HCM City’s Department of Construction said the property market saw a dramatic rise in the number of low-income housing projects built last year.

Nguyen Van Duc, deputy director of Dia Oc Dat Xanh Co said in previous years the high-grade house segment accounted for 70-80 per cent of market.

However, last year the market was dominated by housing projects ranging from VND0.5-1 billion ($27,173-54,347).

Some low-cost housing projects launched in the market include Binh Tan District’s Le Thanh project, with a price of VND9-10 million ($489-543) per sq.m; District 6’s Blue Sapphire Binh Phu project, with VND12.9 million ($701) per sq.m; Thu Duc District’s Babylon Residence project with VND14.5 million ($788) per sq.m; and District 8’s Carina project with $12-13 million ($652-706) per sq.m.

The Nam Long Apartment Development Corporation said in 2008 the company launched E-Home Dong Sai Gon 1, consisting of 312 apartments with an area of 50-100 sq.m each. They sold out within one month.

Last year, it also launched the E-Home Dong Sai Gon 2 project in District 9, with the price of VND14 million ($760) per sq.m.

The low-cost housing project is badly needed in HCM City. Last year, the City authority launched more than 1,000 social housing projects to provide more accommodation for low-income people.

This year, the City plans to complete 10 housing projects to offer at least 840 apartments for civil servants and six social housing projects with 769 apartments.

It will increase the total number of social houses in the city in the 2006-10 period to 9,773 apartments.

Nguyen Thanh Tai, standing deputy chairman of the HCM City People’s Committee, said more and more investors would be participating in the social housing programme this year because of the high demand.

For example, Duc Khai Joint Stock Co kicked off a social housing project on January 20 with the building of 490 apartments serving 1,700 people. It is expected to be completed within 24 months.

The company has also built 3,070 resettlement apartments in District 7’s Phu My Ward. After completion, the company will hand over the apartments to the city.

On January 29, Hai Ha Commerce and Manufacture Ltd Co kicked off the construction of 180 apartments for low-income people in District 6’s Ward 14.

VietNamNet/Viet Nam News