Synchronously deploy solutions to increase revenue from land use rights auctions

In the first quarter of 2024, the revenue from auctions of residential land use rights (LURs) of localities showed signs of increasing again. In recent auctions, the number of participants was quite large and the floor price was high. However, currently, there is not much land fund eligible for auction, the remaining land fund that is not eligible will need a lot of time to complete essential infrastructure as well as administrative procedures according to regulations.

Bac Song Hieu urban area has invested in synchronous and modern infrastructure - Photo: TT

Therefore, to ensure state budget revenue from land use rights auctions, it is necessary to have close and drastic attention and direction from the province and relevant departments and branches to prioritize the quick and timely resolution of administrative procedures in order to soon complete the procedures to ensure sufficient conditions for auctions in accordance with regulations.

To overcome the shortcomings affecting the results of land use rights auctions in 2023, from the beginning of 2024, the Dong Ha City Land Fund Development Center has developed a detailed plan for site clearance for each project, prioritizing projects, focusing on key projects, infrastructure construction projects to create land funds for auctions and long-standing backlog projects.

Coordinate with the Provincial Land Fund Development Center, the Department of Natural Resources and Environment, the City Urban Management Department and related units to research and promptly propose appropriate solutions to remove difficulties and obstacles in policies and mechanisms related to land use rights auctions such as the issue of subdivision in planning projects, subdivision adjustments, the preparation of detailed 1/500 planning for projects before organizing auctions...

Thanks to that, difficulties and obstacles have been gradually resolved. Since the beginning of the year, the Dong Ha City Land Fund Development Center has organized two auctions of land use rights for 87 residential plots. In May 2024, the unit will continue to organize the third auction and submit for appraisal the auction plan for the plots of land according to the approved auction plan.

Currently, contractors are concentrating machinery and human resources to implement construction projects on 47m road and infrastructure of North Hieu River Resettlement Area, odd-lot land projects in residential areas, Residential Area project on Block 2 of Khoa Bao Street and Thanh Co Street, Dong Soi Residential Area project phase 2 to create land fund for auction.

Statistics up to March 31, 2024, the budget revenue from land use right auctions of some units and localities in the province was quite good. Accordingly, the Provincial Land Fund Development Center collected 108,595 billion VND, reaching 37%, Gio Linh district collected 13,768 billion VND, reaching 49%, Vinh Linh district collected 33,537 billion VND, reaching 31%, Dong Ha city collected 44,172 billion VND, reaching 32% of the plan assigned by the Provincial People's Council.

According to the management authority of the Provincial Land Fund Development Center, the land fund is expected to continue to be auctioned to individuals in 2024, about 19,600 m2, equivalent to about 100-120 billion VND. The land fund expected to be auctioned to investors to implement the commercial housing project in the Bac Song Hieu Urban Area, phase 1, according to the policy of the Provincial People's Committee is about 150-170 billion VND, with a land area of 19,388 m2.

According to Deputy Director of the Provincial Land Fund Development Center Phan Dang Hai, to improve the effectiveness of land use rights auctions in the coming time, the center will continue to promote and inform people through mass media, social networks... Create maximum favorable conditions for people to participate in auctions such as organizing for customers to buy and submit documents by post, submit and pay deposits through digital banking applications, receive requests and guide customers to view properties for free...

Synchronously and increasingly modernize new urban areas such as undergrounding technical infrastructure systems, paving sidewalks, planting trees, lighting, preventing odors in the drainage system... Encourage and call for infrastructure investment such as investment in parks, trees, water surfaces, public works, kindergartens, schools... to bring many conveniences to people.

The common difficulty that land fund development centers in Dong Ha city face is that the current subdivision lacks diversity in the size of the land lots put up for auction, so the products offered are not suitable for the financial capacity of the majority of customers, especially during the difficult economic period.

In fact, the segment of land plots with a size of 6m x 20m with a floor price of less than 1 billion VND attracts the attention of many customers compared to the segment of land plots with large sizes and starting prices. Through the recent auctions of land use rights organized by the Provincial Land Fund Development Center and the Dong Ha City Land Fund Development Center, the number of people registering to participate in the auction for land plots with a size of 6m x 20m is very large with the actual need to buy land for housing.

To stimulate the real estate market, the units have proposed to the Provincial People's Committee to adjust the size of some inappropriate land lots in order to increase the number of land lots targeting those in need of residential land with prices of around 1 billion VND to create more opportunities for people.

Currently, there is not much land available for auction, and the remaining land that is not yet eligible will require a lot of time to complete essential infrastructure as well as administrative procedures according to regulations.

Meanwhile, the procedural requirements are stricter, the time for paying the winning bid is longer, there are many additional procedures for detailed planning 1/500, procedures for approving subdivision plans, especially many new legal regulations related to land, real estate, and housing will take effect in the near future.

Therefore, it is necessary to have active support from departments, branches and localities to prioritize the quick and timely resolution of administrative procedures, especially procedures related to land use rights auctions, such as collecting opinions, appraisals and approvals related to planning procedures, lot division, auction plans, starting prices, auction results, etc.

Provincial departments, branches, and investors organize public announcement of information on planning and progress of infrastructure development projects, real estate projects, especially large projects and mergers, establishment, and upgrading of administrative units... in the locality to ensure information transparency, prevent the spread of rumors and speculation to push up prices for illegal profiteering.

Thanh Truc

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