Pilot commercial housing (that is, for-profit housing) projects through parties’ agreement as per Decree 171 represent a new mechanism of the Vietnamese government. It allows investors to develop commercial housing projects by directly negotiating with relevant parties, with no need to conduct land-use right auctions or bidding in certain cases.

The Hanoi Department of Agriculture and Environment has announced the list of  projects, with a total of 169 land plots, that do not meet the conditions and criteria to be included on the list of land plots proposed for pilot implementation under Resolution 171 (phase 2). This is a resolution on piloting commercial housing projects through agreements to acquire or use existing land-use rights.

The plots not meeting criteria include the 21 Sai Dong residential area project (0.7 ha) and Sai Dong residential area (0.2 ha) of Vinh Ha Construction and Food Processing JSC (not consistent with the urban subdivision plan N10); TC Land Thach Ban residential area (1.19 ha) of TC Land Real Estate Development JSC (the proposed plot is part of land to be recovered for auction in 2025 as approved by the city People's Council in April).

Additionally, the TC Land Ngoc My residential area (12.6 ha) cannot yet be considered as the rice land area within the project has not been determined. The Thanh Thuy low-rise residential and commercial complex (3.5 ha) of Nam Hanoi Wholesale Market JSC does not comply with construction planning. And the North Dai Kim urban area expansion (7.02 ha) of Hanoi Housing and Urban Development Business JSC is not eligible under Resolution 171 and is subject to land disputes and complaints.

The Hanoi Department of Agriculture and Environment has also announced an invitation for organizations and individuals to continue to register for implementation of commercial housing projects under Resolution 171.

Earlier in May, Hanoi approved 148 land plots, with a total area of over 840 ha, for pilot implementation of commercial housing projects by agreement on land-use rights.

Accordingly, the former Long Bien District had 18 projects; Hoang Mai District had 13; Thanh Xuan District had 12; Nam Tu Liem District had 11; Dong Anh District had 17;  and Hoai Duc District had 11.

Most of the projects involve housing construction, including low-rise housing, high-rise housing, commercial housing, eco-housing, and residential-commercial service complexes.

The National Assembly’s Resolution 171 on piloting commercial housing projects through agreements on land-use rights or existing land-use rights officially took effect on April 1.

The policy will be piloted for five years. Previously, enterprises could only develop commercial housing projects if they had residential land-use rights.

Hong Khanh