Nghị định 69/2021/NĐ-CP về cải tạo, xây dựng lại nhà chung cư

GOVERNMENT -------	SOCIALIST REPUBLIC OF VIETNAM Independence – Freedom – Happiness ----------------
No. 69/2021/ND-CP	Hanoi, July 5, 2021

 

DECREE

ON RENOVATION AND RECONSTRUCTION OF APARTMENT BUILDINGS

Pursuant to Law on Governmental Organization dated September 16, 2015; Law on amendments to Law on Government Organization and Law on Local Governmental Organization dated November 22, 2019;

Pursuant to Law on Urban Planning dated June 17, 2009;

Pursuant to Law on Land dated November 29, 2013;

Pursuant to Law on Bidding dated November 26, 2013;

Pursuant to Law on Construction dated June 18, 2014; Law on amendments to Law on Construction dated June 17, 2020;

Pursuant to Law on Housing dated November 25, 2014;

Pursuant to Law on Investment dated June 17, 2020;

At request of Minister of Construction;

The Government promulgates Decree on renovation and reconstruction of apartment buildings.

Chapter I

GENERAL PROVISIONS

Article 1. Scope

1. This decree elaborates to renovation and reconstruction of apartment buildings specified under Article 110 of Law on Housing, including: inspecting quality assessment of apartment buildings, preparing and approving plans for renovation and reconstruction of apartment buildings; selecting project developers; compensating, funding, relocating and assigning temporary residence for individuals who relocate; rights, responsibilities of project developers, owners, and inhabitants in apartment buildings in relocating, deconstructing, renovating, reconstructing apartment buildings, and some mechanisms in executing projects for renovating, reconstructing apartment buildings.

2. Enforced deconstruction and land clearance for apartment buildings when the Government appropriate land for national defense and security are not regulated by this Decree.

Article 2. Regulated entities

1. Domestic organizations, households, individuals, overseas Vietnamese, foreign organizations, and individuals engaged in renovation and reconstruction of apartment buildings.

2. Regulatory agencies and other organizations, individuals engaged in renovation and reconstruction of apartment buildings.

Article 3. Term interpretation

In this Decree, terms below are construed as follows:

1. “an apartment building” refers to an independent building with one or multiple blocks defined according to Clause 3 Article 3 of Law on Houses and built on a land plot as per planning.

2. “apartment complex” refers to an area where at least 2 apartment buildings specified under Clause 1 of this Article and other constructions are built, including detached houses (if any) constructed on a land plot as per planning.

3. “apartment renovation and reconstruction project” refers to a relocation project that aims to improve quality, expand, adjust current area components of an apartment building or deconstruct for new construction of apartment buildings and other constructions (if any). Apartment renovation and reconstruction project consists of apartment building renovation and reconstruction project, and apartment complex renovation and reconstruction project.

4. “in-situ relocation” refers to allocation of houses and other area (if any) for organizations, households, individuals eligible for relocation at their original locations within the scope of apartment renovation and reconstruction project.

5. “project developer of apartment renovation and reconstruction project” refers to a real estate enterprise selected by methods under Article 14 and Article 15 hereof or an organization assigned by the Government according to Article 16 of the Government to implement the project.

6. “apartment owner” refers to owner of an apartment flat, owner of other area in an apartment building.

Apartment owners are organizations, individuals issued with or eligible for issuance of certificate of house ownership, land ownership, and ownership for other assets attached to land from time to time (hereinafter referred to as “certificate”), except for owners of state-owned land area.

7. “apartment inhabitant” refers to an owner who is directly using the apartment building or organization, household, individual legally using flat, other area in the apartment building via rental, lease, accommodation, authorization for management and use, or use according to decisions of regulatory authorities.

Article 4. Principles of renovation and reconstruction of apartment buildings

1. Renovation and reconstruction of apartment buildings must be implemented as per planning and aim to renovate, improve urban areas, and conform to construction planning, land use plans and planning, housing development programs and plans for reconstruction and renovation of apartment buildings approved by competent agencies.  

In case an apartment building which is not under apartment renovation and construction plan approved must be immediate deconstructed due to incident, natural disaster or fire, People’s Committee of province must immediately relocate households away from the apartment building and include said apartment building in apartment renovation and reconstruction plan of the province.

2. Implementation of apartment renovation and reconstruction project must comply with construction laws, housing laws, land laws, relevant law provisions and this Decree; project developers must prioritize deconstruction of apartment buildings under Clause 1, Point a Clause 2 Article 5 of this Decree for reconstruction over other apartment buildings that are required to be deconstructed. Apartment renovation and reconstruction projects are not required to spare land area for construction of social houses as per housing laws.

3. The scope of apartment renovation and reconstruction project is identified under detail planning or in agreement of project investment guidelines approved by competent agencies.

4. For current apartment complexes specified under Clause 2 Article 110 of Law on Housing, local governments may implement one or multiple renovation and reconstruction projects for the apartment complexes while maintaining connection to technical infrastructure, social infrastructure, and adherence to detail planning of the apartment complexes approved by competent agencies.

In case of implementing one project, project developers may divide investment into stages as long as they deconstruct apartment buildings under Clause 1, Point a Clause 2 Article 5 hereof for construction first while remaining apartment buildings in the areas are reconstructed according to apartment renovation and reconstruction plan approved by People’s Committees of provinces later.  Division of investment for apartment renovation and reconstruction project must be identified in agreement of investment guidelines approved by competent agencies, compliant with practical conditions, project implementation period of each apartment building, and adhering to this Article.

5. In case of inability to keep up with progress of investment projects according to decisions to approve investment guidelines, competent agencies capable of approving investment guidelines shall decide to extend or terminate implementation of investment projects. In case of terminating project implementation, People’s Committees of provinces are responsible for organizing selection of new project developers according to this Decree; for apartment renovation and reconstruction projects under Clause 1 Article 6 of this Decree, competent agencies capable of deciding on investment guidelines shall decide to extend implementation period in a manner similar to projects utilizing public investment.

Article 5. Cases where apartment buildings must be deconstructed for reconstruction or construction of other buildings as per planning

An apartment building that must be deconstructed for reconstruction or construction of other building(s) as per planning under this Decree when:

1. The apartment building must be immediately deconstructed due to incident, natural disaster, or fire as per the law.

2. The apartment building runs out of its service life or is concluded by housing authority of the province to be:

a) having primary load-bearing structures facing overall danger, risk of collapse, failure to meet use conditions, and/or requiring immediate relocation of apartment owners and inhabitants;

b) suffering from severe damage, having primary load-bearing structures facing local damage, and having any of the following factors: firefighting infrastructures; water supply and drainage infrastructures; waste water processing infrastructures; power supply infrastructures; or internal traffic infrastructures fail to satisfy applicable technical standards and regulations or face risk of causing unsafe situations during operation, and requiring deconstruction in order to ensure safety for inhabitants and meet requirements for urban renovation and improvement.

3. The apartment building has one of its primary structural components (foundation, pillars, walls, beams) damaged and not satisfactory to normal use conditions but not required to be deconstructed according to Clause 2 of this Article yet, but is situated in area with apartment buildings eligible for deconstruction according to Clause 2 Article 110 of Law on Housing.

Article 6. The Government implements apartment renovation and reconstruction projects utilizing funding sources under Clause 3 Article 36 of Law on Housing (and amendment thereto under Point a Clause 6 Article 99 of Law on Investment in form of public-private partnership 2020)

1. The Government renovates and reconstructs apartment buildings utilizing funding sources under Clause 3 Article 36 of Law on Housing (and amendment thereto under Point a Clause 6 Article 99 of Law on Investment in form of public-private partnership 2020) for following cases:

a) In case an apartment building and/or apartment complex whose whole area is state owned is required to be deconstructed according to Article 5 hereof;

b) In case project developer(s) cannot be selected according to Article 15 hereof.

2. On the basis of apartment buildings that must be deconstructed for reconstruction according to Clause 1 of this Article, People’s Committees of provinces are responsible for reporting to People’s Councils of the same levels to decide on allocating funding sources for implementation of apartment renovation and construction projects.

3. Decision on investment guidelines for apartment renovation and construction projects under this Article shall be implemented in a manner similar to projects utilizing public investment.

4. Deconstruction of apartment building and implementation of investment projects for apartment renovation and construction under this Article shall conform to regulations and law on construction, this Decree, and relevant law provisions.

Chapter II

REQUIREMENTS FOR QUALITY INSPECTION OF APARTMENT BUILDINGS, PLANS AND PLANNING FOR RENOVATION AND RECONSTRUCTION OF APARTMENT BUILDINGS, AND SELECTION OF PROJECT DEVELOPERS

Section 1. QUALITY INSPECTION AND ASSESSMENT OF APARTMENT BUILDING

Article 7. Principles of quality inspection and assessment of apartment building

1. People’s Committees of provinces are responsible for directing housing authority of provinces to take charge and cooperate with local authorities and People’s Committees of districts where apartment buildings are built in organizing quality inspection and quality assessment of apartment buildings under Article 110 of Law on Housing according to construction laws and this Decree.

2. For apartment complexes, conduct overall quality inspection and quality assessment before including the complexes in apartment renovation and reconstruction plans.

3. Quality inspection and quality assessment of apartment buildings under this Article shall conform to regulations and law on construction and housing.

Article 8. Requirements and contents of quality inspection, quality assessment of apartment building

1. When conducting quality inspection and quality assessment of apartment buildings, assigned entities and organizations must rely on contents and requirements of quality inspection and quality assessment for current conditions of constructions according to construction laws and this Decree to inspect and assess quality of apartment buildings and identify apartment buildings without damage or apartment buildings with damage and required to be deconstructed according to Clause 2 or Clause 3 Article 5 hereof.  

2. On the basis of inspection results under Clause 1 of this Article, entities and organizations conducting quality inspection must submit reports on quality inspection results to housing authority of provinces. In case of apartment buildings under Clause 2, Clause 3 Article 5 hereof, housing authority of provinces must issue inspection conclusion and submit reports on inspection results to People’s Committees of provinces to serve as the basis for project implementation as per approved planning.

3. As soon as reports of housing authority of provinces are received, People’s Committees of provinces are responsible for informing apartment owners of apartments that must be renovated and/or reconstructed according to Article 5 hereof while posting list of these apartment buildings on website of the People’s Committees of provinces and housing authority of provinces.

Section 2. APARTMENT RENOVATION AND RECONSTRUCTION PLAN

Article 9. Requirements for apartment renovation and reconstruction plans

1. For local administrative divisions that have finished overall quality inspection and quality assessment of apartments according to Article 7 and Article 8 hereof, within 3 months from the effective date hereof, housing authority of provinces must produce apartment renovation and reconstruction plans for apartments specified under Article 5 hereof and request People’s Committees of provinces to approve.

In case apartments specified under Article 5 hereof are built after apartment renovation and reconstruction plans have been issued, People’s Committees of provinces are responsible for revising and adding these apartment buildings to the apartment renovation and reconstruction plans according to Clause 3 hereof to serve as the basis for project implementation.

2. For local administrative divisions that have not finished overall quality inspection and quality assessment of apartments according to Article 7 and Article 8 hereof, within 3 months from the effective date hereof, housing authority of provinces must produce apartment renovation and reconstruction plans for apartments that have been subject to quality inspection and quality assessment and specified under Clause 2, Clause 3 Article 5 hereof and request People’s Committees of provinces to approve.

3. For apartment buildings with unfinished quality inspection according to Clause 2 of this Article, on a 6-monthly basis, housing authority of provinces are responsible for reviewing, organizing quality inspection and quality assessment of apartment buildings and producing lists of apartment buildings that must be renovated and reconstructed under Clause 2, Clause 3 Article 5 hereof and in case of apartment buildings under Clause 3 Article 110 of Law on Housing, reporting to People’s Committees of provinces to approve and add to apartment renovation and reconstruction plans to serve as the basis for implementation. 

Article 10. Preparation and approval of apartment renovation and reconstruction plans

1. In case preparation and approval of apartment renovation and reconstruction plans take place at the same time as preparation and approval of housing development plans of local administrative divisions, People’s Committees of provinces may include apartment renovation and reconstruction plans in local housing development plans or prepare apartment renovation and reconstruction plans separately.  

2. In case several details of apartment renovation and reconstruction plans must be changed as a result of revision to housing development program, People’s Committees of provinces are responsible for organizing preparation and approval of revision to housing development plans, apartment renovation and reconstruction plans.  

3. In case apartment buildings under Clause 2, Clause 3 Article 5 hereof have been included in renovation and reconstruction plans but have not been included in local housing development programs, People's Committees of provinces may implement the apartment renovation and reconstruction projects via integrating these projects in local housing development programs then submit reports to People’s Councils of the same level.

Article 11. Contents of apartment renovation and reconstruction plan

1. Apartment renovation and reconstruction plans consist of:

a) List and location of apartment buildings and apartment complexes that need to be renovated and reconstructed, which identify time of deconstruction of apartment buildings specified under Clause 1, Point a Clause 2 Article 5 first and time of deconstruction of apartment buildings under Point b Clause 2, Clause 3 Article 5 and other constructions (if any) later; in case of renovating and reconstructing an apartment complex, estimate time of deconstruction and reconstruction of the first apartment building of the complex and estimate time of deconstruction and reconstruction of remaining apartment buildings of the complex;

b) Estimates of funding sources mobilized for renovation and reconstruction of local apartment buildings and apartment complexes; for apartment buildings specified under Clause 1 Article 6 hereof, estimates of funding sources for project implementation and report to People's Councils of the same levels for consideration;

c) Responsibilities of People’s Committees of all levels, Departments of Construction, and agencies related to implementation of apartment renovation and reconstruction plans;

d) Other relevant details (if any).

2. Once apartment renovation and reconstruction plans are approved (including revised plans), People’s Committees of provinces are responsible for posting the plans on their website, sending to People’s Committees of districts, People’s Committees of communes where apartment buildings that must be renovated and reconstructed are located in order to inform owners and inhabitants of apartment buildings, and sending to Ministry of Construction for supervision.

Section 3. REQUIREMENTS FOR PLANNING OF APARTMENT RENOVATION AND RECONSTRUCTION AREA

Article 12. Principles and requirements for planning of apartment renovation and reconstruction area

Preparation of zoning planning and detail planning of apartment renovation and reconstruction area must satisfy following principles and requirements:

1. Competent authority is responsible for preparing, appraising, and approving detail planning of area where apartment building and apartment complexes required to be renovated and reconstructed are built to serve as the basis for developing compensation, financing, relocation, and temporary residence assignment solutions (hereinafter referred to as “compensation solution”) according to Article 20, Article 21, Article 22, and Article 23 hereof.

2. When preparing, appraising, and approving zoning planning and detail planning of area where apartment buildings and apartment complexes that must be renovated and reconstructed are built, competent authority must identify use quota of land for construction planning, population scale, or identify land area eligible for repurposing to construction of other service, commercial, office, or social infrastructure constructions to guarantee socio-economic and environmental effectiveness in order to encourage investors to participate in project implementation as long as local, regional technical infrastructure and social infrastructure are qualified and connected.  

3. Organization for preparation, appraisal, and approval of planning of apartment renovation and reconstruction area can be implemented at the same time with quality inspections and quality assessment of apartment buildings, and preparation and approval of apartment renovation and reconstruction plans according to this Decree.

Article 13. Regulations on preparation, appraisal, and approval of planning of apartment renovation and reconstruction area

1. Preparation, appraisal, and approval of planning of apartment renovation and reconstruction area shall be implemented according to regulations and law on urban planning and construction. During preparation of planning, apart from consulting the general public and relevant individuals as per the law, competent authority may additionally consult investors who wish to participate in apartment renovation and reconstruction projects to guarantee feasibility.

2. After approving planning, competent agencies must publicize planning information as per the law on planning and post openly in residential areas where apartment renovation and reconstruction projects take place.  

3. In case land area where apartment renovation and reconstruction are conducted is smaller than 2 ha, competent authority are not required to prepare detail planning but prepare and approve premise drawing and structural solutions according to procedures for preparing, appraising, and approving detail planning.  Overall premise drawing and structural solutions approved by competent authority shall serve as the basis for implementing subsequent steps of the project according to construction laws and other relevant laws.

4. When preparing and approving planning of area where apartment buildings and apartment complexes that must be renovated and reconstructed, depending on specific local conditions, People’s Committees of provinces must develop planning solutions for the entire apartment complexes and apartment buildings or solutions for grouping apartment buildings in the same communes or districts to serve as the basis for determining implementation of one or many apartment renovation and reconstruction projects to ensure economic, social, environmental effectiveness, and urban renovation and improvement.

Grouping of apartment buildings under this Clause only applies in case business, service, commercial, and/or public constructions but not houses are built in location of apartment buildings eligible for grouping.  

5. In case approved planning is proposed for revision, revise as per the law on urban planning and construction.

Section 4. SELECTION OF PROJECT DEVELOPERS FOR APARTMENT RENOVATION AND RECONSTRUCTION PROJECTS AND APARTMENT DECONSTRUCTION PROJECTS

Article 14. Selection of project developers for apartment renovation and reconstruction projects in case owners agree with real estate enterprises

1. Selection of project developers for projects under this Article applies to renovation and reconstruction of apartment buildings under Article 110 of Law on Housing, except for cases under Clause 1 Article 6 hereof.

2. Based on approved apartment renovation and reconstruction plans, planning of area where apartment buildings that must be renovated and reconstructed are built, land area, population scale of project area and requirements regarding compensation, time and project progress, People’s Committees of provinces are responsible for developing and issuing criteria for selecting project developers (in terms of financial capacity, equity, experience in project implementation, financial solutions for project implementation and other criteria applying to each project); publicizing these criteria and deadline for submitting application for acting project developers of each apartment renovation and reconstruction project on website of People’s Committees of provinces and People’s Committees of districts where projects take place.

3. On the basis of criteria and deadline for application announced according to Clause 2 of this Article and detail planning area where apartment buildings that must be renovated and reconstructed are built, real estate enterprises shall submit application (using Form under Annex I attached hereto) together with capacity dossiers satisfactory to criteria issued by People’s Committees of provinces and compensation solutions prepared according to Article 20, Article 21, Article 22, and Article 23 hereto to agencies assigned by People’s Committees of provinces to receive application (People’s Committees of districts where apartments that must be renovated and reconstructed are built or provincial housing authority).

4. Within 15 days from the date on which deadline for application under Clause 2 of this Article expires, agencies assigned to receive applications are responsible for taking charge and cooperating with local authorities in inspecting capacity dossiers based on publicized criteria and attached compensation solutions of applicants; if applications are adequate, assigned agencies shall produce list of applicants to select project developers.  

5. Within 90 days from the date on which deadline under Clause 4 of this Article expires, assigned agencies shall examine the applications (cooperate with provincial housing authority in case of People’s Committees of districts, or cooperate with People’s Committees of districts in case of provincial housing authority), and consult apartment owners regarding selection of project developers.  Apartment owners shall rely on criteria for selecting project developers that have been publicized according to Clause 2 of this Article, list of enterprises meeting the criteria together with capacity dossiers and compensation solutions proposed by the enterprises to select project developers.

6. When consulting apartment owners to select project developers for apartment renovation and reconstruction projects, each household in the apartments equals one vote and at least 70% of total flat owners of the apartments must participate in the consultation; an enterprise is selected when at least 75% of total participating owners agree; in case of multiple enterprises, an enterprise is selected when they receive the most votes but not equal to or lower than 51% of total votes of flat owners; selection of project developers must be made into records bearing signatures of representatives of People’s Committees of districts where projects take place, representatives of provincial housing authority, representatives of flat owners, and selected enterprises.  

In case a section of an apartment building or apartment complex is owned by the state, representative of owners who own the section shall participate in selecting project developers.

For section other than flats owned by organizations, individuals or by the Government in an apartment building, divide total usable area of this section by usable area of the largest flat or area of the apartment to determine number of votes of owners, each section area after division which is equivalent to area of the largest flat equals one vote; remaining section area after division which is greater than 1/2 of area of the largest flat equals one vote; remaining section area after division which is less than 1/2 of area of the largest flat does not count towards total vote count. 

7. When selecting project developers, participant apartment owners and real estate enterprises may agree to adjust compensation solutions prepared by real estate enterprises while adhering to planning approved by competent authority and regulations on compensation under Article 20, Article 21, Article 22, and Article 23 hereof.

8. Within 15 days from the date on which records on selection of project developers specified under Clause 6 of this Article are produced, assigned agencies must produce written reports, attach records on selection of project developers and compensation solutions of selected project developers, and submit to People’s Committees of provinces for approval; decisions on approving compensation solutions of People’s Committees of provinces must specify name of selected enterprises.

Once compensation solutions have been approved, People’s Committees of provinces must publicize compensation solutions and name of selected enterprises on website of People’s Committees of provinces, and send to People’s Committees of districts and People’s Committees of communes where apartment buildings are built.

9. Once compensation solutions have been approved, selected real estate enterprises are responsible for requesting approval of investment guidelines of the projects according to regulations of law on investment, housing, and this Decree. Under decisions on approving investment guidelines of the guidelines, competent authority must also approve enterprises selected as project developers for apartment renovation and reconstruction projects.

Article 15. Selection of project developers for apartment renovation and reconstruction projects via bidding

1. Bidding for selection of project developers for apartment renovation and reconstruction projects under this Article shall be implemented in case of failure to select project developers according to Article 14 and in case of Clause 1 Article 5 hereof. In case of failure to select project developers according to Article 14 hereof for cases under Clause 3 Article 110 of Law on Housing, do not continue to select project developers according to this Article.

2. On the basis of list of projects in approved apartment renovation and reconstruction plans or in case of immediate deconstruction according to Clause 1 Article 5 hereof, provincial housing authority of provinces are responsible for producing list of apartment renovation and reconstruction projects for bidding for selection of project developers and reporting to People’s Committees of provinces for approval and post on website of People’s Committees of provinces.

3. Prior to organizing bidding, competent authority must adopt procedures for approving investment guidelines of the projects according to regulations and law on investment, housing and this Decree. People’s Committees of provinces shall assign provincial housing authority to act as bid solicitors and assume responsibilities for organizing bidding for selection of project developers according to this Article.

4. Details relating to bidding dossiers, methods and standards of assessing dossiers, determining bidding score, and criteria for selecting project developers are regulated as follows:

a) Methods and standards of bid evaluation, preparation of bidding documents and other details relating to bidding for selection of project developers shall conform to regulations and law on bidding, where assessment regarding investment effectiveness for land area specified under Clause 2 Article 25 hereof is not required, except for cases under Clause 5 of this Article;

b) Bidding scores are determined with total scores of 100 for criteria for project implementation, including the following criteria: financial capacity, implementation experience, project progress, time of transferring houses and constructions, technical infrastructure investment, social infrastructure investment, relocation and temporary residence solutions, financial solutions for project implementation, business and commercial solutions of the projects.   Bid solicitors shall determine specific score range of each criteria under this Clause to apply on a case-by-case basis;

c) Notice forms relating to bidding shall be applied similar to forms required by bidding laws.

5. In case project scope is expanded beyond land area of current apartment building or apartment complex, when determining conditions and criteria for soliciting bid for the projects, provincial housing authority must specify use quota of approved land planning for expanded area to serve as the basis for determining floor price for submission to state budget in a manner similar to construction project for commercial houses.

6. Bidding procedures for selecting project developers for apartment renovation and reconstruction projects shall be similar to bidding procedures for selecting investors according to bidding laws; expenditure on organizing bidding is determined under total investment of the projects; expenditure on bid security shall conform to bidding laws.

7. Investors awarded with bidding contracts according to decisions approving results of bidder selection specified under this Article shall be project developers for apartment renovation and reconstruction projects. Project developer are responsible for preparing compensation solutions according to bidding results and send to provincial housing authority in order to take charge and cooperate with local authorities in appraising and reporting to People’s Committees of provinces; once compensation solutions have been approved, project developers are responsible for adopting subsequent procedures for project investment and construction according to this Decree and relevant law provisions.

Article 16. Selection of project developers when the Government implements apartment renovation and construction projects

1. The Government invests using funding sources under Clause 3 Article 36 of Law on Housing (and amendment thereto under Point a Clause 6 Article 99 of Law on Investment in form of public-private partnership 2020) to renovate and reconstruct apartment buildings specified under Clause 1 Article 6 hereof.

2. Selection of project developers under this Article shall conform to Point a Clause 1 Article 114 of Law on Housing. In case the Government decides to select project developers via bidding, conform to Article 15 hereof.

3. Preparation, appraisal, and approval of compensation solutions for apartment renovation and reconstruction projects under this Article shall conform to land laws.

Compensation solutions shall be prepared according to Article 20, Article 21, Article 22, Article 23 hereof and must be publicized on website of People’s Committees of provinces after being approval, sent to People’s Committees of districts, communes where apartment buildings are built.

Article 17. Implementation of land clearance and apartment building deconstruction

1. Implementation of land clearance for apartment renovation and reconstruction projects is regulated as follows:

a) For projects under Article 14 hereof, project developers shall cooperate with People’s Committees of districts where projects take place to organize compensation and land clearance for project implementation;

b) For projects under Article 15 or Article 16 hereof, implement land clearance according to land laws.

2. Deconstruction of apartment buildings is regulated as follows:

a) Prior to deconstruction, project developers must prepare and approve deconstruction solutions according to construction laws;

b) Project developers shall perform deconstruction if fully capable according to construction laws or hire competent organizations to perform deconstruction according to approved solutions;

c) In case of immediate deconstruction due to incidents, natural disasters or fire, entities assigned to perform deconstruction are responsible for performing deconstruction according to construction laws.

Chapter III

RIGHTS AND RESPONSIBILITIES OF PROJECT DEVELOPERS, OWNERS AND INHABITANTS OF APARTMENT BUILDINGS; COMPENSATION SOLUTIONS; POLICIES APPLIED TO APARTMENT RENOVATION AND RECONSTRUCTION PROJECTS

Section 1. RIGHTS AND RESPONSIBILITIES OF PROJECT DEVELOPERS, OWNERS AND INHABITANTS AND APARTMENT BUILDINGS

Article 18. Rights and responsibilities of project developers of apartment renovation and reconstruction projects

1. For cases under Article 14 and Article 15 hereof, project developers have the rights to:

a) request relevant agencies and organizations to adopt procedures for implementing projects as per the law;

b) lease, lease purchase, sell houses and commercial service constructions (if any) within the project scope; mobilize funding sources for investment in construction of houses and other constructions in the projects according to regulations and law on housing and immovable asset sale;

c) manage and operate technical infrastructure system within the project scope according to investment guidelines approved by competent authority and as per the law;

d) conduct business for service constructions within the project scope according to investment guidelines (if any);

dd) request competent authority to issue certificate for houses and other constructions (if any) in the projects according to regulations and law on land and housing;

e) receive land assigned by the Government, lease land. allow land repurposing for land area used for residential purposes, business, services, commercial purposes, and other land types within the scope of apartment renovation and reconstruction projects as per the law;

g) receive preferential treatment according to this Decree and relevant law provisions during project implementation;

h) implement other rights as per the law.

2. For cases under Article 16 hereof, project developers have the rights to:

a) sell, lease, lease purchase relocation flats and area other than houses as per the law;

b) perform rights under Points a, c, d, e, and h Clause 1 of this Article;

c) perform other rights as per the law.

3. Project developers for apartment renovation and reconstruction projects under Article 14 and Article 15 hereof are responsible for:

a) exercising responsibilities of project developers specified under Clauses 1, 3, 5, 6, 7, 8, 9, and 10 Article 26 of Law on Housing and relevant law provisions on immovable property sale;

b) allocating temporary residence, compensation, financing, and relocation for owners of apartment buildings deconstructed according to approved compensation solutions according to Law on Housing, this Decree, and relevant law provisions;

c) organizing inspection for acceptance, transfer of houses and relocation constructions as per construction laws for owners according to approved compensation solutions; transferring social infrastructure and technical infrastructure to the government according to investment guidelines and regulations and law;

d) exercising financial obligations and other obligations according to this Decree and relevant law provisions.

4. Project developers specified under Article 16 hereof are responsible for:

a) complying with Clauses 1, 3, 5, 6, 8, 9, and 10 Article 26 of Law on Housing and Points b and c Clause 3 of this Article;

b) performing other obligations as per the law.

Article 19. Rights and responsibilities of owners and inhabitants of apartments required to be deconstructed for renovation and reconstruction

1. Apartment owners (except for those under Clause 2 of this Article) have the rights to:

a) participate in selecting real estate enterprises to renovate and reconstruct apartment buildings according to this Decree;

b) relocate, receive temporary residence, and select form of compensation according to this Decree; request project developers to settle the difference in compensation (if any) according to this Decree;

c) receive certificate issued by competent authority according to regulations and law on housing and land for houses and constructions where compensation and relocation have been implemented;

d) participate in project implementation as per the law;

dd) purchase temporary residence in case such residence is eligible for sale according to this Decree if apartment owners do not wish to purchase or lease purchase relocation houses according to this Decree;

e) transfer purchase agreements for relocation houses, temporary residence (if allowed to purchase); procedures for transferring purchase agreements shall be similar to procedures for transferring commercial housing purchase agreements according to regulations and law on housing, immovable property sale; the final transfer recipients of purchase agreements for relocation houses shall be issued with certificate according to regulations and law on land and housing;  

g) receive damages in case of any damage according to signed contracts and regulations and law;

h) receive other rights as per the law.

2. Owners of houses and other constructions owned by the state have rights under Points a, b, d, g, and h Clause 1 of this Article.

3. Responsibilities of apartment owners:

a) complying with approved compensation solutions; complying with relocation to renovate and reconstruct houses and constructions within the project scope according to approved deconstruction solutions;

b) complying and enabling organizations, entities and competent agencies to conduct quality inspection and assessment of apartment buildings according to regulations and law on constructions and this Decree;

c) enabling project developers and contractors to implement project as approved by competent authority;

d) participating in consultation to select project developers according to Article 14 hereof; complying with signed contracts for purchase, rent, lease purchase of relocation houses; submitting maintenance fees for shared sections of apartment buildings when purchasing, rent purchasing relocation houses as per housing laws;

d) complying with relevant decisions of competent authority;

e) exercising other obligations and responsibilities as per the law.

4. Inhabitants of apartments that must be deconstructed for renovation and reconstruction must be relocated according to this Decree and must comply with obligations and responsibilities under agreements with owners, under Points a, b, c, dd, and e Clause 3 of this Article.  

Section 2. COMPENSATION, FINANCING, RELOCATION, AND TEMPORARY RESIDENCE SOLUTIONS FOR APARTMENT OWNERS AND INHABITANTS

Article 20. Principles and details of compensation, financing, relocation, and temporary residence solutions for apartment owners and inhabitants

1. Development and implementation of compensation solutions applying to apartment renovation and reconstruction must comply with following principles:

a) comply with Article 4 hereof; relocation flats must satisfy national technical regulations and standards on apartment buildings as per the law;

b) include regulations under Clause 2 of this Article and be prepared on the basis of approved detail planning or overall premise drawing and architectural solutions;

c) allocation of relocation houses shall be implemented via relocation house purchase, lease, lease purchase agreements in a manner that guarantees benefits of apartment owners and inhabitants;

d) compensation, financing, relocation, and allocation of temporary residence must be transparent, objective, and compliant with compensation solutions approved by competent authority. Expenditure on organizing compensation, financing, and relocation is determined in total project investment;

dd) in case apartment buildings are required to be deconstructed as per approved planning for construction of other buildings but not apartment buildings (including cases under Clause 4 Article 13 hereof), apartment owners may choose compensation in form of money or relocation to other locations.  

In case of relocation to other locations, may allocate construction projects for relocation houses or commercial houses in the same communes or districts if such buildings are not available in communes; in case such buildings are not available in districts, allocate in other projects in adjacent districts or if apartment owners demand to, may purchase, rent, rent purchase local social houses according to housing laws.  For compensation in form of separate houses according to Clause 4 Article 21 of this Decree, do not implement relocation at original locations while People’s Committees of provinces are responsible for planning for other locations according to principles of determining locations under this Point;

e) apartment owners being relocated shall be issued with certificate according to regulations and law on land and houses and are not required to submit land levy for land area where they are relocated to (including cases where they are relocated to other locations or purchase temporary residence), except when owners own apartments owned by the state.

2. Compensation solutions include:

a) Name and address of apartment owners and inhabitants;

b) Location and area of original houses, area of relocation houses;

c) Sale price, lease price, rental price of relocation houses and other constructions (if any); value of houses and other constructions (if any) for relocation;

d) Prices for calculation of compensation for houses and other constructions (if any); compensation value of houses and other constructions (if any);

dd) Difference value of project developers or owners to be settled (if any);

e) Project implementation time; completion time of compensation, financing, relocation, and assignment of temporary residence; transfer time of relocation houses;  

g) Assignment of temporary residence; expenditure on temporary residence;

h) Details under Article 21, Article 22, and Article 23 hereof and other relevant details (if any).

Article 21. Compensation, financing, relocation solutions for houses and constructions not owned by the state

1. Compensation, financing, and relocation solutions in case owners of apartments request in-situ relocation shall conform to following regulations:

a) Based on specific conditions of projects in each region, People’s Committees of provinces shall decide on compensation coefficient k which ranges from one to two times usable area of original flats specified in certificate issued from time to time or area eligible for issuance of certificate as the basis for project developers to prepare compensation solutions. In case area other than those acknowledged in the certificate or other than area eligible for issuance of certificate is present, proceed according to regulations and law. Area of relocation flats calculated according to k coefficient above shall be converted to monetary value and specified under compensation solutions and serve as the basis for determining value of contracts for purchasing, leasing purchase of relocation houses and obligations for settling different value of parties (if any).

In case owners of the first floor who spend house area for business before effective date hereof and projects allocate some area for service and commercial businesses as per approved planning, apart from compensation under this Point, if owners wish to, they may purchase or rent part of commercial floor area for business purposes; sale price of such area shall be calculated by adding construction investment costs distributed over 1 m² of commercial floor area with 10% of norm interest as per the law; rental price for commercial area shall be agreed upon by parties;  

b) In case value of relocation flats is greater than that of original flats after being converted by coefficient k according to Point a of this Clause, parties shall sign purchase or lease purchase agreements for relocation houses and submit additional amount to make up for the difference, if owners do not purchase or lease purchase, they shall not be relocated but instead compensated in form of money as per the law. In case value of relocation flats is smaller than that of original flats after being converted by coefficient k according to Point a of this Clause, project developers must pay owners the difference;

c) For shared area, apply k = 1; in case of shared area owned by the state, project developers must pay the state an amount equal to current usable area multiplying with standard price for newly constructed houses publicized by People’s Committees of provinces at the time of preparing compensation solutions multiplying with remaining quality percentage of current houses.  In case of shared land area whose use right has not been transferred by the Government when selling houses as per the law, project developers must pay the Government an amount equal to 100% of land price according to price schedules publicized by People’s Committees of provinces at the time of preparing compensation solutions multiplying with shared land area multiplying with adjustable coefficient k (if any).  

2. In case apartment owners do not wish to perform in-situ relocation and project developers have house and land area in other locations for relocation where the owners wish to relocate to, the owners shall be relocated in a manner specified under Clause 1 of this Article.

3. In case apartment owners do not wish to relocate according to Clause 1 and Clause 2 of this Article, they shall receive compensation in form of money based on value of compensation flats after being converted by coefficient k specified under Point a Clause 1 of this Article; in case apartment owners wish to, purchase or rent or rent purchase local social houses according to housing laws.

4. For owners of detached houses, relocate according to Point d Clause 1 Article 20 hereof and implement as follows:

a) For land area, pay compensation equal to current land area specified in certificate or area eligible for issuance of certificate multiplying with specific land area as per land laws at the time of preparing compensation solutions; in case of land area other than those specified under this Point, proceed according to land laws;

b) Land area for relocation is determined according to planning approved by competent authority and converted to monetary value equal to land price under Point a of this Clause multiplying with land area for relocation; any difference to compensation amount shall be incurred by the parties;

c) Compensation for floor area of houses is determined by multiplying current usable house area with price of newly constructed houses publicized by People’s Committees of provinces at the time of preparing compensation solutions and with remaining quality percentage of current houses.  In case project developers construct relocation houses, owners are responsible for setting construction costs for these houses for project developers;

d) In case an owner does not wish to relocate to detached houses, he/she shall receive compensation in form of money according to Points a and c of this Clause; if he/she wishes to, he/she may purchase an apartment flat in the project with relocation flat sale price determined under approved compensation solutions or may purchase, rent purchase local social houses as per housing laws.

5. For head offices and work buildings legally owned by organizations but not specified under Clause 2 Article 22 hereof, if land area remains eligible for construction of head office or work buildings according to approved planning, owners shall receive compensation calculated with coefficient k = 1 multiplying with original land area according to Point a Clause 1 of this Article; floor area for construction of head offices and work buildings under legal ownership shall be compensated according to Point c Clause 4 of this Article.

In case owners do not wish to perform in-situ relocation or head offices, work buildings are not reconstructed according to approved planning, owners shall receive compensation in form of money according to Point d Clause 4 of this Article; in case the project scope includes floor area for offices, service, commerce and if the owners wish to, they may purchase, rent, rent purchase part of this area with price under Point a Clause 1 of this Article.

Article 22. Compensation, financing, relocation solutions for houses and constructions owned by the state

1. In case a state-owned apartment building must be deconstructed, its tenants shall be relocated as follows:

a) In case of deconstruction for reconstruction of the apartment building, tenants shall be designated to rent flats with approved design area which is no lower than usable area of original flats, except for cases where the tenants do not wish to rent; rent price is similar to rent of social houses owned by the state; if the Government sells these flats, tenants may purchase according to regulations on sale of state-owned houses;

b) In case the apartment building is no longer built in original location according to approved planning, tenants shall be designated to other locations according to Point dd Clause 1 Article 20 in a manner under Point a of this Clause; if tenants wish to, they may purchase, rent, rent purchase local social houses according to housing laws.

2. For social infrastructures and work buildings owned by the state within the project scope (if any), proceed according to following regulations:

a) In case social infrastructures and work buildings are allocated in projects during implementation of apartment renovation and reconstruction projects, the Government is responsible for investing, constructing or assigning project developers to invest in construction of these structures; in case project developers under Article 14, Article 15 of this Decree are in charge of construction affairs above, after transferring to competent authority, the Government is responsible for incurring all investment construction costs of these structures for project developers via state budget;

b) In case social infrastructures and work buildings are not reconstructed according to approved planning, proceed according land laws.

Article 23. Methods of assigning temporary residence for apartment owners and inhabitants

Assignment of temporary residence for apartment owners and inhabitants during implementation period of apartment renovation and reconstruction projects must be identified in compensation solutions as follows:

1. In case owners manage their residence, project developers are responsible for incurring rent and other costs (if any) during project implementation period according to approved compensation solutions.

2. In case owners cannot manage their residence, People’s Committees of provinces where the projects take place are responsible for taking charge and cooperating with project developers in assigning temporary residence for owners in form of: purchasing commercial houses or using relocation housing funds or investing in housing fund with budget funding sources or from Development Investment Fund, Housing Development Fund of local governments (if any) to prepare temporary residence.  

3. In case inhabitants are renting houses owned by the state, People’s Committees of provinces are responsible for designating temporary residence or paying the inhabitants to manage their own residence during project implementation period according to housing laws.

4. Designation of temporary residence must be convenient for daily activities of owners and inhabitants; in case of investing in housing fund to designate temporary residence, requirements for housing construction standards, regulations and quality must be met; in case temporary houses are eligible for sale and owners who are living in temporary houses wish to purchase, sell these houses to owners instead of relocating; sale price of said houses and settlement of the difference amount (if any) shall be identified in a manner similar to the case of compensation, financing, and relocation under compensation solutions.

Article 24. Signing contracts for purchasing, renting, renting purchase houses and constructions for relocation

1. Individuals designated to relocate shall sign contracts for renting, renting purchase, and/or purchasing relocation houses with project developers or entities assigned to handle relocation.

2. In case of purchasing or renting purchase relocation houses, sign contracts as follows:

a) Parties shall agree to choose to sign contracts for purchasing or renting purchase relocation houses. Contracts for renting purchase relocation houses only apply in case value of relocation houses is greater than value of original houses after being converted by coefficient k according to Point a Clause 1 Article 21 hereof;

b) In case of signing contracts for purchasing, renting purchase apartment flats, parties must specify expenditure on maintaining shared sections of the apartment buildings to be submitted by the buyers in the contracts according to housing laws;

c) Sale contracts shall be prepared using form under Annex II, rent purchase contract shall be prepared using form under Annex III attached hereto; based on contract forms above, parties may reach additional agreements on a case-by-case basis without contradicting terms and clauses included in the contracts, moral ethics, and regulations and law. These contracts shall be notarized and verified according to Law on Housing.

3. In case of purchasing, renting purchase social houses, sign contracts for purchasing or renting purchase houses according to regulations on development and management of social houses.

4. in case of allocating relocation in form of leasing state-owned houses, sign contracts for leasing houses according to regulations on management and leasing of state-owned houses.

5. In case of purchasing, renting, renting purchase floor area for business purposes, sign contracts with project developers or entities assigned to designate relocation according to regulations and law on sale of immovable property.

6. Contracts under this Article shall be signed when foundation of houses has been completed according to regulations and law on houses, regulations and law on sale of immovable property or when houses have been inspected for acceptance as per construction laws. Transfer of houses and relocation constructions must be included in the contracts and shall only be implemented once houses, other constructions and technical infrastructures, social infrastructure serving residential demands (if any) have been inspected, accepted, and brought into use according to construction laws and relevant law provisions.

Section 3. POLICIES APPLIED IN RENOVATION AND RECONSTRUCTION OF APARTMENT BUILDINGS

Article 25. Land policies

1. Issuing decisions on land appropriation and land transfer, land lease, and permitting land repurposing for implementation of apartment renovation and reconstruction projects under this project shall be performed as follows:

a) For cases under Article 14 hereof, implement after competent authority approves project investment guidelines;

b) For cases under Article 15 and Article 16 hereof, implement according to land laws;

c) Procedures for appropriating land, transferring land, leasing land, permitting land repurposing for implementation of projects under this Clause shall conform to land laws. In case owners do not comply with land appropriation of competent authority, People’s Committees of provinces shall enforce land appropriation to transfer premise to project developers.

2. Project developers of apartment renovation and reconstruction projects shall be exempted from land levy, land rent, land repurposing fee for land area assigned for apartment renovation and reconstruction projects (including land area of current apartment buildings, current detached houses (if any), land area for construction of service, commercial structures, public structures, and area for construction of technical infrastructure and social infrastructure in the vicinity of current apartment buildings and apartment complexes, except for cases under Clause 2 Article 22 hereof).

3. In case projects under Clause 3 Article 4 hereof have land area greater than land area under Clause 2 of this Article, project developers must submit land levy, land rent, land repurposing fees for the difference amount as follows:

a) In case of bidding for selecting project developers, project developers shall perform financial obligations for land based on winning bid according to Article 15 hereof;

b) In case of not bidding for selecting project developers, project developers shall perform financial obligations for land according to land laws.

4. In case chosen project developers propose to increase land use coefficient in a manner that conforms to approved planning and is approved by competent authority, project developers must submit additional land levy for the increase amount as per the law.

5. In case apartment buildings must be constructed as per approved planning for construction of other structures (except for cases under Clause 6 of this Article) or construction of apartment buildings where apartment owners agree not to perform in-situ relocation and project developers have made compensation and arranged relocation for the owners in other locations according to this Decree, project developers shall receive preferential treatment regarding land according to Clause 2 of this Article.

6. In case of implementing relocation projects by grouping according to Clause 4 Article 13 hereof, project developers shall receive preferential treatment regarding land according to Clause2 of this Article.  In case projects fail to balance financial effectiveness, People’s Committees of provinces shall submit reports to Prime Minister to consider and exempt land levy, land rent, land repurposing fees for land where old apartment buildings are grouped to balance financial effectiveness of the projects; remaining land area not exempted for land levy, project developers must perform financial obligations regarding land as per the law, except for cases of constructing public structures.

Article 26. Capital mobilization policies

1. In case of renovating and reconstructing apartment buildings without utilizing funding sources under Clause 3 Article 36 of Law on Housing, project developers may mobilize capital from following sources:

a) Funding sources under Article 27 of Law on Housing, including capital owned by the project developers, capital mobilized via contribution, cooperation, business collaboration, joint venture, and connection of organizations, households, individuals; capital from land development fund, compensation, financing, relocation financing when performing land clearance as per the law, and capital mobilized from other legal sources;

b) Purchase price, rent purchase and rent of off-plan houses and area of constructions serving commercial purposes (if any) within the project scope;

c) Loan capital from credit institutions, financial institutions (if any) currently active in Vietnam.

2. In case apartment owners arranged with relocation must pay for the difference in area, they may take loans in credit institutions and financial institutions currently active in Vietnam, loans from housing development funds and other funding sources of local governments (if any) as per banking laws and relevant law provisions to pay for the difference.

Chapter IV

IMPLEMENTATION

Article 27. Transition clauses

1. Local governments that have approved apartment renovation and reconstruction projects before effective date hereof are not required to prepare and approve the plans again according to this Decree except for cases of revising the plans to conform to housing development projects or practical demand of local governments;  People’s Committees of provinces must publicize approved plans before effective date hereof for apartment owners and inhabitants according to Clause 2 Article 11 hereof.

2. In case investment guidelines of apartment renovation and reconstruction projects have been decided or approved by competent authority, decision and approval under this Decree are not required except for cases where revision to contents of decision and approval of investment guidelines is required.

In case application for approval of investment guidelines has been submitted but competent authority has not issued decisions approving investment guidelines, investment guidelines shall then be approved according to this Decree.

3. For apartment renovation and reconstruction projects having investment guidelines selected by competent authority, do not select again according to this Decree except for cases under Clause 5 Article 4 hereof and cases where project developers have not made compensation according to Clause 5 of this Article.

4. In case project developers have made compensation according to approved compensation solutions before the effective date hereof, project developers are not required to perform compensation again according to this Decree; in case where area of houses or land has not been included in compensation solutions, this area shall be compensated according to this Decree.

5. In case compensation solutions have been approved but have not been implemented by the effective date hereof, parties shall agree on compensation solutions according to this Decree again except for cases where parties remain agreeing on approved compensation solutions. In case project developers fail to balance financial effectiveness of projects according to approved planning after parties have agreed on compensation solutions again, may request competent authority to consider and adjust approved planning to balance financial effectiveness of projects.

If project developers and apartment owners fail to agree on compensation solutions according to Clause 6 Article 14 hereof within 12 months for apartment building renovation and reconstruction projects or 24 months for apartment complex renovation and reconstruction projects without taking into account period of revising planning according to this Clause (if any), People’s Committees of provinces must terminate project implementation and choose project developers again according to this Decree.

6. For apartment renovation and reconstruction projects approved for implementation in form of build – transfer (BT), conform to regulations and law on investment in form of public-private partnership.

Article 28. Responsibility for implementation

1. Responsibilities of Ministry of Construction:

a) assisting the Government, Prime Minister in guiding, directing, and encouraging local governments in implementing provisions on apartment renovation and reconstruction according to this Decree and Law on Housing;

b) providing specific guidelines on inspecting and assessing quality factors of apartment buildings according to construction laws and apartment buildings under Article 5 hereof;

c) taking charge or cooperating with relevant ministries in conducting inspection on compliance with this Decree; consolidating and submitting reports on renovation and reconstruction of apartment buildings nationwide to Prime Minister on a regular or irregular basis;

d) researching and proposing policies relating to deconstruction, renovation, and reconstruction of apartment buildings for issuance within their competence or requesting competent authority to consider and issue;

dd) performing assigned tasks according to Law on Housing and this Decree, and other tasks assigned by the Government, Prime Minister.

2. Relevant ministries within their tasks and functions are responsible for issuing or requesting competent authority to amending regulations relating to renovation and reconstruction of apartment buildings; taking charge or cooperating with Ministry of Construction in implementing this Decree.

3. People’s Committees of provinces and central-affiliated cities are responsible for:

a) organizing implementation, encouraging, and directing renovation and reconstruction of apartment buildings within local administrative divisions, complying with Law on Housing, this Decree, and relevant law provisions to guarantee human lives and assets for inhabitants of local apartment buildings and apartment complexes;

b) allocating funding from local government budgets to: inspect and assess quality of apartment; organize preparation; approve apartment renovation and reconstruction plans; appraise and approve planning of area where apartment buildings and apartment complexes required to be renovated, reconstructed are built; renovate and reconstruct apartment buildings and apartment complexes specified under Clause 1 Article 6 hereof, and perform tasks under responsibility of local governments;

c) identifying area of land receiving exemption from land levy, land rent, land repurposing fees within the scope of apartment renovation and reconstruction projects according to Clause 2 Article 25 hereof, preventing loss of state budget;

d) organizing enforced land appropriation and enforced relocation according to this Decree and land laws;

dd) issuing specific policies within their competence depending on local conditions to implement local apartment renovation and reconstruction projects;

e) submitting reports on results of local apartment renovation and reconstruction to Ministry of Construction on a regular or irregular basis for consolidation and report to the Government and Prime Minister;

g) performing other tasks according to Law on Housing, this Decree and relevant law provisions.

Article 29. Entry into force

1. This Decree comes into force from September 01, 2021.

2. This Decree replaces Decree No. 101/2015/ND-CP dated October 20, 2015 of the Government.

3. After the effective date hereof, requirements for overall premise drawing and architectural solutions under Clause 4 Article 14 of Decree No. 37/2010/ND-CP dated April 7, 2010 of the Government and Clause 5 Article 10 of Decree No. 44/2015/ND-CP dated May 6, 2015 of the Government shall conform to this Decree.

4. Details relating to relocation, enforcement, deconstruction, renovation, and reconstruction of apartment buildings under Decrees of the Government, Decisions of Prime Minister, legislative documents of ministries and People’s Committees of provinces issued before the effective date hereof.

5. Ministers, heads of ministerial agencies, heads of Governmental agencies, Chairpersons of People’s Committees of provinces and central-affiliated cities are responsible for implementation of this Decree.

 

PP. GOVERNMENT ACTING PRIME MINISTER DEPUTY PRIME MINISTER Le Minh Khai

 

ANNEX I

APPLICATION FOR ACTING AS PROJECT DEVELOPER IN APARTMENT BUILDING RENOVATION AND RECONSTRUCTION PROJECT
(Attached to Decree No. 69/2021/ND-CP dated July 15, 2021 of the Government)

(ENTERPRISE) -------

SOCIALIST REPUBLIC OF VIETNAM Independence – Freedom – Happiness ----------------

 

APPLICATION

For acting as project developer in apartment building renovation and reconstruction project

To:...........................

Pursuant to Law on Housing dated November 25, 2014;

Pursuant to Decree No. ……………;

Pursuant to other relevant legal documents: ……………………;

…………………………… Company (name of enterprise) hereby registers for acting as the project developer of the ……………………… (name of project)

1. General information on the enterprise:

- Enterprise: …………………………………………………………………….

- Head office address: ...............................................................................................

- Phone: ……………………………… Fax: ………………………… Email: ………………

- Business registration certificate No. ………………. issued by …………… on ……………

- Line of business: ……………………………………………………………

- Charter capital: ...........................................................................................

- Legal representative (Mr./Mrs./Ms.): ……………………… Titles: ………………. (ID Card/Passport/Citizen Identity Card No. …………. issued on ………… in ……………)

2. Information on the project:

- Name of project: …………………………………………………………….

- Project address: …………………………………………………………………………………

- Information on the project as per approved detail planning including: population density, land use structure, land use criteria for construction planning, etc.

3. Enterprise proposition

- Investment objectives:

- Estimated total investment:

- Investment and capital mobilization solutions (including proof of financial capacity of the project developer according to land laws, investment laws, and capital mobilization capacity for implementation of investment project):

- Estimated deadline and progress of the project:

- Proposed land use demand and land repurposing (if any), proposed investment incentives, socio-economic impact and benefits of the project, preliminary environmental impact assessment (if any) according to regulations and law on environmental protection.

- Other recommendations (if any):

(Legal profiles of the enterprise prepared according criteria issued by People’s Committee of …………… Province/City and solutions for compensation, financing, and relocation according to Decree No. …………… are attached hereto)

……………………… Enterprise hereby assumes legal responsibility for accuracy and truthfulness of this application.

 

Recipient: - -

LEGAL REPRESENTATIVE (Signature and full name)

 

ANNEX II

MODEL CONTRACT FOR SALE OF RELOCATION HOMES
(Attached to Decree No. 69/2021/ND-CP dated July 15, 2021 of the Government)

SOCIALIST REPUBLIC OF VIETNAM
Independence – Freedom – Happiness
----------------

CONTRACT FOR SALE OF RELOCATION HOMES

(Implementing Apartment building renovation and reconstruction in ……)

No. ……………/HD

Pursuant to Civil Code dated December 9, 2015;

Pursuant to Law on Housing dated November 25, 2014;

Pursuant to Decree No. ……………… dated ……………, 2021 of the Government on renovation and reconstruction of apartment building;

Pursuant to solutions for compensation, financing, and relocation approved by People’s Committee of ………… Province/City under Decision No. ……………… dated ………………… ;

Pursuant to………………………………

The parties are:

PROJECT DEVELOPER OR ENTITY ASSIGNED TO ALLOCATE RELOCATION HOME (hereinafter referred to as “The Seller”):

- Name:...........................................................................................

- Legal representative: ………………………………………………………………………..

- Address: …………………………………………………………………………………………

- Permanent residence register: ……………………………………………………….

- Phone: ……………………………… Fax (if any): ………………………

- Account number: ………………………………. at ………………………………. (bank)

- Tax identification number: …………………………………………………….

RECIPIENT OF RELOCATION HOME (hereinafter referred to as “The Buyer”):

Is the owner of the flat/stand-alone house No. ……… in …………. Apartment building of the …………… Apartment Complex at …………………………. (address).

- Represented by Mr./Mrs./Ms.: .…………………………………

- ID Card/Passport/Servicemen Identity Card/Citizen Identity Card No. ……………… issued on ……………… at ……………………

- Spouse (if any): ……………………………

- ID Card/Passport/Servicemen Identity Card/Citizen Identity Card No. ……………… issued on ……………… at ……………………

- Permanent or temporary residence register: …………………………………….

- Address: …………………………………………………………………………

- Phone: ……………………… Fax (if any): …………………

- Account number: …………………… at ………………….. (bank)

- Tax identification number: …………………….

The parties hereby agree to sign the Contract for sale of relocation home as soon as the relocation home No. ……………. is renovated and reconstructed as follows:

Article 1. Information on relocation home

1. Type of home (apartment flat or stand-alone house): ………………………………..

2. Home address: ……………………………………………………………………

3. Use area: ………………. m²

4. Information on privately owned section, commonly owned section, privately used section, commonly used section (in case of an apartment flat):

5. Essential equipment attached to the home: ………………………………

6. Other information: …………………………………………………………………

(Drawings of home location and premise are attached hereto)

Article 2. Price and methods of payment

1. Price of relocation home: ……………………………. VND/m².

2. Area of relocation home according to solutions for compensation, financing, and relocation approved by People’s Committee of Province/City: ……………… m².

3. Total contract value: …………………………………… VND.

 (In word: …………………………………… This value already includes fee for land use right and VAT)

4. Maintenance costs equal 2% of total contract value: ……………………. VND

(In words: ………………………………………………………………………………………)

5. Area of previous residence of the Buyer for which the Buyer is compensated by the Seller and thus shall not incur: …………… m² equivalent to: ……………. VND.

(In words: ………………………………………………………………………………………)

6. The difference to be incurred by the residence owner (if any): …………….. VND.

(Difference between total price of residence (excluding maintenance cost) and the equivalent cost compensated for the Seller for the Buyer: 6 = 3 - 5)

7. Payment methods:

- The difference under Clause 6 of this Article shall be paid via (specify whether the payment is made in case or wire)

- Maintenance costs under Clause 2 of this Article shall be made via bank:

8. Deadline for payment:

a) For the difference under Clause 6 of this Article (with payment methods agreed upon by parties).

- Settle the payment once on …………………… (or within ……… days from the date on which this Contract is signed).

- In case of paying in installments, the installments are:

+ The first installment: ……………………… VND.

+ The second installment: ……………………… VND.

+ The next installment: …………………………………. VND.

Prior to each installment agreed upon under this Clause, the Seller is responsible for informing the Buyer in writing (via fax, postal service, etc.) about the precise payment and deadline from the date on which the Buyer receives the notice.

b) For maintenance costs under Clause 4 of this Article, settle prior to transferring the home.

9. Management fees and principles of adjusting management fees for apartment building during the period in which Management Board of the apartment building is not established: ……………….

Article 3. Deadline for delivering homes and attached documents

1. The Seller is responsible for delivering home, equipment attached thereto, and documents regarding home under Article 1 hereof to the Buyer within …… days after accepting and bringing home, constructions, and social infrastructures serving residence demands (if any) into use according to regulations and law on constructions and after the Buyer has incurred all payment as per the law (unless otherwise agreed upon by the parties). The home delivery must be made into record bearing countersignature of the parties.

2. Other agreements.

Article 4. Home warranty

1. The Seller is responsible for providing warranty for home according to Law on Housing.

2. The Buyer must promptly inform the Seller in writing when the home suffers from damage eligible for warranty. Within ……… days from the date on which notice of the Buyer is received, the Seller is responsible for providing warranty for the damage as per the law. Failure to provide warranty in a timely fashion which causes damage to the Buyer will result in compensation liability for the Seller.

3. Do not provide warranty for cases where the home is damaged due to natural disasters, casualty of war, or errors of users.

4. Once the deadline for warranty specified under Law on Housing expires, the Buyer shall incur all repair works.

5. Other agreements.

Article 5. Rights and obligations of the Seller

1. Rights of the Seller:

a) Request the Buyer to incur the difference under Clause 6 Article 2 (if any) adequately;

b) Request the Buyer to receive the home delivery as per agreement under Article 3 hereof;

c) Request the Buyer to adequately comply with financial obligations relating to housing sale as per the law;

d) Benefit from other rights (without contradicting the law).

2. Obligations of the Seller:

a) Deliver home together with documents to the Buyer according to agreement under Article 3 hereof;

b) Provide warranty for home of the Buyer according to Article 4 hereof;

c) Preserve home and equipment attached thereto during the period in which the home is not delivered to the Buyer;

d) Assume responsibility for adopting procedures for issuance of Certificate for the Buyer (except for cases where the parties agree that the Buyer is responsible for adopting procedures for issuance of the Certificate);

dd) Pay damages caused on their part;

e) Fulfill other obligations (without contradicting the law).

Article 6. Rights and obligations of the Buyer

1. Right of the Buyer:

a) Request the Seller to deliver home together with documents on home according to agreement under Article 1 and Article 3 hereof;

b) Request the Seller to adopt procedures for issuance of Certificate for land use right, ownership right of home and other assets attached to land or request the Buyer to cooperate and provide relevant documents to allow the Buyer to adopt procedures for issuance of the Certificate (in case the Buyer agrees to adopt procedures);

c) Request the Seller to provide warranty according to Article 4 hereof; pay damages due to failure to deliver home in a timely fashion, with adequate quality, or unsatisfactory to other commitment herein;

d) Benefit from other rights (without contradicting the law).

2. Obligations of the Buyer:

a) Incur the difference under Clause 6 Article 2 (if any) and maintenance costs under Clause 4 Article 2, and submit financial obligations regarding sale of relocation home as per the law;

b) Receive home delivered together with documents on home as per agreement under Article 3 hereof;

c) Submit administrative costs and other costs during use of home to the service providers after receiving home delivery (if any);

d) Fulfill other obligations (without contradicting the law).

Article 7. Responsibilities of the parties in default of the Contract

The parties shall elaborate on responsibilities (namely penalties; interest calculation; methods of implementing responsibilities, etc.) caused by a default of the Contract for cases where the Buyer fails to pay the difference in a timely manner or the Seller fails to deliver the home in a timely manner.

Article 8. Transfer of rights and obligations

1. The Buyer has the right to sell, transfer, mortgage, lease, gift, and make other trade according to regulations and law on housing.

2. Other agreements regarding transfer of rights and obligations that are not contradicting the law.

Article 9. Cases of Contract termination

This Contract shall be terminated in the following cases:

1. The parties agree to terminate the Contract in writing. In this case, the parties shall agree on the conditions and time of termination.

2. The Buyer fails to incur the difference within ………. days (or months) according to agreement under Article 2 hereof.

3. The Seller fails to deliver the home within ……… days (or months) of the deadline under Article 3 hereof.

4. Other agreements.

Article 10. Commitment of the parties and dispute resolution

1. The parties shall agree to comply with the signed Contract. In case of dispute between the parties regarding this Contract, the parties shall resolve the dispute via negotiation. In the case the parties fail to negotiate, either party has the right to request the People’s Court to resolve as per the law.

2. Other commitments.

Article 11. Other agreements

(Agreements hereunder must conform to regulations and law and do not contradict social moral).

1. ...............................................................................................................................

2. ...............................................................................................................................

Article 12. Effect of the Contract

1. This Contract comes into effect from ……………………………………………

2. This Contract shall be made into ………… copies that hold equivalent legal value, each party shall hold …… copy/copies for implementation

 

THE BUYER (Signature and full name, if the Buyer is an organization, seal and title of signer)

THE SELLER (Signature, seal, and title of signer)

 

ANNEX III

MODEL CONTRACT FOR LEASE PURCHASE OF RELOCATION HOME
(Attached to Decree No. 69/2021/ND-CP dated July 15, 2021 of the Government)

SOCIALIST REPUBLIC OF VIETNAM
Independence – Freedom – Happiness
----------------

CONTRACT FOR LEASE PURCHASE OF RELOCATION HOME

(Implementing Apartment building renovation and reconstruction in ……)

No. ……………/HD

Pursuant to Civil Code dated December 9, 2015;

Pursuant to Law on Housing dated November 25, 2014;

Pursuant to Decree No. ……………… dated ……………, 2021 of the Government on renovation and reconstruction of apartment building;

Pursuant to solutions for compensation, financing, and relocation approved by People’s Committee of ………… Province/City under Decision No. ……………… dated ………………… ;

Pursuant to………………………………

The parties are:

PROJECT DEVELOPER OR ENTTIY ASSIGNED TO ALLOCATE RELOCATION HOME (hereinafter referred to as “the Seller”):

- Name:...........................................................................................

- Legal representative: ………………………………………………………………………..

- Address: …………………………………………………………………………

- Permanent residence register: ……………………………………………………….

- Phone: …………………………………………………………… Fax (if any): ………………………………….

- Account number: …………………… at ………………….. (bank)

- Tax identification number: …………………………………………………….

RECIPIENT OF RELOCATION HOME (hereinafter referred to as “the Buyer”):

Is the owner of the flat/stand-alone house No. ……… in …………. Apartment building of the …………… Apartment Complex at …………………………. (address).

- Represented by Mr./Mrs./Ms.: .…………………………………

- ID Card/Passport/Servicemen Identity Card/Citizen Identity Card No. ……………… issued on ……………… at ……………………

- And whose spouse (if any) is: …………………………………………………….

- ID Card/Passport/Servicemen Identity Card/Citizen Identity Card No. ……………… issued on ……………… at ……………………

- Permanent or temporary residence register: …………………………………….

- Address: …………………………………………………………………………

- Phone: ……………………………… Fax (if any): ………………………

- Account number: ………………………………. at ………………………………. (bank)

- Tax identification number: …………………………………………………….

The parties hereby agree to sign the Contract for sale of relocation home as soon as the relocation home No. ……………. is renovated and reconstructed as follows:

Article 1. Information on relocation home

1. Type of home (apartment flat or stand-alone house): ………………………………..

2. Home address: ……………………………………………………………………

3. Use area: …………. m².

4. Information on privately owned section, commonly owned section, privately used section, commonly used section (in case of an apartment flat): ……………….

5. Essential equipment attached to the home: ………………………………

6. Other information: …………………………………………………………………

(Drawings of home location and premise are attached hereto)

Article 2. Lease purchase price and methods of payment

1. Lease purchase price of relocation home: ……………………………. VND/m².

(In words: ………………………………………………………………………). .

2. Area of relocation home for lease purchase according to solutions for compensation, financing, and relocation approved by People’s Committee of Province/City: ……………… ……………m².

3. Total contract value: …………………………………… VND.

 (In words: …………………………………… This value already includes fee for land use right and VAT)

4. Maintenance costs equal 2% of total contract value: ………………. VND.

(In words: ………………………………………………………………………). .

5. Areas of the previous home of the Buyer for which the Seller compensates the Buyer and the Buyer is not required to incur: …………. m² equivalent to: …………. VND.

(In words: ………………………………………………………………………).

6. The difference that must be incurred by the Buyer: …………………. VND.

(Difference between total contract value (excluding maintenance costs) and the value equivalent to home area for which the Buyer is compensated by the Seller to relocation and is not required to incur: 6 = 3 - 5)

7. Payment methods:

- The difference under Clause 6 of this Article (if any) shall be incurred in (specify whether the payment is made in cash or wire transfer): ……………….

- Maintenance costs under Clause 4 of this Article shall be made via bank: ………………

8. Deadline for payment:

a) For the difference under Clause 6 of this Article (with payment methods agreed upon by parties).

- The first installment: equals 20% of the difference on ………………. (date) (or within ……. days from the date on which this Contract is signed).

- Monthly rent (specify whether the rent is made via cash or wire transfer): …………………

b) For maintenance costs under Clause 4 of this Article, settle prior to delivering the home.

9. Administration costs, utility bills, phone service, and other services shall be incurred by the Buyer for service providers as per agreement. These costs are not included in lease purchase price under Clause 1 of this Article.

Article 3. Deadline for delivering homes and attached documents

1. The Seller is responsible for delivering home, equipment attached thereto, and documents on the home under Article 1 of this Contract to the Buyer within …… days from the date on which the Buyer settles the first installment according to Clause 8 Article 2 hereof (unless otherwise agreed upon by the parties). The home delivery must be made into record bearing countersignature of the parties.

2. Deadline for lease purchase is ……… years (……. months) from …………. (date) to …………. (date).

3. Other agreements.

Article 4. Home warranty

1. The Seller is responsible for providing warranty as per Law on Housing.

2. The Buyer must promptly inform the Seller when the home suffers from damage eligible for warranty. Within ……… days from the date on which notice of the Buyer is received, the Seller is responsible for providing warranty for the damage as per the law. Failure to provide warranty in a timely fashion which causes damage to the Buyer will result in compensation liability for the Seller.

3. Do not provide warranty for cases where the home is damaged due to natural disasters, casualty of war, or errors of users.

4. Once the deadline for warranty specified under Law on Housing expires, the Buyer shall incur all repair works.

5. Other agreements.

Article 5. Rights and obligations of the Seller

1. Rights of the Seller:

a) Request the Buyer to use the home for the right purpose and comply with regulations on management of lease purchase home;

b) Request the Buyer to adequately incur the difference within the agreed deadline;

b) Request the Buyer to receive the home deliver as per agreement under Article 3 hereof;

d) Request the buyer to incur all repair works and compensate for damaged caused by the Buyer during lease purchase period;

dd) Terminate Contract for lease purchase and revoke lease purchase home in case of terminating Contract for home lease purchase under Article 7 hereof or when lease purchase home is subject to revocation according to Law on Housing;

e) Benefit from other rights (without contradicting the law).

2. Obligations of the Seller :

a) Deliver home together with documents to the Buyer according to agreement under Article 3 hereof;

b) Provide warranty for home of the Buyer according to Article 4 hereof;

c) Publicize and inform the Buyer about regulations on management and use of lease purchase home;

d) Maintain and manage lease purchase home according to regulations and law on home management use;

dd) Inform the Buyer about changes to the monthly rent and home administration costs at least 1 month prior to application;

e) Instruct and request the Buyer to comply with regulations on management of residence register, household member, security, order, and environmental hygiene;

g) Assume responsibilities for issuance of the Certificate for the Buyer when lease purchase period expires and the Buyer has incurred all rent as per agreement in this Contract (unless the parties agree on cases where the Buyer is responsible for adopting procedures for issuance of the Certificate);

h) Comply with decision of competent authority in managing, disposing lease purchase home, and resolving disputes relating to this Contract;

i) Fulfill other obligations (without contradicting the law).

Article 6. Rights and obligations of the Seller

1. Rights of the Seller:

a) Request the Seller to deliver home together with documents on home according to agreement under Article 1 and Article 3 hereof;

b) Request the Seller to adopt procedures to enable competent authority to issue Certificate for land use right, ownership right of home and other assets attached to land or cooperate, provide other relevant documents to adopt procedures for issuance of the Certificate (if the Buyer agrees to adopt the procedure) once the Contract expires and the Buyer has adequately incurred the rent according to this Contract;

c) Request the Seller to provide warranty according to Article 4 hereof; pay damages caused by failure to deliver home in a timely fashion, with adequate quality, or unsatisfactory to other commitment herein;

d) Request the Seller to promptly repair damage that is not caused by the Buyer;

dd) Conduct trades regarding the home after incurring all of the rent and receiving the Certificate;

e) Benefit from other rights (without contradicting the law).

2. Obligations of the Seller:

a) Adequately incur the difference of the first payment and t he monthly rent according to Article 2 hereof; incur maintenance costs, administration costs, and other costs relating to home use for service providers;

b) Receive home delivered together with documents on home as per agreement under Article 3 hereof;

c) Use the home for the right purposes; preserve the home and repair damage caused by the Buyer;

d) Adequately comply with regulations on management use of lease purchase home and decisions of competent authority on resolving disputes relating to this Contract;

dd) Do not transfer lease purchase home in any shape of form during the lease purchase period;

e) Comply with regulations on preservation of environmental hygiene, order, and security in residential area;

g) Compensate for damage caused by the Buyer;

h) Fulfill other obligations (without contradicting the law).

Article 7. Responsibilities of the parties in default of the Contract

The parties shall elaborate on responsibilities (namely penalties; interest calculation; methods of implementing responsibilities, etc.) caused by a default of the Contract for cases where the Buyer fails to pay the difference in a timely manner or the Seller fails to deliver the home in a timely manner.

Article 8. Cases of Contract termination

This Contract shall be terminated in the following cases:

1. The parties agree to terminate the Contract in writing. In this case, the parties shall agree on the conditions and time of termination.

2. The Buyer fails to incur rent for 3 consecutive months without justifiable reasons.

3. The Buyer deliberately transfers rent right to other people during the period of lease purchase.

4. The Buyer deliberately repairs, renovates, or resizes lease purchase homes during the period of lease purchase.

5. Other agreements.

Article 9. Commitment of the parties and dispute resolution

1. The parties shall agree to comply with the signed Contract. In case of dispute between the parties regarding this Contract, the parties shall resolve the dispute via negotiation. In the case the parties fail to negotiate, either party has the right to request the People’s Court to resolve as per the law.

2. Other commitments.

Article 10. Responsibilities of the parties in default of the Contract

The parties shall agree on cases of default of the Contract and responsibilities of each party in case of a default (this agreement must conform to regulations and law and does not contradict social moral).

Article 11. Other agreements

(Agreements hereunder must conform to regulations and law and do not contradict social moral).

1. ………………….........................................................................................................

2. ………………............................................................................................................

3. ………………............................................................................................................

4. ………………............................................................................................................

Article 12. Effect of the Contract

1. This Contract comes into effect from ……………………………………………

2. This Contract shall be made into …… copies which hold equivalent legal value, each party shall hold … copy/copies for implementation.

 

THE BUYER (Signature and full name, if the Buyer is an organization, seal and title of signer)

THE SELLER (Signature, seal, and title of signer)