Savills expert: The 25sqmapartment is a logical solution

According to Do Thu Hang, Head of Market Research at Savills Hanoi, the Ministry of Construction’s permission to build a 25sqm apartment is a logical solution to the current shortage of cheap commercial apartments.

25sqm apartment is the savior of the cheap housing market?

25sqm apartment is the savior of the cheap housing market?

25sqm apartment help solve the cheap thirst

According to Hang, the cheap housing segment always attracts a large amount of demand in the market, but the current supply is very limited in quality and quantity.

“High land prices in large cities such as Hanoi and Ho Chi Minh City poses a huge cost challenge. On the other hand, cheap real estate developers have to meet the demand for living and long-term use. At low cost, these projects must be located in areas not too far from the center, with infrastructure and public utilities developed at the same time providing sufficient facilities. The local infrastructure basically meets the quality of life of the people.

“Difficulties in balancing these factors lead to the fact that the market is lacking in quality commercial home products to meet the needs of a large segment of customers,” she explained.

Emphasizing that the construction of a 25m2 apartment is a new direction of the state management agency to regulate the minimum area of ​​commercial apartments, Ms. Hang evaluated this as a logical solution to cheap house problem nowadays.

“Reducing the size of an apartment will lead to a lower cost of apartments, which is more affordable for those with lower cost of living. This is a positive change in the policy, “she said.

Will only one person be in the 25sqm apartment?

The 25 m2 apartment does not conflict with any existing regulations on minimum floor area for commercial apartments. However, according to Official Letter No. 1245 / BXD-KHCN dated June 24, 2013 on architectural criteria of high-rise buildings, the Ministry of Construction has set the population norm in the housing project is calculated on average 25sqm floor use of apartment / person.

So, according to this letter Ministry of Construction allowed only one person in the apartment 25sqm?

In the case of more people, according to Hang, on the whole of the project, this puts pressure on the infrastructure. In particular, the larger number of people on a small area will put pressure on the overall operation of electricity, water, waste treatment, fire prevention as well as the need to use common facilities of project.

A 25sqm apartment will cause great pressure on the infrastructure

A 25sqm apartment will cause great pressure on the infrastructure

In addition, micro-apartments also posed a management challenge when controlling the number of people living in the apartment. At this time, the infrastructure of micro apartment projects will be subjected to higher pressure and deterioration, which will affect the quality of life of the residents if the number of people living in the apartment is larger than the regulations.

Looking beyond the problem of urban housing development program, striving to 2020, Hanoi will increase the average urban living area to 26.3 square meters per person (housing area of ​​at least 8, 5 sqm / person) and an area of ​​at least 6.5 sqm/ person in 2015. The permission to build a 25sqm apartment can affect to some extent the item If the development of a 25sqm apartment is not well managed in terms of the number of people living in the apartment.

However, Hang still sees the 25sqm apartment is a good sign for both low-income buyers and investors. This is a solution for low-cost commercial houses that the market is still searching for, which facilitates supply growth to keep pace with demand.

Hang also said that in order to put the 25sqm apartment in the hands of the success, state agencies should have an overview when laying out specific regulations and guidelines in planning, design and construction. Construction of projects with micro-area apartments. Firms participating in the micro-apartment market should also work closely with functional units to operate and effectively manage the project.

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