Me Linh district gives reasons for delaying auction of 32 land plots

Me Linh District People's Committee has just sent a document to Vietnam Auction Joint Stock Company regarding the change of auction time for land use rights in Bach Da village, Kim Hoa commune.

According to the original plan, the auction was scheduled to be held on the afternoon of September 12. However, the district People's Committee said that due to the impact of storm No. 3 and its circulation, it is forecasted that there will continue to be widespread rain, rising river water causing flooding in many areas, making travel difficult.

“To focus on flood prevention and control, ensuring people's lives and property, the Land Fund Development Center requests the company to change the auction time to 2:00 p.m. on September 18,” the document stated.

Immediately afterwards, Vietnam Auction Joint Stock Company issued a written notice of this change.

Regarding customer rights, for deposits to participate in the auction, customer records will be reserved until the date of condition review. For customers who have not yet paid the deposit, the payment time is calculated until 5:00 p.m. on September 16.

32 plots of land in Bach Da village, Kim Hoa commune are about to be auctioned with areas ranging from 73.5-187.5m2, starting prices ranging from 21.7-32.8 million VND/m2. The lowest deposit is over 360 million VND, the highest is over 1.2 billion VND.

Previously, in June, Me Linh district successfully auctioned 51 plots of land in Lien Mac commune. The plots of land ranged in area from 95-263.2 m2. The starting price was around 18.4-20.6 million VND/m2, the highest winning bid was determined to be 38.8 million VND/m2. The total amount collected for the budget was 169 billion VND, 47 billion higher than the starting price.

This year, Me Linh plans to auction about 500 plots of land. These are all plots of land in beautiful locations, ahead of the Ring Road 4 project. Revenue from the auction of land use rights will be used by the district to invest in infrastructure construction to develop the socio-economic system to meet the criteria of becoming a district after 2025 and a city under the capital after 2030.

Mr. Dinh Ngoc Thuc, Director of the Land Fund Development Center of Me Linh District, said that about 500 plots of land are expected to be auctioned in 4 communes of Kim Hoa, Lien Mac, Tam Dong and Trang Viet. The plots of land are in the planning of rural residential areas, have been cleared and have been allocated land by the city.

On September 10, 47 plots of land in Phuc Tho district (Hanoi) were successfully auctioned with the highest winning price reaching 69.8 million VND/m2, nearly 3 times higher than the starting price.

Previously, on August 29, at the auction of 39 plots of land, the highest winning price was 60 million VND/m2. Thus, the auction on September 10 recorded the highest winning price higher than the previous peak set more than 10 days earlier.

However, compared to land auctions in many districts on the outskirts of Hanoi in recent times, it can be seen that this auction has few participating applications. With a total of 416 applications, 180 customers registered to participate in the auction of 47 plots of land, equivalent to about 4 interested people for each plot of land.

Meanwhile, the auction on August 29 also in Phuc Tho district, with 39 plots of land, recorded more than 650 applications, with more than 350 investors participating, equivalent to 9 people interested in each plot of land.

Or the auction of 68 land lots in Thanh Cao commune, Thanh Oai district had more than 4,000 applications with about 1,600 participants.

The auction of 19 land lots in Long Khuc area, Tien Yen commune, Hoai Duc district had more than 1,000 registrations with more than 500 customers participating.

In a recent meeting, Deputy Minister of Natural Resources and Environment Le Minh Ngan said that no policy loopholes related to the land auction process in Thanh Oai and Hoai Duc (Hanoi) have been discovered.

Ministry of Construction requests review of land auctions, strict management of subdivision and sale of land

In a recent document sent to localities, the Ministry of Construction assessed that the real estate market has not developed sustainably in recent times, with many potential risks.

Most recently, some land auctions (in Hanoi) had winning prices many times higher than the starting price. The Ministry believes that this affects the socio-economic development and the healthy development of the real estate market.

The Ministry recommends that localities control the buying and selling of real estate many times, especially in areas, projects, and apartment complexes with unusual price increases. If there is any price inflation, price manipulation, or speculation, localities need to take measures to handle it.

The Ministry also requested a review of land auction organization and strict management of land subdivision and sale to limit price inflation that disrupts the market.