Collecting mixed land, dividing plots for sale in suburban areas
According to reporters' records, in the Yen Bai lake area (belonging to Yen Bai commune, Hanoi), in recent years, many land plots have appeared divided into small plots to be sold to investors. The origin of these land plots is mainly mixed land purchased from local people, then leveled, temporary internal roads opened and then advertised for sale as a new residential area.
Residents living in the area said that on paper, land plots are usually in the names of individuals. However, behind many cases are real estate businesses collecting land for subdivision and sale. Notably, this area currently does not have urban area or residential area planning approved by competent authorities.
In the role of someone who needs to buy land for investment, reporters contacted some real estate brokers operating in the area. Most brokerage points introduced land plots related to Loc Son Ha Real Estate Investment Joint Stock Company, with a branch at 197 Dai La (Hanoi).
When reporters contacted, employees of this company enthusiastically invited them to the place to see the land. According to the introduction, previously, the business had deployed about 40 land plots in the Yen Bai lake area. However, these land plots are all registered by individuals, usually investors or shareholders of the company instead of businesses.
According to brokers, being named as an individual is considered a way to "easier complete procedures" during transactions and transfers.
At the time of recording, quite a few solid housing projects have appeared around Yen Bai Lake. Some are used as accommodation, others are exploited as homestays or resorts for weekend tourism.
Building infrastructure, receiving deposits when land has not been converted into residential land
Continuing to lead reporters to another land plot about 500m from Yen Bai Lake, the broker introduced that this land plot has an area of about 1.3ha, located at the foot of the hill and is in the process of carrying out procedures to change land use purposes.
According to the introduction, the land area is expected to be divided into about 25-30 plots, each plot is about 300m2. Of which, about 150m2 is residential land, the rest is garden land. The female broker of Loc Son Ha Company said that she is preparing documents to convert to residential land, and is expected to officially open for sale in March 2026. This person also revealed that the business is completing documents to change the land use purpose.
It is noteworthy that although legal procedures have not been completed, the land has been deployed for infrastructure. Reporters asked why the land has not been converted for land use purposes but has opened roads, and were explained: "We are doing both infrastructure and paperwork in parallel.
To legitimize the opening of internal roads, brokers said that businesses apply the form of "giving land to build roads". On paper, this is shown as an activity contributing to the local community. However, in reality, the road is opened mainly to serve the subdivision and sale of land plots of the land area itself.
According to the broker's introduction, the land infrastructure has been paved with asphalt with a road about 5m wide. The expected selling price ranges from 13 - 15 million VND/m2, equivalent to about 3.9 - 4 billion VND for each 300m2 plot. Because the project has not completed legal procedures, the business currently only receives "placement deposits". Each deposit is advertised at 50 million VND.
Regarding the phenomenon of buying land, leveling, building roads and then advertising like real estate projects, lawyer Nguyen Ngoc Hung - Head of Ket Noi Law Office - said that buyers need to be especially careful. According to him, many businesses often advertise prospects for development or future utilities in an attractive direction, easily causing customers to misunderstand the value as well as the actual legal status of the land.
If the project does not meet the conditions for transaction but is still advertised as a complete project, there are signs of false advertising," lawyer Hung said.
According to the lawyer, the biggest risk for buyers is the case where the land plot is not converted for use or does not meet the conditions for plot separation to issue a separate land use right certificate. At that time, the transaction may encounter many obstacles, even disputes arise.
After directly surveying the land plots, in the following days, reporters continued to receive updated information from the sales staff of Loc Son Ha Company about the progress of infrastructure construction at a land area of about 1.3ha in Yen Bai commune.
Mr. Le Khanh Duong - Deputy Head of the Economic Department of Yen Bai commune - said that the locality has conducted a field inspection. Through inspection, functional agencies have prepared a dossier to handle violations for the act of leveling and destroying land with specialized water surface, causing land use inability according to the original purpose.
