According to TTC Land, on August 9, 2018, TTC Land and Nha Hoa Binh signed a lease agreement for TTC Plaza Binh Thanh (located at 26 Ung Van Khiem, Ward 25, Binh Thanh District), a project legally owned and developed by TTC Land.
TTC Plaza Binh Thanh spans an area of 5,570 square meters and is the first commercial and office rental project in Ho Chi Minh City by TTC Land. It was inaugurated in late 2018 and comprises nine floors and one basement level.
 26 Ung Van Khiem, Binh Thanh District
|
TTC Land has fulfilled its contractual obligations, whereas Nha Hoa Binh has repeatedly defaulted on rental payments. Since November 2023, TTC Land has directly engaged with Nha Hoa Binh multiple times to resolve the outstanding debts. However, despite committing to payment schedules and attending meetings with senior leaders from both parties, Nha Hoa Binh has consistently failed to settle its debts.
This delay has significantly impacted TTC Land’s business operations and caused difficulties in settling their own debts.
To achieve its five-year goal (2021-2025) and work towards its vision for 2026-2030, TTC Land finds it unacceptable for its primary and stable revenue stream from the TTC Plaza Binh Thanh lease to be disrupted, especially amid the current challenges faced by real estate businesses.
As of August 6, 2024, Nha Hoa Binh has not rectified its payment defaults. Therefore, based on the lease agreement, TTC Land asserts its right to unilaterally terminate the contract and enforce penalties to recover damages and compensate third parties.
Consequently, in 2024, TTC Land has sent multiple written notices to Nha Hoa Binh demanding payment and announcing the unilateral termination of the contract on June 28, July 22, August 1, and August 5, among other dates.
Additionally, the lease agreement between the two parties ended on August 3, 2024, obligating Nha Hoa Binh to hand over the entire leased premises at TTC Plaza Binh Thanh to TTC Land on August 8, 2024. Following the handover, TTC Land would take over existing tenants to ensure uninterrupted business operations.
However, TTC Land reported that on August 8, their representative was dispatched to receive the handover of TTC Plaza Binh Thanh, but Nha Hoa Binh refused to cooperate and failed to facilitate the handover process. The building management also declined to cooperate due to a lack of information from Nha Hoa Binh.
Who is Nha Hoa Binh?
Joint Stock Company Nha Hoa Binh (HBH) was established in 2007 with a charter capital of VND 450 billion as of late 2023, 99.96% of which is owned by HBC. The company is headquartered at 235 Vo Thi Sau, Vo Thi Sau Ward, District 3, Ho Chi Minh City, which also serves as the headquarters of HBC.
HBH manages the Pax Sky office rental system and holds 100% of the capital in Pax Sky Co., Ltd. (with a charter capital of VND 20 billion), according to HBC‘s 2019 annual report.
In 2020, HBC highlighted that the most prominent property in the Pax Sky system was the Pax Sky building at 26 Ung Van Khiem, Binh Thanh District, with a total rental area of nearly 20,000 square meters. Thanks to this building, the occupancy rate of the entire Pax Sky system in Ho Chi Minh City reached 95% by the end of 2020, up from 91% in 2019.
However, in 2023, HBC reported that the Pax Sky system faced challenges in finding tenants due to the prolonged COVID-19 pandemic and the economic crisis in the second half of 2022. As a result, HBH had to downsize the system from 12 to seven buildings, and the occupancy rate dropped to approximately 77% by the end of 2023.
Source: Author’s compilation
|
On May 18, 2023, the Board of Directors of HBC resolved to relieve Mr. Le Viet Hai, Chairman of the Board of Directors of HBC, from his position as Chairman of the Board of Directors of HBH. Subsequently, on July 19, 2023, HBC appointed Vice Chairman of the Board of Directors, Ms. Nguyen Thi Luot, as the representative of HBC‘s capital contribution at HBH.
Real estate company of businessman Dang Van Thanh fined and tax recollected
TTC Land, owned by businessman Dang Van Thanh’s family, has been penalized for tax evasion, tax arrears, and late payment penalties, totaling nearly VND 2.3 billion.
TTC Land (SCR) penalized and fined nearly 2.3 billion VND
TTC Land (SCR) – the real estate company owned by tycoon Dang Van Thanh has recently been fined and had nearly 2.3 billion VND in taxes reclaimed.
Building Peace Slows Down Social Insurance Closure by Over 38 Billion VND
According to the list published by Ho Chi Minh City Social Insurance, as of the end of January 2024, Hoa Binh Construction has delayed paying 10 months of social insurance for workers, equivalent to over VND 38.4 billion.
