In order to ensure the land use according to the project schedule, the investor must have his own capital to implement the project not less than 20% of the total investment for projects with that is not lower land use scale of 20 hectares; be not lower than 15% of the total investment for projects with land use scale of 20 hectares or more.

According to the My Hanh Duc Hoa Real Estate Joint Stock Company (in Long An Province), pursuant to Point b, Clause 2, Article 12 of Decree 76/2015 / ND-CP dated September 10, 2015 of the Government detailing in implementation of a number of articles of the Law on Real Estate Business, one of the components of the application for transfer of all or a portion of the project of the transferee is the document proving his / her capital ownership to implement projects in accordance with the law on investment and land.

Through the system of receiving and responding to recommendations of businesses, the Company would like to ask, documents proving their own capital to implement the project in accordance with the law on investment and land when implementing the project. what documents are included to procedures for receiving the transfer of all or a part of real estate project?

Regarding this issue,The Ministry of Construction has the following opinions:

In Clause 3, Article 49 of the Law on Real Estate Trading provides the following conditions for transfer of all or a portion of real estate project:

“The investor receiving the transfer of all or a part of the real estate project must be a real estate enterprise, have sufficient financial capacity and commit to continue the construction investment, business in accordance with regulations of law, ensuring the progress and content of the project ”.

At Point d, Clause 2, Article 12 of Decree 76/2015 / ND-CP providing for the investor's dossier of project transfer, including:

“…Proven document on owner’s equity as prescribed in law on investment and land. With respect to an operating enterprise, if there is no proven document on owner’s equity as prescribed in law on investment and land, it is required a certification issued by an independent audit organization or a financial statement whose owner’s equity is audited at the latest year (the year in which the contract is transferred or the previous year of such year); with respect to a new enterprise, if its capital is in the form of money in VND or foreign currency, the commercial bank where such enterprise opened its account shall certify the amount of deposit balance of the enterprise, if its capital is in the form of assets, a certificate of assessment of the assets’ value of the enterprise issued by a competent assessing organization is required”.

At Point a, Clause 2, Article 14 of Decree 43/2014 / ND-CP dated May 15, 2014 of the Government detailing the implementation of a number of articles of the Land Law regarding the financial capacity conditions to ensure the use of land according to the investment project schedule, the project investors must:

“a/ Having own capital for implementation of the project equal to at least 20% of the total investment, for projects using less than 20 hectares of land; or to at least 15% of the total investment for projects using 20 hectares of land or more;”.

According to the above provisions, the Company is requested to send a document to the Ministry of Natural Resources and Environment for specific instructions on documents proving its own capital to implement the project as prescribed in Point a, Clause 2, Article 14 of Decree 43/2014 / ND-CP above.