On April 3, 2023, Deputy Prime Minister Tran Hong Ha signed Decree 10/2023 amending and supplementing some articles of decrees that guide implementation of the Land Law (Decree 10).

This includes a regulation on granting certificates on ownership of construction works on land reserved for trade and service purposes.

The construction works used for tourism accommodations, if meeting requirements, will be granted certificates on the ownership of the construction works on the land in accordance with land use purposes. 

With the new regulation, condotels, resort villas and other works serving  accommodations and tourism on commercial and service land will be granted certificates if they can satisfy requirements.

The owners of construction works need to satisfy the requirements as stipulated by the laws on construction and real estate business.

Decree 10 also clearly stipulates procedures for registering and granting certificates on land-use rights, home ownership and other assets on land (pink book) to transferees in non-residential real estate projects.

After completing construction works, investors have the responsibility of sending documents to the Departments of Natural Resources and the Environment, including pink book and invoices that prove they have fulfilled financial obligations (In case financial obligations change, they will have to submit documents to prove this); premise drawings suited to the status and signed contracts; and notices from agencies on allowing investors to have construction works officially accepted and put into use.

Investors also have to submit a list of assets, such as works, work items including information about the names of properties, land area and construction area of each property.

The decision on granting certificates to construction works used for tourism accommodations is believed to be good news for the resort real estate market.

The HCMC City Real Estate Association (HOREA) in 2019 reported that there were 82,900 condotels in the country, most of which belong to resort tourism areas and built on commercial and service land.

HOREA chair Le Hoang Chau said condotels have similarities with apartments and most are located in multi-storey buildings. However, the legal framework covering this real estate market segment is not sufficient. 

Hong Khanh