Conditions for allowing land use purpose conversion
Competent state agencies are only allowed to decide to allocate land, lease land, and permit the conversion of rice-growing land, special-use forest land, protective forest land, and production forest land to other purposes after having a Resolution of the Provincial People's Council and meeting the grounds prescribed in Article 116 of the 2024 Land Law.
Except for cases of land use for project implementation under the authority of the National Assembly, the Prime Minister shall approve and decide on investment policies according to the provisions of the Law on Investment 2020, the Law on Public Investment 2019, the Law on Investment under the public-private partnership method 2020, the Law on Petroleum 2022; the Provincial People's Council shall approve and decide on investment policies according to the provisions of the Law on Public Investment 2019, the Law on Investment under the public-private partnership method 2020.
The conversion of rice-growing land, special-use forest land, protective forest land, and production forest land to other purposes must comply with the criteria and conditions prescribed by the Government.
- People who are allocated land, leased land, or permitted by the State to change the purpose of land use to implement an investment project must meet the following conditions:
+ Fund or other forms of collateral as prescribed by the law on investment.
+ Have financial capacity to ensure land use according to the progress of the investment project and other conditions as prescribed by relevant laws.
+ Not violating the provisions of the law on land or violating the provisions of the law on land but having completed the implementation of the decision or verdict that has come into legal effect of the competent authority at the time of requesting land allocation, land lease, or permission to change land use purposes. The determination of land users violating the provisions of the law on land applies to all land plots in use nationwide.
- Allowing the change of land use purpose to implement commercial housing construction investment projects must meet the following conditions:
+ The above conditions.
+ A person permitted by the State to change the purpose of land use has the right to use residential land or other residential land and land.
+ In accordance with local planning, land use plans, construction planning, urban planning, housing development programs and plans and not subject to State land recovery for national defense and security purposes, land recovery for socio-economic development for national and public interests as prescribed in Articles 78 and 79 of the 2024 Land Law.
+ Having a document approving the investment policy and at the same time approving the investor by a competent authority according to the provisions of the law on investment.
Authorities allow conversion of agricultural land to residential land from July 1
According to Point b, Clause 1, Article 121 of the 2024 Land Law, the conversion of agricultural land use purposes to non-agricultural land must be permitted by a competent state agency.
In which, non-agricultural land includes residential land, including rural residential land, urban residential land (also known as residential land).
Currently, the permission to change the purpose of land use from agricultural land to residential land is implemented by the People's Committee at the district level.
However, from July 1, 2025, the district level will officially stop operating to organize a 2-level local government model.
According to the provisions of Point m, Clause 1, Article 5 of Decree 151/2025/ND-CP, the authority of the People's Committee at the district level, the Chairman of the People's Committee at the district level shall be transferred to the Chairman of the People's Committee at the commune level:
Decision on land allocation, land lease, and permission to change land use purpose for individuals specified in Point c, Clause 1 and Point a, Clause 2, Article 123 of the Land Law; decision on land allocation for residential communities specified in Point b, Clause 2, Article 123 of the Land Law; decision on agricultural land allocation to individuals specified in Point b, Clause 2, Article 178 of the Land Law.
Thus, according to the above regulations, from July 1, 2025, the authority to permit the conversion of agricultural land use purposes to residential land for individuals under the authority of the People's Committee at the commune level.
