Unlocking Decades-Old Land Disputes: Resolution for Pending Cases Since 2003 on the Horizon

Prolonged Legal Hurdles in Land Pricing

Mr. Đào Quang Dương, Head of the Land Economy Department at the Ho Chi Minh City Department of Agriculture and Environment, stated that since the implementation of the 2024 Land Law and Decree 71, the city’s land pricing process has seen significant improvements. From the beginning of the year, HCMC has approved over 70 land pricing schemes, generating an estimated revenue of VND 52 trillion. By year-end, an additional 150 pricing files are expected to be submitted, bringing the total budget revenue to approximately VND 86 trillion.

Mr. Dương noted that prior to the 2024 Land Law, land valuation faced numerous challenges due to overlapping legal frameworks. Specifically, Decree 12/2024, introduced earlier this year, caused many files nationwide to be stalled. It wasn’t until August 1, 2024, when the government issued the amended Decree 71, that these issues began to resolve.

A prime example is Lotte Corporation’s project, which was allocated land in late 2022. However, the land pricing process was delayed due to new regulations. Only after Decree 71 took effect was the file finalized, highlighting the significant impact of legal policies.

Additionally, approximately 84 land allocation and land-use conversion files from the 2003 Land Law era remain unresolved. The primary reason is the lack of market data during that period, making comparative methods or price information collection unfeasible.

Opportunity to Unlock Over 80,000 Housing Units

Preliminary estimates suggest that resolving the 84 pending files could allow the city to approve around 84,000 housing units. With an average of four people per household, this equates to over 300,000 residences for citizens.

“We have repeatedly petitioned the Ministry of Natural Resources and Environment and the Ministry of Finance. Our proposed solution involves multiplying land price tables by adjustment coefficients, creating a straightforward, transparent, and enforceable legal framework. The Prime Minister has directed relevant ministries to explore this approach,” Mr. Dương explained.

Beyond addressing housing issues, expediting land pricing will boost budget revenue and accelerate land clearance for key infrastructure projects. Mr. Dương cited major initiatives like the Ring Road 3, where pricing schemes were approved within a month and gained public consensus.

“Long-standing bottlenecks are gradually being resolved. With cohesive policies, land pricing will become increasingly transparent and efficient, driving real estate market growth and meeting the housing needs of HCMC residents,” Mr. Dương emphasized.