Nam.

He said his ministry and others would work to mobilise capital to hasten construction of low-income housing.

The more than 70,000 households which were mentioned above are considered to have the most severe financial difficulty of eligible families.

After one year of implementing the Government’s programme to build low-income houses, 37 projects nationwide have started, with a total investment of VND3.6 trillion (US$180 million) and total floor space of 750,000 square metres.

These projects will provide living space for a total of 64,000 households.

By the end of 2010, construction on 1,653 apartments had been completed, with 728 of them sold to residents in Hanoi and Da Nang.

Recently, authorities of Hanoi and Da Nang told contractors to complete construction on 728 apartments so they can be handed over before Tet (Lunar New Year) holiday.

This year, there will be many more ongoing projects finished and new projects launched.

Nationwide, investment of VND23 trillion ($1.15 billion) has been registered for 190 projects to build houses for low-income people, Nam said.

Of those projects, around 170,000 apartments with a total floor space of 7 million square metres will be adapted or renovated for around 700,000 low-income people during the 2011-15 period, he added.


According to the incentive policy of the Vietnam Government for investors in low-income housing, which took effect in June last year, investors will enjoy exemptions on value-added taxes (VAT) and land-use or land-lease charges.

Those who invest in housing projects for low-income earners will also receive a corporate income-tax exemption for the first four years and a 50 percent discount for the next nine years. After that, the rate will be 10 percent.

The normal corporate income-tax rate is 25 percent.

The proportion of housing area on the project sites has been increased by 1.5 times more than what is allowed by current regulations.

Under the Government’s policy, investors are also eligible for low-interest loans, loans from localities’ Housing Development Funds and cleared plots of land.

Pham Si Liem, deputy chairman of the Vietnam Federation of Civil Engineering Associations, said localities should also assist low-income people, including offering long-term, low-interest bank loans.

To ensure security for the loans, the loans should be for around 80 percent of the house’s value, he said.

“Creating conditions for buyers will accelerate house demand; then the market will itself increase the supply,” Liem said.

Last year, around 1,000 government employees in HCM City were eligible to receive loans approved by the city’s Housing Development Fund.

Of that figure, 522 people have received loans for a total amount of VND132 billion. The remaining people are still looking for housing.

Source: VNA

Source: QDND

Vinh Phuc builds homes for low-income people

In Uncategorized on November 5, 2010 at 3:19 pm

Work starts on housing project for the low-income in Ca Mau

In Uncategorized on August 5, 2010 at 3:20 pm

Work starts on housing project for the low-income in Ca Mau

QĐND – Thursday, August 05, 2010, 20:47 (GMT+7)

PANO – The southern province of Ca Mau has recently started the construction of a housing project for low-income people in the area.

The VND30 billion project, located on an area of 3,480 sq.m., consists of two six-storey blocks. The ground-floor has management, trade and services offices, a parking place and a community area, while the remainder includes 112 apartment of 36-42 sq.m. each.

The construction of the project is expected to be completed by late 2011.

Translated by Vu Hung

Source: QDND

Hanoi’s monorail to serve low-income earners

In Uncategorized on July 4, 2010 at 4:09 pm

Hanoi’s monorail to serve low-income earners

QĐND – Sunday, July 04, 2010, 20:55 (GMT+7)

Vinaconex General Director Xuan Mai, the investor in Hanoi’s monorail project, confirmed that the State must subsidize all other kinds of train.

VietNamNet Bridge interviews Huy about this project on VNExpress online newspaper.

VNExpress: Vinaconex proposed building a monorail from Hoa Lac to the West Lake. What can you say about the advantages and disadvantages of monorails in comparison with double rails?

Huy: Double-rail trains can transport high numbers of passengers at high speeds, so it’s suitable for longer routes. Monorail trains are good for short and medium routes, with average speeds of 70-80km per hour. In China, monorails are often from 20-40km long and double rails are used for longer distances.

The advantage of monorails is that less investment capital is needed. The total investment for the Hoa Lac-West Lake monorail route will be $8 million, just one fifth required for a double rail train.

In the current context, this advantage is very important, because Vietnam’s financial potential is limited. Moreover, monorails don’t require a lot of land.

VNE: Why did Vinaconex suggest building the Hoa Lac-West Lake monorail route?

Huy: Because this route will not require large-scale site clearance, so construction will be rapid.

The area needed to build stations is also small. We only need vast spaces for repairs and major stations, which can be built far from the city centre.

In the near future, many new residential areas will be built along this route. The Hoa Lac satellite town will also have from 500,000-600,000 residents, so a tramcar route is necessary.

VNE: What do you think about safety concerns for overhead monorail trains?

Huy: I don’t have specific statistics, but I can confirm that many countries use monorails, like Malaysia, China, Japan, Russia, USA, and Canada.

Monorails have been used for a hundred years and they have improved with the development of science and technology. We can build two separate rails for two directions. I know that there are no accidents recorded with monorail for the last 100 years.

VNE: How about the investment and ticket price for monorail?

Huy: We have not worked on the fare details, but I’m sure that it must be cheap to serve low-income earners, students, and workers. The investment capital can be regained within 20-30 years.

In other countries, investors regain their capital from monorails, whereas the State must subsidize all other forms of trains.

VNE: What do you think about the public’s habits? Can they adapt to this means of transport?

Huy: I think habits will change gradually. Using monorails, they will not face gridlock and the trains will run on time. It will take them only 10-15 minutes to reach their destinations for a 20km route with 10 stations. Moreover, as the monorail runs overhead, passengers can also see the city from above.

VNE: How will the train operate if Vietnam continues to have power outages?

Huy: The train can use two sources of power: one-way electricity from the power grid or diesel motors. We are considering which will be more appropriate.

The current power supply situation in Vietnam will affect monorail trains, but we can also use generators.

Source: VNN

Source: QDND

More houses for low-income people needed

In Uncategorized on September 1, 2008 at 1:01 pm

– More houses for low-income people, including labourers and State employees, are needed to meet the rising demand for affordable housing, according to Ho Chi Minh City officials.

In Ho Chi Minh City, 200,000 workers at industrial and export processing zones, 11,000 State employees, and over 1.5 million migrants do not have housing yet.

The few low-income housing projects that do exist are usually only half-completed or still on the drawing board. Most real estate investors are focused on the quick profits of building high-end housing.

Meanwhile, despite a drop in housing prices, low-income earners do not have enough cash to buy houses since bank policies no longer allow them to take out loans.

The price of a 40 sq,m apartment from Dat Lanh Real Estate Company is 400 million VND (24,000 USD). At this price, it would take 20 years of work for many people to be able to afford the house.

HCM City’s Housing Development Fund has a programme to provide home loans for low-income earners but the criteria for eligibility is often unattainable.

The fund can only give loans to a limited number of people. Moreover, the maximum amount that they can borrow is 300 million VND (18,000 USD).

Nguyen Ngoc Thach, deputy director of the Housing Development Fund, proposed the city create more favourable conditions for public land funds and capital for building low-income housing immediately to speed up housing development projects.

He also asked the city to let private investors take over Government housing development projects, and then rent or sell them.

So far the fund has given 247 people loans worth a total of 58 billion VND (3.5 million USD).-