No high-rise apartment projects in downtown HCM City until 2020

HCM City will not approve construction of new high-rise apartments in inner city areas (District 1 and 3) until 2020. Photo to by Shutterstock/De Visu

According to the housing development plan for 2016-2020 with orientation until 2025, that was approved by the HCM City People’s Committee on November 19, the city will not approve construction of new high-rise apartments in inner city areas (District 1 and 3) until 2020.

Projects already approved and under construction will continue as usual.

The city will also prioritize projects repairing or renovating 50% of 474 old apartment complexes constructed before 1975.

It will continue to relocate households living along canals; construct new or renovate old, degraded condominiums; upgrade existing residential areas; continue developing new urban centres, and prioritize the development of social housing.

The city will also focus on completing unfinished projects in some uptown districts and refrain from approving new housing projects if there are no plans to build adequate technical and social infrastructure in the area.

The focus on completing existing projects will also apply to outlying districts. Housing in rural communes will be prioritized and high-rise apartments will be focused along major transport corridors or where technical infrastructure can support new housing.

In particular, Ho Chi Minh City will invest in and prioritise the development of social housing projects to meet the needs of eligible residents, and for those who are resettled by urban beatification projects.

The plan aims to free up more land for social housing projects in the 2021-2025 period.

It envisages raising total living space in the city by 40 million square meters and per capita housing area to 19.8 square meters by 2020.

To implement the housing development plan, the city estimates a budget of over VND310 trillion (US$13.27 billion), of which investment capital for commercial real estate will amount to VND82 trillion (US$3.51 billion), residential housing VND210 trillion (US$8.99 billion), and rest for social housing.