An Hoa Trade Center (Le Duan street, Phu Thuan Ward, Hue City) was granted the construction investment license No. 311110000193 by the People's Committee of Thua Thien Hue Province (November 24, 2010). Project Owner - Hoang Phu Co., Ltd (Hoang Phu Company) is a member of Hoang Kim Co., Ltd. According to the estimates, the total investment of the project is USD 36 billion (including equity capital of the investor is VND 10.800 billion, loans from credit institutions is USD 25.200 million). Hoang Phu Company planned to invest and borrow capital from credit institutions to start the project.
The An Hoa Trade Center project was expected to complete in November 2011. However, by 2015, the project was unable to complete due to many following objective reasons:
- Due to the Hoang Phu Co., Ltd has converted to the Hoang Phu Co., Ltd from June 2010. The procedure for conversion was 1 year. Until June 3, 2011, the Thua Thien Hue Construction Department has granted construction permit No. 79 / GPXD to the Hoang Phu Company.
-Due to changing the design by the old design of Hoang Phu Co., Ltd, the height of the car transporting goods into the An Hoa Trade Center was 3.6 m and be no longer appropriate, when Hoang Phu Company received an adjustment, the height of the vehicle was 4m. Therefore, the time of completion of the project was no longer in line with the target of November 2011.
After the full design as prescribed, the Hoang Phu Company deployed to build a number of items such as casting piles foundation, building foundation, manicure, corridor surround, water supply system, prevention and treatment of fire, sewage system, etc. Hoang Phu company also completed the ground leveling, raising the ground higher than the historical flood level (in 1999) was 01 meters, at the same time, we will have to complete solid foundation for heavy vehicles coming out into the works. By the end of 2011, the Hoang Phu Company completed the phase 1 foundation, eligible for the mortgage of counterpart fund when borrowing.
On July 25, 2011, Hoang Phu Company has made a proposal to confirm the project of building An Hoa Trade Center is a key project and approved by the Chairman of Hue People's Committee. The company has applied for loans of credit institutions according to the policy applied for key projects
However, with the policy of the Government to prioritize the development of supporting industries, agriculture and rural areas, small and medium enterprises, export enterprises, and reduce the proportion of credit loans of the area. The non-manufacturing sector includes the construction sector in 2011, so the project of building an An Hoa commercial center, though being confirmed as a key project, has not been financed by any credit institution. This is an objective difficulty that Hoang Phu Company and most construction companies encountered during this period across the country.In the difficult financial situation, Hoang Phu Company tried to find the capital to complete some works: The project finished casting all 68 concrete pillars with 6.8 meters high; completed construction of 720m² floor area with 6.8 meters high, finished casting the second floor with 3.6 meters high, screed floor and sprayed concrete floor on the second floor. In 2013, 2014 and 2015, the Hoang Phu Company submitted an application for extension of the construction schedule and approved by the Director of the Department of Planning and Investment of Thua Thien Hue City.
In the year 2016, Hoang Phu Company mobilized enough capital sources and continued to carry out construction of the An Hoa Trade Center project. However, the project activities were hampered by the change of direction of The Department of Planning and Investment of Thua Thien Hue City. On July 20, 2016, the Department of Planning and Investment of Thua Thien Hue Province issued a Decision No. 29 / QD-SKHDT terminating operation of An Hoa Trade Center project, disagreed with the Decision No. 29 / QD-SKHDT of Planning and Investment Department of Thua Thien Hue Province, Hoang Phu Company sent a document to Chairman of Thua Thien Hue People's Committee and Director of Department of Planning and Investment plan of Thua Thien Hue Province for recommendation, but it was not resolved.
Due to the delay in completion of the An Hoa Trade Center project, the Director of Department of Planning and Investment of Thua Thien Hue Province issued a Decision No. 29 / QĐ-SKHDT dated July 20, 2016 ended the operation of the An Hoa Trade Center project was harsh for the business.
The Hoang Phu Company proposed to the Prime Minister to instruct Thua Thien Hue Provincial People's Committee to review the case of the Company and allow the company to continue to implement and complete the project. The Hoang Phu Company committed to continue the project with the full capital mobilized as current, the company will complete the construction of An Hoa Trade Center, put the Center into use and operate in second quarter of 2018.
