Hanoi pauses near 100 BT projects
82 build-transfer (BT) projects in Hanoi developed by real estate developers have been ordered to halt.
|Hanoi pauses BT contract projects|
Hanoi Department of Planning and Investment has just issued a document to block the development of 82 projects running under BT contracts, in accordance with the Law on Investment 2020 which has come into effect on January 1, 2021. All new BT contract projects that have yet to issue bidding documents and requirements, will be cancelled.
The Hanoi People's Committee has been warning developers of the coming halt since early-2021, saying that some of these projects will be developed through public investment.
Accordingly, two of these 82 projects that have already had their feasibility study approved but have not yet signed the BT contract are the project on repairing and upgrading the 7.5km Hadong-Van Dien section of Road 70 and the construction of the 21.6km Ba La-Xuan Mai section of National Highway No.6.
Besides these, 11 projects have received in-principle approval and are conducting feasibility studies. They are:
- Road 70 from Nhon to Thang Long Boulevard-Hadong (4.77km) developed by Thai An Real Estate JSC;
- Belt Road No.3.5 from Thuong Cat Bridge to National Highway No.32 (3.8km) developed by the joint venture of Gia Long and Thang Long Export-Import;
- The intersection of Belt Road No.3.5 and Thang Long Boulevard developed by Him Lam Corporation;
- The road from Road 70B (Tu Khoat village) to the inter-village road of Phuong Nhi village, and the road from the west of Phap Van-Cau Gie Expressway to National Highway No.1A developed by Hoa Binh Investment and Development JSC;
- Wastewater collection system at Cau Bay river basin and Phuc Dong water treatment factory in Long Bien district, developed by Phu Dien Construction Investment and Trading JSC;
- Construction of three roads: Da Ton to Hanoi-Haiphong Expressway, Ecopark urban area to Road 179, and Nguyen Huy Nhuan Road to Bac Hung Hai River developed by Viet Hung Investment and Urban Development JSC;
- Mieu Mon-Huong Son Road (25.63km) developed by the joint venture of Hanoi General Export Import JSC (Geleximco) and Investment Constructure and Infrastructure Development Company (ICID);
- Dynamic drainage system in the southwest of Hadong district across the communes of Phu La, Phu Luong, Kien Hung, developed by Trung Viet Investment JSC;
- Two projects developed by city board managements.
The remaining 69 projects have yet to receive in-principle approval and would be developed by real estate giants like Sun Group, Geleximco, Hatexco, T&T Group, Eurowindow Holding, Bitexco, Him Lam Corporation, CapitaLand, CityLand Group, Tasco JSC, Nam Cuong Hanoi Group, Ceo Group, and Van Phu Invest.
Financial shortcomings of investors combined with the government’s failure to offer support are some of the reasons multiple BT infrastructure projects in HCMC are being delayed indefinitely, experts said.