Vietnam will replace and abolish the administrative procedures of transferring Real estate projects

Recently, the Vietnam Ministry of Construction issued Decision 94/QD-BXD announcing administrative procedures to be replaced in the field of Real estate trading within the scope of state management functions of the Ministry, many regulations related will be superseded or rescinded.

According to Decision No.94/QD-BXD replacing two administrative procedures in Decision No. 705/2021/QD-BXD dated June 11, 2021 of the Ministry of Construction in the field of Real estate trading within the scope of state management functions of the Ministry of Construction.

Abolish the procedure for transferring Real estate projects

This includes: Procedures for transferring the whole or part of a Real estate project under the investment decision of the Prime Minister; Procedures for transferring the whole or part of a Real estate project under the investment decision of the People’s Committee of provinces (according to the provisions of the Law on Real Estate trading 2014).

There will be two administrative procedures in Decision No. 832/2016/QD-BXD which are abolished under Decision No. 94/QD-BXD, which include: Procedures for transferring the whole or part of a Real estate project under the investment decision of the Prime Minister; Procedures for transferring the whole or a part of a Real estate projects under the investment decision of the People’s Committee of provinces.

It is known that at the beginning of 2022, the Ministry of Construction has submitted, reported and  been approved by the Prime Minister a plan to reduce and simplify regulations related to business activities within the scope of management functions of the Ministry of Construction in 2021 and 2022.

Previously, the Ministry of Construction issued Decision No. 835/QD-BXD promulgating 7 internal processes in July 2021 to deal with administrative procedures in the field of construction activities within the scope of settlement of the Ministry of Construction.

This includes: Procedures for appraising the construction investment feasibility study report/Construction investment feasibility study report; Appraisal of construction design implemented after basic design/construction design implemented after adjusted basic design; Issuing construction practice certificates; Recognition of socio-professional organizations eligible for issuance of construction practice certificates; Issuing certificates of capacity for construction activities; Recognition of socio-professional organizations eligible to issue certificates of capacity for construction activities; Granting construction operation permits to foreign contractors of group A projects, projects located in two or more provinces.

In order to continue doing business, the investor has the right to transfer a part or the whole project to another party; however, it is necessary to ensure the principles as prescribed, which will be agreed by the parties to approve the contract based on the Law on Real Estate Trading 2014. The transfer does not change the goals and contents of the project; Ensure the interests of customers and related parties.

In addition, it must be approved in writing by State authority when transferring the whole or a part of a real estate project. The investor receiving the transfer shall be granted a certificate of land-use rights, homeownership and other land-attached assets, register changes in the certificate issued to the transferor in accordance with the law on land; The investor receiving the transfer is not required to redo the project dossier, construction planning, construction permit if there is no change in the content of approved investment policy or project investment decision.

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