Home Real Estate “Billion-Dollar Vision: West Hanoi Investment Plans a Residential Haven in Hoa Binh”

Real Estate

“Billion-Dollar Vision: West Hanoi Investment Plans a Residential Haven in Hoa Binh”

14 August, 2024

**New Rural Residential Area in Cuoi Ha, Hoa Binh: A Transformational Project**

The New Rural Residential Area in Cuoi Ha, Hoa Binh, is an ambitious project with an estimated total cost of over VND 2,200 billion for implementation and VND 183 billion for compensation, support, and resettlement. Spanning across 53ha of land, this project is designed to accommodate 4,000 people and bring about positive changes to the area.

With a focus on residential space, the project allocates approximately 20ha for housing, making up 38% of the total registered land use area. It offers a diverse range of housing options, including 985 units comprising 732 commercial houses and 253 resettlement land plots.

The project encompasses a variety of housing types to meet different needs and preferences. Approximately 5ha of land is dedicated to terraced houses, featuring 384 units with a maximum height of 5 storeys. For those seeking more spacious options, there will be 170 semi-detached villas on 4ha of land, with a maximum height of 2 storeys. The project also includes 55 exclusive detached villas on nearly 2ha of land, also with a maximum height of 2 storeys. Additionally, there will be high-rise apartments on 2ha of land, offering 123 units with a maximum height of 5 storeys.

A key component of the project is the allocation of 7ha of land for resettlement purposes. This area will comprise 253 plots, fully equipped with technical infrastructure, and will be handed over to the state for resettlement arrangements as per regulations.

The New Rural Residential Area in Cuoi Ha has a planned lifespan of 50 years, commencing from the date of approval by the Hoa Binh People’s Committee. It is expected to be implemented over a period of 5 years, starting from Q2 2024 and concluding in Q2 2029.

To qualify as an investor for this project, interested parties must meet certain criteria. They should possess a minimum capital ownership of VND 332 billion and have experience in executing a project in the field of commercial housing. Additionally, they should be able to present completed or near-completed civil, commercial, or service works from the last 5 years.

The Hoa Binh Provincial Party Committee agreed on the investment policy for this project in May, entrusting relevant units with the task of reviewing and establishing a realistic implementation schedule. The project is expected to be carried out in adherence to the regulations of the Party and the laws of the State, ensuring timely execution and efficient utilization of land resources.

Hanoi West Investment Joint Stock Company, established in July 2016 in Hoan Kiem District, Hanoi, specializes in real estate business operations. With an initial chartered capital of VND 100 billion, the company is a joint venture between T&T Group Joint Stock Company, contributing 70%, and Nam Quoc Son Joint Stock Company, holding the remaining 30%. Mr. Vu Van Long, born in 1964, serves as the Director and legal representative of Hanoi West Investment, concurrently holding the same position at Nam Quoc Son.

In 2018, the company reduced its chartered capital to VND 20 billion while maintaining the same ratio of capital contribution between the two members. Towards the end of that year, Mr. Tran Khanh and Mr. Nguyen Viet Hung replaced the capital contributions of T&T Group and Nam Quoc Son, respectively. Mr. Hung took on the role of General Director and legal representative. It is worth noting that Mr. Tran Khanh is a member of the Board of Directors of Vietnam Construction and Commerce Investment Joint Stock Company (UPCoM: CTX) since 2016, while Mr. Hung serves as the General Director of Sun Air Limited Company.

As of June 2024, Hanoi West Investment Joint Stock Company has increased its chartered capital to VND 477 billion to enhance its capacity for executing the New Rural Residential Area project. The additional capital of VND 457 billion was contributed by Mr. Le Van Quy, who now holds a 95.8% stake in the company and serves as its Director and legal representative. Mr. Hung maintains a stake of nearly 4.2% after Mr. Tran Khanh’s withdrawal.

Mr. Le Van Quy

In 2022, the Hoa Binh People’s Committee approved Hoa Binh Sun Joint Stock Company as the investor for a project to develop a high-class eco-urban, entertainment, and cable car complex in Cuoi Ha and Kim Boi communes. With a total investment of approximately VND 6,600 billion, this project is expected to be operational by 2026.

According to a report by the People’s Committee of Kim Boi district, as of May 15, 2024, six communes have achieved new rural standards, namely Nam Thuong, Sao Bay, Vinh Dong, My Hoa, Dong Bac, and Vinh Tien, accounting for 60% of the plan. However, no communes have attained the advanced new rural or new rural model standards. Kim Boi district lags in the implementation of the National Criteria for New Rural, Advanced New Rural, and New Rural Model compared to the overall provincial performance.