Fate of Tan Tao project decided within a week
Fate of Tan Tao project decided within a week
The fate of the long-delayed Vina Universal Paradise Trade and Service Complex (Vina Universal Paradise), invested by Tan Tao Group subsidiary Vina Film Studio and Tourism Zone Investment JSC, will be decided within a week.
On September 23, the Quang Ngai People’s Committee announced intentions to find a definitive end for the project. Accordingly, the investor will have to choose from two alternatives outlined by the province.
The first possible course of action is for the investor to retain its interest in developing the project. It must commit to implementing the construction on schedule, according to the adjusted investment certificate granted on August 19, 2014, and completing the project in 2018.
If the investor chooses this plan, the province will provide favourable conditions in ground clearance for the investor.
The second alternative is a transfer plan. Accordingly, Vina Film Studio and Tourism Zone Investment JSC would have to transfer the project to other investors within six months of September 23. If the investor defaults on the deadline, the province will revoke the investment certificate and call in other investors by itself.
Vina Film Studio and Tourism Zone Investment JSC has to submit its official decision before September 30.
Dang Van Minh, Deputy Chairman of the Quang Ngai People’s Committee said that along with the objective reasons of having difficulty in land clearance, the long delay in construction is due to the investor’s financial trouble. Besides, the investor showed little inclination to co-operate with authorities in resolving the problems arising during the implementation progress, thus arguing that they have to shoulder the entire responsibility of the project delay.
Licensed in 2008, the project has the total investment capital of VND1.2 trillion ($54.3 million). It was planned to be built on an area of 56.5 hectares in Son Tinh district and slated for completion by 2012.
According to the original design, the project would include a residential areas of 237 houses, 183 villas with gardens, and 56 bungalows or one-storey wooden houses, a public area, as well as five trade-service blocks.
Construction has been implemented slowly to date. As of now, the investor has yet to complete the land compensation payments and build the resettlement area for residents. According to the locals, the long delay has left the project area a wasteland because it has been lying abandoned for years, while residents do not have land for cultivation or construction.
Previously, the investor proposed the provincial leaders to extend the deadline of the final stage to 2018, including the trade-service and accommodation areas. However, as of now, the construction has been immobile.
