Chinese firm becomes Vietnam's first housing foreign investor
24/1/2005 15:16
China's Success Investment and Development Company has become the first
foreign investor licensed to develop a housing project for low-income earners in
Vietnam's Ho Chi Minh City.
The company will invest US$80 million in building
apartment blocks of 5-15 stories high on a 37.7-hectare site in District No. 12,
and several public facilities such as schools and parks, local newspaper Vietnam
Investment Review reported Monday.
The project, once completed by 2010, will
accommodate about 200, 000 people. Most of the apartments will be sold in
installments, said the company's director Lin Yin Sang.
The project is in
line with the city's overall plan to develop houses for low-income people, said
the city's deputy mayor, Nguyen Huu Tin.
Ho Chi Minh City, which is home to
more than 6 million people, has targeted to raise its average accommodation
acreage to 9-12 square meters per person by 2010.
To lure more investors in
the housing sector, the city will offer suitable locations to investors who
implement projects using their own capital, and grant preferential treatment to
those who set aside 60 percent of their allotted land for construction of
multi-story buildings and 15 percent of their housing for lease or sale in
installment.
Besides, investors will not have to pay land use tax on land
accommodating low-income earners, land rentals, corporate tax and value added
tax.
Ho Chi Minh City plans to build 190,000 new houses for low- income
earners by 2010, which will require a total funding of 15 trillion Vietnamese
dong (US$955.4 million).
Xinhua News
|
