HCM City accelerates social housing development
Ho Chi Minh City expects to build about 35,000 social housing units with 2.5 million square metres of floor space in 2021-2025, and nearly 58,000 units with a floor space of 4.08 million square metres by 2030.
The municipal People’s Council has passed a resolution on housing development in the 2021-2030 period.
Of the total social housing units, about 7,000 lease houses with 500,000sq.m of floor space and 4,500 accommodations for workers with 220,000sq.m of floor space will be built by 2025.
The city targets to build 50 million square metres of houses by 2025, and about 57.5 million square metres of houses in the following five years from 2026 to 2030.
This construction aims to meet locals’ living needs and increase the minimum housing area in the city to 10sq.m per person by 2025, and 12sq.m per person by 2030.
The city plans to develop about 15.5 million square metres of floor space for commercial housing by 2025, and 21.4 million square metres of floor space for commercial housing by 2030.
In the following five years from 2026 to 2030, the city will build 58,000 social housing units with 4.08 million square metres of floor space, including 11.600 lease houses with 816,000sq.m of floor space and 8,000 accommodations for workers with 480,000sq.m of floor space.
By 2030, an additional 31.9 million square metres of floor space for separate houses for households will be added.
The city has identified housing development as one of the most important factors in its socio-economic development.
It strives to address the bottlenecks slowing down development of social housing to meet the rising demand for affordable houses, create better living conditions to attract more high-quality workers and retain them to live and work in the city.
All sectors are encouraged to invest in housing development, especially social housing and low-cost housing.
The city prioritises the allocation of public investment capital from the State budget to social housing projects with lease or hire-purchase units, and seeks to increase the proportion of rental housing in the affordable housing segment.
Capital for the city’s housing development is expected to be raised from sources such as private enterprises, credit institutions, the accumulated capital of households and other sources.
Meanwhile, capital for social housing development will mainly be taken from private enterprises, preferential credits, and about 10 per cent of the city's budget.
The city plans to spend about VND3.8 trillion (US$160 million) for social housing in the 2021-2025 period, and VND8.6 trillion (US$366.8 million) for social housing in the 2026-2030 period.
It will develop high-rise buildings, increase the proportion of apartment buildings, give priority to developing housing projects in new urban areas, limit new housing projects in the central areas, and create land funds for transport projects, public parks and parking spaces.
According to the city’s Department of Construction, the city now has 33 commercial housing projects which are required to set aside 20% of their land for social housing.
This will enable the city to have 70,000 social housing units.
By 2023, 14 out of 33 projects will have completed site clearance and compensation, and are expected to start construction next year to put into use about 15,000 social housing units.
The municipal People's Council has also approved a resolution to establish a working team to monitor the implementation of social housing projects in the city in the 2016-2025 period.
