MANAGEMENT OF CONSTRUCTION ACCORDING TO URBAN PLANNINGOF HADONG URBAN EXTENSION DISTRICT, HANOI CITY

24


3) Recommendations for Ha Dong district: Develop specific plans to
implement the management of construction as planned for the urban expansion
area, based on the renewed contents proposed for building permits in
association with incentive programs.
4) Recommendations for consultants and relevant public bodies: Provide
specific provisions on land use norms (brutto and netto) in the urban plans, to
avoid causing confusion in the management land use norms in the issues of
planning and building permits. When applicable, provide suitable land use ratio
incentive proposals.
5) Recommendations for investors: When investing share benefits with
communities, in accordance with urban development direction. When
applicable suggest public bodies to improve land use ratio incentive
mechanisms.
6) Recommendations for relevant communities: Actively participate in the
management of construction as planned for public spaces. To understand
communities’ benefits and responsibilities in the creation of their own identities
for local urban areas.
1



Part I: Introduction
1. Urgency of the theme
- Hanoi and Ha Dong district in particular are faced with the increasing
population, increasing building density, land subdivision and inadequacies in
construction management in general, including the management of land use
indicators, the management of planning and building permits, and the lack of
community involvement in the management of construction as planned

- Require complete institutions, the content of construction management
as planned after the Construction Law takes effect in 2014. On the other hand, a
critical requirement for managing urban spaces (above and below ground)
requires the re-establishment of norms for land use ratios in the urban planning
and construction management as planned.
- Under the Master plan the city Hanoi to 2030, Vision 2050 it was
identified that the urban extension area in Ha Dong district is the expanded
growth region that is within the zoning S4 of Ha Dong. This is a new growth
area has been identified as the extension of inner city with high urbanization
requirements that imperatively require suitable investment incentives
mechanisms.
- The PhD dissertation "MANAGEMENT OF CONSTRUCTION
ACCORDING T O URBAN PLANNING OF HADONG URBAN
EXTENSION DIST RICT, HANOI CITY." was selected with the aim of
proposing innovative content for the management of construction as planned
that connecting the management of urban spaces at bellow and above the
ground with investment incentive mechanisms.
2. Purpose of the Research
- Propose institutional innovation in the management of construction as
planned that connects with investment incentive policies.
- Propose to renew selected contents in the management of construction as
planned to harmonize the interests of the stakeholders with suitable incentive
mechanisms in the urban investment, construction and development.
2


3. Object and Scope of the Research
- The object of the research: the management of construction as planned in
general and in Ha Dong urban extension area in particular.
- The scope of the research: Ha Dong urban extension area.

- Period: to 2030, vision to 2050
4. Research Methodology
Thesis uses various research methodologies such as systematic approach;
integrated analysis; experts; sociological surveys; forecast;
5. The Scientific and Practical Significance of the Research
- Theoretical implications: Contribute to concretize, add scientific
reasoning and the concept of construction management as planned for new
urban areas in general and urban expansion areas in particular.
- Practical implications: Contribute to perfect the management of
institutional construction as planned, the completion of construction and urban
planning permits and planning permission; innovate the management land use
norms.
6. New Contributions of the Thesis
- Adding, proposing contents of construction management as planned for
urban expansion areas in association with incentive programs.
- Recommending to renew the content of planning and building permits, in
the construction management as planned for urban expansion areas associated
with incentive programs - such as incentive mechanisms for land-use ratios,
urban space transfer development rights, or community participation.
- Proposing more effective organization for management board of urban
expansion areas;
- Proposing to re-establish land-use norms in the Vietnamese Standard
QCVN01: 2008 as the basis for comprehensive management, to construct a set
of Vietnamese standards with provisions on calculating the total building floor
area.
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investment and development management, management perspective renew,

instrumental permit renew, land use norm incentive mechanism development
are in general controllable, transparency and met the management level of the
world and the South East Asian region and are also consistent with Vietnamese
urban development characteristics. These results proposed to Hanoi can be
applied to the urban expansion area have similar characteristics in other
municipalities in Vietnam.

Recommendations:
1) Recommendation for Ministry of Construction
A) Adjust the content QCXDVN01: 2008 to re-establish land use norms in
order to form consistent basis for the control of urban spaces and technical
infrastructures for the establishment of urban plans and for the management of
construction as planned.
B) Build up the Vietnamese Standards taking into account the provision
on “total building floor area" and the provision on “total building floor area
built as planned”.
C) Study and report the Government to institutionalize the concept of
Urban Space Development Right, proceed to build a market for the transferring
of urban space development rights.
2) Recommendations for Hanoi city: develop land use norms incentive
mechanisms for the urban expansion area of Ha Dong district through the City
Council and report to the Government asking for an experiment for
mechanisms regarding the transferring of urban space development rights and
the land use ratio incentives – that are in accordance with the development
strategies of the city.
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formulation of incentive mechanisms, ensuring the harmony of interests
between the investors - communities – and managers.

3) Establish basis for the renovation of content and management
mechanism for the management of construction as planned for the urban
expansion area, with three main objectives: (1) Complete the content of
management of construction as planned for the urban expansion area in Ha
Dong district associated with the objective of encouraging investment and
development; (2) Renew the perspectives on urban space management, restore
and promote the role land use norms in the management of construction as
planned; and (3) Use incentive programs to encourage development and
improve urban structures in line with urban planning strategies.
4) Study and propose comprehensive institutional renewal in the
management of construction as planned for the urban expansion area in Ha
Dong district is practical that concretize the innovation spirit in the 06 aspects,
as follow: (1) Renew the content of the management of construction as
planned; (2) Renew incentive policies; (3) Renew provisions on total building
floor area as planned; (4) Renew the content of permits in the management of
construction as planned; (5) Pilot the use of urban space transfer right
mechanism; and (6) Strengthen management bodies for the urban expansion
area in Ha Dong district.
5) Propose to add and revise contents of the management of construction
as planned for the urban expansion area in Ha Dong district in association with
investment encouragement, including 07 specific contents: (1) Management of
locations as planned; (2) Management of construction investment as planned;
(3) Management of land use norms; (4) Management of the urban adjustment
contents; (5) Management of incentive programs; (6) Management of
community involvement; and (7) Inspections and Investigations.
6) Proposals for the management of construction as planned for the urban
expansion area in Ha Dong district associated with objectives of urban
3

- Proposing to control the norms "land use ratio – building height" in the
management of construction as planned in association with incentive programs
in the management of urban space of urban expansion area of Ha Dong
7. Structure of the Thesis
Besides the introduction and conclusion, the content of the thesis consists
of three chapters:
- Chapter 1: Overview on construction management as planned of Hanoi and
the urban expansion area of Ha Dong district, consisting of 45 pages.
- Chapter 2: The scientific basis for the management of construction as planned
for the urban expansion area in Ha Dong district, consisting of 30 pages
- Chapter 3: Solutions for the management of construction as planned for the
urban expansion area of Ha Dong district, consisting of 56 pages

Part 2: Content
Chapter 1. O verview on the management of construction as planned for
Hanoi Ha Noi and the urban expansion area of Ha Dong district
1.1. An overview of the planning and management of construction as
planned in seve ral cities in the World and in Vietnam.
The thesis considered the implementation basis and instruments for the
management of construction as planned in several cities such as London,
Shanghai, Bangkok and Ho Chi Minh City.
1.2. Brief about the General Urban Construction Plan of Hanoi
The thesis reviewed the following topics:
* Legal systems in Urban Construction Planning: Since the Renovation
the legal systems had developed in 3 stages: from 1993-2003, governed by
Decision 322-BXD/DT; from 2003-2009 governed by Construction Law 2003;
from 2003 to present: governed by Construction Law and Urban Planning Law.
* The General Plan of Hanoi before its expansion in 2008: in the period
1954- 2008, Hanoi’s General Plan had been created or revised eight times.

4


* General Plan of Hanoi to 2030 Vision 2050 (QHCHN 2020-2030):
proposed the development of Hanoi as a series of interconnected towns and
cities, including 01 urban centers, 05 satellite towns, ecological towns, other
towns and rural settlements;
1.3. The existing situation of the management of construction as planned in
Hanoi.
* Reality of the management of construction as planned in Hanoi: the key
legal basis is Urban Planning Laws (Article 69 to Article 73) and Construction
Law 2014 (article 45 to article 48). Basis for the management of construction as
planned includes: (1) management in accordance with approve plans (2)
management in accordance with Planning Architecture Regulations; planning
permits issued for certain urban precincts and urban precincts of special uses
(in or outside urban areas); building permits issued for existing residential areas
– or urbanized villages mainly based on National technical codes on urban
construction planning. Under Construction Law 2014, norms for construction
densities and land use ratios are optional condition in building permits – that
create more difficulties for building inspection.
- The organization of Hanoi inspection bodies and inspection content have
been regulated by the Decree No. 26/2013/ND-CP and Decision No 09/2014
/QD-UBND. Operation of the body that manage the urban growth area has
been regulated by the Circular 20/2013/TTLT-BXD-BNV.
- The management of construction as planned in Hanoi was the
responsibilities of the following bodies: (1) Architecture Planning Departments
- who manages urban planning matters and issues planning permits; (2)
Construction Department – who manages construction matters and issues
building permits; (3) Natural Resources and Environment Department – who
manages land matters, supplies land and issues land use right certificates; and

(4) Hanoi Urban Planning Institute – who manages and issues street alignments
and other related matters.
1.4. The existing situation of the urban expansion area of Ha Dong district.
21



and building permits. It was proposed to experiment the urban space transfer of
rights mechanism and property transfer rights in accordance with Land Law
2013 that could be understood as the right to own and transfer dwellings as in
Housing Law 2014.
* Discussion on the importance of community involvement in the
management of construction as planned for urban public spaces: Practical
matters relating the location and the content, operation and impact of the
management of construction have been well understood by communities.
Within that the community involvement were mainly related with the uses of
buildings. As a renovation content, public spaces within the control of private
investors will be shared for communities’ activities under the preferential
arrangements, harmony of interests between communities - managers -
investors.


Part III: Conclusions and Recommendations

Conclusion
1) Ha Dong district is a specific region, being strongly affected by
urbanization, while it reflects general image of Vietnamese cities and the
historic precinct of Hanoi with the combination of urban and urbanized village
structures surrounding by agricultural fields. This is also the region that has
been considered to be highly urbanized to suit its location as center of the

Capital city – therefore proposals to renovate solutions on the management of
construction as planned in association with investment incentive mechanisms
become especially important.
2) The management of construction as planned for the urban expansion
area in Ha Dong district with the goal of encouraging the urban investment and
construction as planned, with the requirement to unify the management of
economic and technical norms – therefore will become the basis for the
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the detailed planning, the project has been approved and the relevant provisions
regarding building permits.
- For individual residential projects, mixed used and high-rise apartment
buildings, ensure the proposed land used ratios not exceeding the planned
figures as well as proposed incentive building floor areas not exceeding 10% of
the planned figures.
* Renew the management of community involvement
La Khe ward contains the heritage nominated Bia Ba Commune House
and Pagoda Complex. As a result the investment and construction of nearby
buildings and public spaces must considered local communities’ requests for
additional functions and be placed under supervisions by community
representatives.
3.5. Discussion on Research Findings
* Discussion on the request to perfect the management of construction as
planned for the urban expansion area in Ha Dong district: matching the timing
and requirements of the Construction Law 2014 that encourage investments as
planned based on incentives, replace urban planning adjustment mechanisms,
and provide new instruments for the management of construction as planned.
* Discussion on the renovation content for the management of land use
norms: renovate, consistently control land use norms and the total building

floor area in order to limit the downside of the management based on
construction density in the urban space management, in order to re-establish the
management of land use norms. This is the basis for the renovation of permit
contents, the development of incentive programs, the pilot of urban space
transfer of right mechanism, and the development of a set of "Vietnam
standards that requires the calculation of total building floor area”.
* Discussion on incentive proposals applied for the management of
construction as planned for the urban expansion area in Ha Dong district:
including land use norm incentives encouraging the participation of investors in
urban development, in association with the renewal of contents in the planning
5



The urban expansion area of Ha Dong district: includes the administrative
boundary of Ha Dong within the S4 zoning, comprising of New urban areas
and Existing urban areas (existing urban renovated areas and existing urbanized
villages) – that can be subdivided into 04 sub-zones: a, b, c, d (Figure 1.1) for
the management in accordance with the S4 zoning plan.
1.5. Existing situation of the management of construction as planned in
urban expansion area of Ha Dong district.
• The management of construction in accordance with General Plan and
Zoning Plan: Before the expansion of Hanoi, Ha Dong was managed in
accordance with the Town General Plan. Currently Ha Dong has been
managed in accordance with the General Plan of Hanoi to 2030-2050,
specifically under the S4 Zoning Plan.
• The management of planning adjustment: control according to
construction density (brutto), building height and land-use ratio. In that,
the building height set in the S4 Zoning Plan can be an additional basis for
the plan adjustment.

• The management of construction permits in the district of Ha Dong:
inadequacies in calculating land use ratios and building heights for mix-
used building complexes.
• The management of land use norms as planned: in fact, land use norms
have often been applied under the QCVN01: 2008 for construction
projects.
• The management land use norms for new urban areas: in most cases,
maximal land use norms have often been applied through land subdivision
into small allotments. Fake land use norms appeared often in new urban
areas.
• The management of land use norms in existing urban areas and urbanized
villages: For areas having no approved urban plan, building permits were
issued in accordance with QCVN01: 2008. The minimum requirement of
6


30m2 for land subdivision and allocation was also caused the urban
fragmentation.
Some incentives in management of construction as planned: incentives for
land use ratios, tax concessions, tax reduction for businesses. For example, in
social housing development the applied land use ratio could be 1.5 times
greater than the maximum allowance.
1.6. Related Research Works and Publication
There has been no specific study in the field of urban management taking
the urban expansion area of Ha Dong district as case study, or analyzing the
content of the management of construction as planned, or practical aspects of
land use norms. Related researches are often in different fields and are mainly
focused on 3 themes including: macro policy management; specific
management matters; and matters related the management of construction as
planned.

1.7. Issues that Required Research
- How to perfect institutions and renew the contents in the management of
in construction as planned for the urban expansion area of Ha Dong district.
- How to enhancing the flexibility of the content of planning and building
permits in the management of construction as planned in association with
development incentive mechanisms.
- How to develop mechanisms for community involvement, to harmonize
the interests of the stakeholders towards the building of civil society.

Chapter 2. The Scientific Basis for the Management of Construction as
Planned for the Urban Expansion Area in Ha Dong District.
2.1. Trends of Urban Construction Management
* Trends of urban management and the management of construction as
planned: Sustainable urban development: is defined as basic and long-term
goals; the good governance trends "good governance" means the operation of
19



state and operated by private investors. Community representatives have been
created for supervision purposes at suitable project stages or in accordance with
investors’ commitments as provided in incentive certificates (if applicable).
* Inspection and checking:
Followed Decree No. 26/2013/ND-CP and Decision No 09/2014/QD-
UBND inspections and checking are focused on management procedures and
contents; the management of land use norms, incentive mechanisms in planning
and building permits.
3.4. Applying the Management of Construction as Planned for the Urban
Expansion Area of La Khê Ward.
* Land use norms for the urban expansion are of La Khê ward

The Section Nr. 9 having most areas belong to La Khe ward is divided
into 03 planned allotments, in which allotments 9-1 and 9.3 are within existing
urban areas and urbanized villages; allotment 9-2 is within new urban growth
area.
* Renew land use norms
The management is based on land use ratio and building height on the
basis not to increase population density exceeding the planned figure. For areas
having no approved urban plans, it is necessary to apply new changes when
issuing building permits based on QCNV01: 2008
* Renew contents of building permit
- For building permits for villas and other residential buildings below 9
storeys issued by district Peoples Committee: ensure to maintain population
density and land use ratio not exceeding the planned figures when issuing
permits for land allotments that had been sub-divided from other allotments
sized 75-200m.
- For residential buildings villas, detached, house garden on 9 floors in
height and apartment houses, high-rise housing construction mixed by facility
construction permit. Projects include development of large scale housing and
new urban areas, recreational areas and resettlement of residents To perform
18


* Management of incentive programs
- The contents of incentive certificates are legal basis for the provision of
additional contents in the planning and building permits, including: application
for the grant of incentive certificate, approved incentive certificate and the
required deposit.
- Propose pilot of mechanism for
the transfer of urban space right
applied for the urban expansion are of

Ha Dong (TDR) in order to encourage
or limit certain development. Scope of
the pilot includes:
+ For the managed sections:
encourage development in section
B with sections A, C and D being
played as “giving sections” while
section B played as “receiving
section”
+ For the expansion section,
historic inner city section, and
expanded inner city section:
applied for 2 selected areas of two
districts, in which one belongs to
the zone of historic inner city –
that is growth limited – and the
other belongs to the expansion
zone – that is growth encouraged.
* Management of community
involvement:
The scope has been considered to
include public spaces, managed by the
TDR mechanism: Floor area (FAR) are
converted from “giving sections” to
“receiving section” and receive cash flow ($)
from “receiving section”
7

Figure 2.1. Comparing the controlling roles of the pairs:
“Construction Density - building height” (D-H)
and “Land use Ratio – building Height (R-H)”
economic bodies, political and administrative that towards community
participation, publicity and transparency;
Management of construction as planned: with instruments, management
bodies, content management regulations planning process associated with
construction planned being specified in the decree 11/2013/ND-CP; the trend
of urban land reclamation: applicable renovated on existing urban areas,
urbanization village; the role of community participation in management of
urban spaces: very important factor is building spiritual place, creates vitality
and identity for urban spaces and in urban areas.
* Some theories about the trend of urban population distribution: Theory
of minimizing travel costs; theoretically choose between the cost of housing
and transportation; theoretical maximum housing costs. Theory “Status,
Quality and other Trade-off” by Dr. Hoang Huu Phe and Dr. Patrick Walkley
implied that housing value is connected with various values added to a location
but not only physical quality or geographic location alone.
* Projections population growth as planned and population distribution
trends:Most planning forecasts assumed limiting population growth in the
existing urban areas although without providing consistent mechanisms or
policies that are sufficient to limit population growth.
* Trend in the management of land use norms: Incentive policies to
encourage construction investment: as with worldwide experience it is
necessary to provide
suitable mechanisms
to encourage urban
construction
investments.
Consistently

managing land use
norms and total
building floor area:



(D
-
H)



(R
-
H)

Maximum Height
Maximum Height
allow by exsitting
Zonning
Underground
Space
Construction
density
8


incentive policies on land use norms is necessarily placed under regulations
that control: optimal land use ratio as planned; land use ratio for efficient use of
urban land; land use ratio for encouraging innovative architecture and urban

planning undertakings; land use ratio for promoting housing development
policies; and total building floor areas and land fees and taxes.
* Policies for the development of incentive programs: based on
transparent mechanism, encouraging urban development in line with urban
development strategies, harmonizing benefits and needs of regulators -
investors – people and communities.
* Trend in renewing contents of permits connecting with incentive
mechanisms for land use norms: provide additional instruments for authorities
for the implementation of urban development policies and strategies that are
responsive to approved plans and practical conditions.
2.2. Legal basis for the management of construction as planned
* Capital Code: allowing Hanoi greater rights to solve the problems in the
management and development of the city. The Decree 24/2014/ND-CP allows
Hanoi People Committee the right to establish "particular professional bodies"
will facilitate the proposal of pilot mechanisms and incentives.
* Urban Planning Laws and related decrees: important legal basis for the
establishment of urban plans.
* Construction Law 2014: regulates the content of the management of
construction in accordance with urban construction plans at Articles
45,46,47,48. It is consistent with the Urban Planning Laws in the
conceptualizing the management of construction as planned.
* Decree 11/2013/ND-CP regarding the management of urban investment
and development: identifies new concept that connects the establishment of
urban construction plans with planning.
* The General planning for social-economic development of Hanoi to
2020, towards 2030: determines development directions in terms of urban
economy, the mobilization of urban development capitals; it also provides
17

3.3. Contents of the management of construction as planned for the urban
expansion area in Ha Dong district.
* Management of locations as planned:
The location management is regulated by the Article 70 of the Urban
Planning Law for location suggestion; the Article 46 of the Construction Law
2014 for construction location suggestion; and the Decision 72/2014/QD-
UBND. It was considered that the administration body of Ha Dong district
must be involved in the process of determining locations for construction
investments in Ha Dong, especially in the urban expansion area.
* Management of the construction investment as planned:
The management of construction investment is regulated in Chapter 3,
Decree 11. It is considered that new provisions should be added to regulate the
management of urban spaces and functions that owned and managed by private
developers but provided for public use.
* Management of land use norms:
Land use norms, such as land use ration, total building floor area and
building heights play important roles in control of construction above and
underground. It is considered that:
+ For areas with approved detailed urban plan: converting construction
density and building height into land use ratio for consistent management;
+ For areas having no approved urban plan: request the provision of land
use ratio and building height as requirements to be included in urban
plans, in regulations and in QCVN01:2008 for management purpose;
* Management of adjusted contents of urban plans
The managed contents include adjusted land use functions and norms via
the management of planning and building permits in accordance with Building
Code in 2014 and relevant Decrees and Circulars. Additional incentive
programs are applied when issuing permits. Incentive land use ratio being
converted should not exceed 10% of the total building floor area permitted as

planned.
16


Khu v
ực phát

* Pilot mechanism for transfer of spatial development right: that should be
legalized by administrative decision by the Hanoi Peoples Committee with
approval from Hanoi Peoples Council for affected area. While further research
is required, market for transferring space development rights seems to be an
essential need.
* Strengthening management bodies for the urban expansion area of Ha
Dong district: Basis for the operation of management bodies is Circular
20/2013/TTLT-BXD-BNV.
Figure 3.2 Organization for management bodies for the urban expansion
area of Ha Dong district.

Department of
Natural
Resources and
Environment
Management of Urban
Development Area Board
Ha Noi city
(Municipal Party Committee& People’s Council)
Department
of Planning
and
Architecture
Others
Department
Department of
Construction
Organization for manageme
nt bodies for the urban
expansion area of Ha Dong district.

Existing
urban area
New urban
area

New urban
development
area

Others area
Officer of
EUDA

Hà Đông
District

Wards

Urban Management Department
(Officer of Expanded Urban Development Area-EUDA)
9



pilots for new investment forms such as PPP (public private partnership), TOT
(Transfer - Operate - Transfer)
* Development strategies in the Hanoi General Plan 2030-2050 for the
urban expansion area of Ha Dong district: Placing it in the central city
development zone, being one of the urban areas in the chain of cities in the East
of the Ring Road 4 (Precinct D4 or namely S4).
* Hanoi housing development program 2012-2020, towards 2030:
proposing the review of relevant mechanisms and policies in the determination
of housing ownership and assets associated with land, and the content in
building permit.
* Other basis for the management of construction as planned: management
in accordance with S4 Zoning Plan; management in accordance with
Architecture and Urban Planning Regulations; management in accordance with
building and urban planning permits.
* System of codes and standards: For the QCVN01: 2008, consider the re-

establishment of land use norms which had been provided in the Vietnamese
Building Code 1997 - Volume 1 together with the provision of new concepts.
Develop the "Vietnamese standards containing provisions on the calculation of
total building floor area"
2.3. Basis for the Pilot of Incentive Programs for the Urban Expansion
Area in Ha Dong District
* Legal basis for building incentive programs
Land Law 2013, Construction Law 2014, Capital Law, Housing Law,
Decree 24/2014, Decree 11/2013 And gradually relevant legal mechanisms
with some orientation as: innovation associated with attracting investment
resources; ensuring state ownership of land and property use rights on land;
developing mechanisms to encourage new markets create new impetus to
accelerate the process of urban development as planned.
* The right to develop space (air rights) is a concept derived from USA
comes with land ownership. The concept of land use rights and property
10


ownership rights on land under the Land Law and the land use right transfer set
in Vietnamese Constitution 2013 are important basis for the acceptance of the
proposal for the concept of Urban space development rights in urban expansion
areas. It is also the basis for the development of mechanisms for the transfer of
development rights.
* Mechanism of transfer of spatial development right (Transfer
Development Right-TDR) is based on overseas experience, being applied in
many different fields including urban management. The pilot of the urban space
transfer development rights for the urban expansion area of Ha Dong district is
providing additional mechanisms for the planning and management of
construction as planned.
The demand of transfer is applied to both new and existing areas that

encouraging the development in the new and limiting the development in the
existing, especially limiting development in the urbanized villages. Owners that
transfer their development rights (converted into m2) legally for other owners
shall be deemed to relinquish their legitimate development rights in accordance
with urban planning.
2.4. Lesson learned regarding the management of construction as planned
* Vietnamese experiences
Managing land use norms in Ho Chi Minh City: The Urban Space,
Architecture and Landscape Regulations has provided incentive mechanisms
for land use norms for investors who comply with requests such as: (1)
Creating public open spaces; (2) Connecting public transportations; and (3)
Conserving historic buildings. As rewards the land use ratio applied for them
will be increased by 1.0 or 0.25 of the minimum required land use ration,
whichever is lesser.
The Clean Development Mechanism CDM (clean development
mechanism): which was adopted by Vietnam in Decision No 130/2007/QD-
TTg. This mechanism is similar to the "transfer of development rights - TDR"
in the field of urban development.
15



(D-H) (R-H)
Gross floor Areas
incentives
Maximum Height
Maximum Height allow
by exsitting Zonning
Underground space
Gross floor Areas

incentives
Construction density
are controlled and regulated in suitable ways at different project stages, being
valid within the life of the project and could be withdrawn by authorities.
* Renew provision on the total building floor area as planned
Basic criteria of the set of “ Vietnamese Standards for the calculation of
total building floor area" aimed at controlling building floor areas with various
incentive, encouraging and limiting functions. Accordingly, the allowed total
building floor area (GFA), which matches targets regarding land use norms as
planned and other incentive programs, is calculated by the formula: GFA
allowed = GFA planned + GFA incentives (if applicable)
* Renew the content of permits in the management of construction as
planned
- Planning permit: renewed contents include land use incentives in the
incentive certificates (if applicable) together with investors’ commitments, the
approved incentive proposals or other incentive policies.
- Building permit: renewed contents include incentives for land use or
building floor area (if applicable), together with investors’ commitment the
approved incentive proposals or other incentive policies.

Figure 3.1 The reconsideration regarding the management of land use ratio. Manage the sharing of
spatial functions accessible on the ground, in urban spaces and urban underground spaces
The controlling roles of the pairs: “Construction Density - building height” (D-H) and
“Land use Ratio – building Height (R-H)”



14


programs: managing land use incentive certificates, and pilot programs for
urban space transfer of development right; (6) Management of community
involvement: encouraging community involvement in the development of
public spaces; and (7) Inspection and Investigation: renovating the content of
inspection for the management of construction as planned, the implementation
content of incentive programs, and consistently manage the land use norms in
planning and building permits.
- Propose the set of Criteria for the Management of Construction as
Planned for the urban expansion area in Ha Dong district with management
criteria on population, land use ratio, height, building density, size or function
use, public space
* Renew incentive policies in the management of construction as planned
- Based on the reconsideration regarding the management of land use
ratio, it is necessary to re-establish land use norms and to clarify the role of
urban space development and management in the QCVN01: 2008. Manage the
sharing of spatial functions accessible on the ground, in urban spaces and urban
underground spaces.
- Encouraging investment and construction that are suitable with urban

planning development directions, creative, human-centered and sustainable
development objectives. Harmonize the interests of investors in sharing
development benefits with communities such as public spaces, traffic, green
gardens by providing them land use norm incentives.
- Provide urban managers additional more flexible instruments, suitable
with practical variations such as changing in building height, adding floor
spaces without the needs to adjust urban plans – that limit impacts to
investments while still ensure consistent implementation of approved urban
plans and directions, especially for the renewal of existing urban areas;
- Propose Land Use Incentive Certificates: being recognized by authorities
that can be added or attached to planning or building permits. Such certificates
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* International experiences
The management of construction as planned in Singapore: being
consistently controlled by land use ratio and building height; the construction
density is regulated by setbacks, percentage of green areas and safe distances;
floor area is used as instrument for regulating and encouraging development
with specific guidelines on how to calculate total building floor areas.
The management of construction as planned Hong Kong: using land use
ratio, which is less than 10 for most urban areas. For new urban areas, the
maximum land use ratio is 6.5.
The management of construction in accordance with transfer of
development right programs in the US and Japan: for the case Grand Central
Station, New York it indicated the strength of TDR mechanism in preserving a
valuable building. In the case of Midtown project, Tokyo, it showed
experiences in the creation of public spaces for communities thought the
application of land use ratio incentives for investors.

The privatization in the issue of building permits in Australia: the issue of
building permit has been privatized for 20 years. Registered building surveyors
Figure 2.2 Mechanism of transfer of development rights (TDR) grand central station, New York.,
Drawings Doug Woodruff - TDR handbook
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were empowered by the law to assess development proposals and issues
building permits in accordance with planning code, building regulations,
applicable construction standards and other requirements. They are responsible
under law for the contents of the issued building permits

Chapter 3. Solutions for the Management of Construction as Planned for
the Urban Expansion Area in Ha Dong District.
3.1. Opinions, Objectives and Principles
* Opinions: (1) complete the content of the management of construction
as planned for the urban expansion area in Ha Dong district linked with the
objective to encourage investments; (2) Renew perspectives, improve the
quality of the management of urban space linked with the roles of land use
norms; and (3) Use incentive programs to encourage the development and
improvement of urban structure matching urban planning directions.
* Objectives: (1) Renew the mechanisms for a synchronized development
for the new and existing urban areas and urbanized villages; (2) Renew
management instruments for the management of construction as planned that
are practical, especially the contents of planning and building permits; (3)
Develop land use incentive mechanisms in the investment and construction of
urban space and functions that are in line with development direction of the
urban expansion area in Ha Dong district; (4) Develop mechanisms to ensure
the harmony between the interests of managers - investors – and communities
in the urban investment, construction and development; (5) encourage the

community involvement in the management of construction for public spaces.
* Principle: the management of construction as planned complies with
Article 69, Urban Planning Law and Article 45, Construction Law 2014, and
other approved urban plans.
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- The management and development of new towns, new urban areas and
existing urban areas: comply with the Decree 11/2013/ND-CP on the
management of urban investment and development.
- The urban management and renovation as planned: comply with the
general provisions under Article 73 Urban Planning Law, Decree 11 for
individual projects; and Construction Law 2014 for individual buildings.
3.2. Solutions for Institutional Consistency in the Management of
Construction as Planned
Complete the contents of the management of construction as planned
linked with the urban investment and development, to implement the
Construction Law 2014 and Decree 11/2013.
* Renew the contents of the management of construction as planned for
the urban expansion area in Ha Dong district:
- Complete content of the management of construction as planned for the
urban expansion area with criteria to ensure the consistency of urban planning
and practicability, from the planning establishment to the construction in terms
of: land use functions, land use norms through planning and building permits.
In particular, consistently use land use ratio as basis for the control and
development of urban space and for the development of construction incentive
programs.
- The contents of the management of construction as planned for the urban
expansion area include: (1) Management of construction sites as planned:

introduce location and functional use as planned. (2) Management of
construction investment as planned: managing urban planning content in
accordance with the Criteria for Management of Construction as Planned,
Decree 11 and incentive programs; (3) Management of land use norms:
managing land use ration, building heights, construction density and total
building floor area; (4) Management of the content of urban planning
adjustment: managing adjustment functions, adjusted land use norms based on
planning certificates or incentives (if applicable). (5) Management of incentive