Hanoi has approved a consortium led by Viglacera to develop the Tiên Dương 1 social housing project in Phúc Thịnh commune, with a total investment of more than VND 9.3 trillion.

On September 24, the Hanoi People’s Committee officially approved the Viglacera – Hoàng Thành – Central consortium as the investor for the Tiên Dương 1 social housing project (formerly part of Đông Anh district).

The project covers nearly 45 hectares with a total investment of over VND 9.3 trillion, of which about VND 617 billion is allocated for site clearance and resettlement compensation. The land fund includes more than 13 hectares for social housing and 3.3 hectares for commercial housing.

Once completed, the project will deliver more than 3,100 social housing units, 427 commercial apartments, and 99 low-rise houses. It will also include schools (from kindergarten to secondary level), service facilities, and retail spaces.

The three investors will contribute VND 1.5 trillion in equity: Viglacera accounts for the largest share with VND 825 billion (55%), followed by Hoàng Thành with VND 450 billion (30%) and Central with VND 225 billion (15%). The consortium will mobilize an additional VND 7.8 trillion to finance the project.

The project is scheduled for completion by 2030 and will operate for 50 years from the date the investors are allocated, leased, or permitted to convert land use.

In the former Đông Anh district, Viglacera is also developing another social housing project in cooperation with Handico at the Kim Chung New Urban Area. That project broke ground in March and will provide more than 1,100 apartments.

Nearby, the Tiên Dương 2 social housing project has been registered by a consortium of two companies affiliated with Kinh Bắc Urban Development Corporation (KBC). Covering nearly 40 hectares, it includes 12.3 hectares for social housing and about 2.2 hectares for commercial housing. Upon completion, Tiên Dương 2 will supply around 3,344 social apartments and 114 commercial low-rise houses, with a total investment exceeding VND 6.8 trillion.

Both Tiên Dương 1 and 2 are part of five concentrated social housing areas that Hanoi proposed for pilot development during 2016–2017. Earlier this year, the city leadership required that investors be selected and construction commenced no later than September.

Under Vietnam’s national program to develop 1 million social housing units by 2030, Hanoi has the highest target in the country with 56,200 units. However, in the past four years, the city has completed less than 21% of this goal.

Last year, only one rental social housing project was granted a construction permit. But since the beginning of this year, Hanoi’s social housing development has shown positive momentum, with multiple projects being launched and opened for sale. Supply is recovering, though prices are trending upward, with most new projects priced above VND 20 million per square meter.

Source: Vnexpress.net