Traffic jams facing streets in HCM City’s inner district. — VNS File Photo

The parking lot was to have been built under the Trong Dong Theatre in the city’s District 1, and the work had been approved by authorities in 2010.

But the construction never got off the ground because it was affected by the planning for the city’s metro line No 2 between Ben Thanh Market and Tham Luong Bus Terminal in District 12.

Besides, the developer did not complete the financial plans for it.

Dong Duong Group wanted to build the underground parking lot together with commercial space, which was not approved.

In April this year, the city People’s Committee approved a proposal by the department to cancel 180 projects, including Dong Duong Group’s underground parking lot.

The company has lodged a complaint about the cancellation, saying it is an illogical decision.

Vice Chairman of the city People's Committee Tran Vinh Tuyen instructed the department and other related agencies to hear Dong Duong's grievance.

The meeting to consider the complaint was originally scheduled for May 30 but has been delayed.

HCM City had originally wanted four underground parking lots to be built and operated by private investors, but most of them remain on paper.

The others are at Le Van Tam Park, Tao Dan Park and Hoa Lu Stadium, all in District 1.

The lot under Le Van Tam Park is budgeted at VND1.75 trillion (US$75 million) and can accommodate 1,300 cars and 2,000 motorbikes.

Though its construction began in 2008, the developer has yet to reveal the financial sources for the project.

VNS