The project is located in Chi Lang ward, Pleiku city, including 104 plots of land with a total area of over 17,000m2. The initial starting price was 21.7 billion VND. After the auction, the entire plot of land was sold with a total value of up to 101 billion VND.
This is considered a historic auction of Pleiku city when attracting more than 10,000 registrations. However, after more than two years, this residential area is still uninhabited, many billion-dollar plots of land are left vacant, with overgrown trees.
Ms. Mai An - a resident of Bien Ho commune - shared: "The auction took place right at the time of the land fever. Most of the buyers are from other provinces such as Dak Lak, Kon Tum, Ho Chi Minh City, Hanoi... Meanwhile, very few local people participate, as a result of which the residential area is abandoned, with no one living there".
High land prices make people in real need unable to afford to buy land to build a house.
Mr. Tran Mai Hung - a resident of Pleiku - expressed concern: "Abandoned projects not only waste land funds and investment resources but also destroy the urban beauty."
Mr. Doan Huu Dung - Chairman of the People's Committee of Pleiku City - said that after the land auction, many winning bidders have abandoned their deposits and have not paid to the city's authorities to receive land and issue land use right certificates.
"The city is reviewing procedures and processes to prepare for re-auction of land lots. When the Provincial People's Committee issues an official decision on the norms and price framework, the city will re-implement the auction of land in Chu HDrong residential area" - Mr. Dung said.
According to Mr. Dung, some localities have handled and prosecuted criminal liability for subjects who violated the auction law, "inflated" land prices and then abandoned the deposit.
The City People's Committee will have solutions to prevent similar situations in the next land auction.
