Policy supports apartment renovations
Investors are expected to be backed by preferential policies to encourage rebuilding and renovation of deteriorated residential buildings in Ha Noi.
Under a draft resolution on the issue, discussed at a recent meeting of the municipal People's Committee, interested investors will be exempt from land use and land lease fees for areas allocated or rented to implement their projects.
Meanwhile, residents living in the old and damaged buildings will be allowed to buy affordable social housing instead of going to resettlement houses.
In case where residents sell their flats to investors, they will be exempt from taxes relating to the apartment purchase and personal income tax.
Vice Chairman of the municipal People's Committee Vu Hong Khanh said it was also essential to tackle difficulties relating to financial issues while protecting the interests of residents when implementing projects to upgrade and rebuild old buildings.
He proposed the city offer more preferential policies for residents who need to buy resettlement houses.
Ha Noi has around 1,155 old multi-storey residential buildings, 10 old residential quarters of 1-3 stories and many houses that are unoccupied or require upgrades, according to figures from the municipal construction department.
The city's People's Council issued a resolution in 2005 to upgrade and rebuild decrepit residential buildings in the capital city. However, the city has dealt with just one per cent of its old residential buildings, said Director of the construction department Nguyen Quoc Tuan.
Priority status has been given to dangerous residential buildings whose residents were forced to move to ensure their safety, such as Kim Lien residential buildings in Hai Ba Trung District and Giang Vo residential buildings in Dong Da District.
A project to rebuild the Nguyen Cong Tru residential buildings in Hai BaTrung district, another example, was started in March following the city's strategy to renovate and rebuild old buildings.
The housing estate, constructed in the 1960s, includes 14 deteriorating four-storey buildings. It will be replaced by a complex that includes eight new 14-storey buildings on the 360,000-sq.m site. It will be connected by a network of roads and complimented by supporting buildings, nursery schools and a sports complex.