'Novaland and Hung Thinh's real estate projects are being dismantled'

Novaland and Hung Thinh's real estate projects in Dong Nai and Binh Thuan are having difficulties and obstacles removed by the Prime Minister's Working Group, according to the Deputy Minister of Construction.

This information was stated by Deputy Minister of Construction Nguyen Tuong Van at the Government press conference on the evening of July 4.

According to him, the Prime Minister 's Working Group on removing difficulties for real estate has worked directly with 6 localities, received 108 petitions from businesses and forwarded them to provincial People's Committees, ministries and branches to directly remove institutional problems.

For example, in Dong Nai, the Working Group reviewed 7 major projects of Novaland and Hung Thinh Group. These projects encountered problems mainly related to not being included in the planning, not allocating 20% of the land fund for social housing. "The Working Group has proposed a consulting plan, submitted it to and received approval from the Prime Minister, as a basis for implementing the next steps to resolve the issue," Mr. Van shared.

The working group also advised the Prime Minister and the Ministry of Natural Resources and Environment to consider and resolve issues regarding prices, land use fees, and granting land use right certificates for the Novaland Phan Thiet project in Binh Thuan.

In Ho Chi Minh City, according to the Deputy Minister of Construction, the Prime Minister's Working Group has handled 30 recommendations on renovating apartment buildings, social housing and planning that local authorities have not fully understood and applied.

Mr. Nguyen Tuong Van, Deputy Minister of Construction, answered at the Government press conference on the evening of July 4. Photo: Nhat Bac — Mr. Nguyen Tuong Van, Deputy Minister of Construction, answered at the Government press conference on the evening of July 4. Photo: *Nhat Bac*

Previously, Binh Thuan province also proposed 5 ways to solve difficulties for the Novaland Phan Thiet project, which are to maintain the investment policy, combine land lease decisions, and pay land rent at once to solve legal difficulties for this project.

The project covers an area of nearly 1,000 hectares and has an investment capital of about 5 billion USD, invested by Delta - Valley Binh Thuan Company Limited - a subsidiary of Novaland, in Tien Thanh Commune, Phan Thiet City. In the report, Binh Thuan province pointed out 5 problems and proposed specific solutions to the problems that need to be resolved.

Regarding Novaland's difficulties, at the recent annual meeting, Chairman of the Board of Directors Bui Thanh Nhon informed that the unit is making efforts to comprehensively restructure and has shown positive signs. The company's production and business activities are expected to recover from the third quarter. According to Mr. Nhon, Novaland is rearranging priorities for projects that are about to be completed to hand over products to customers and choosing projects with high liquidity to speed up legal procedures, in order to catch up with the market's recovery. The company restarted the Aqua City project in Dong Nai on June 23.

Also at the press conference, Deputy Minister of Construction Nguyen Tuong Van said the three biggest obstacles facing real estate investment projects are institutions, implementation organization; capital, bond market and credit.

Regarding capital, the State Bank has recently introduced a series of solutions on debt repayment time structure, debt group classification, and bond trading.

"Localities need to consider resolving real estate projects as an important urgent task, and the authority at which level must handle it resolutely," Deputy Minister Van stated.

Mr. Minh

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