State leads, businesses step up investment in rental housing, affordable housing
Stronger government support and incentives are expected to encourage private developers to invest in rental housing, helping expand affordable housing supply and meet growing demand.
Recent reports highlight the growing importance of rental housing investment in various Vietnamese cities, as both government and private entities work together to address the rising demand for affordable housing. In Hanoi, three major rental housing projects are underway, each featuring over 8,000 apartments, with an estimated investment of more than VND30,000 billion.
In Ho Chi Minh City, eight businesses have partnered with the city federation to develop 135,000 social housing units over the next decade. Meanwhile, Hai Phong City has seen the initiation of 15 rental housing projects, with 744 apartments already completed. Localities across the country, including Hung Yen, Dong Nai, and Bac Ninh, are actively developing rental housing projects using local budget funds.
Experts emphasize the need for stronger government incentives and support mechanisms to encourage private investment in rental housing. Proposals include creating a separate resolution for rental housing development, applying a public-private partnership model, and providing long-term, low-cost capital sources. Despite the challenges, such as high land tax rates and unclear payback mechanisms, businesses recognize the market demand and social responsibility in developing rental housing.
Written by urgent.news from SGGP English Edition Business's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
