Beach resort in Ha Tinh could lose investment licence

29-Sep-2020 Intellasia | DTI News | 6:02 AM Print This Post

A coastal tourism project in the central province of Ha Tinh is facing the risk of being cancelled due to its slow pace of construction.

Tre Nguon Resort and Spa project which was licensed in 2011 covers a site of 17,000 square metres near Thien Cam Beach, Thien Cam District. With the initial total investment of VND100 billion (USD4.34 million), the project was scheduled to be put into operation in 2012 with a lifespan of 49 years.

The project was designed to include an 11-floor hotel, 14 bungalow rows and a two-floor food and sports area. It was intended to be a spearhead tourism project for the province.

However, to date, many facilities have remained on paper; while others have proved ineffective when in operation.

Many restaurants and coffee shops have been leased to other services. The swimming pool and the one-floor bungalow area have deteriorated.

Nguyen Thu Huong, director of the project’s investor Tre Nguon Company said that around VND60 billion have been invested into the project. She blamed environmental disasters such as floods and storms for slowing down the project’s pace.

Hoang Van Huong, head of Thien Cam tourist site management board, said that the project is located in a favourable place, but its implementation has been at a snail’s pace for years. So if the situation does not improve, local authorities will confiscate the site to give the land to other investors.

Huong noted that despite VND60 billion poured into the project, just one-third of the project’s approved items have been completed.

The areas for spa, restaurant and the two-floor bungalow services along with the 11-floor hotel have not yet been finished.

The investor still owes VND3 billion in land rent. The investor proposed the provincial people’s committee to increase the project’s total investment to VND430 billion (USD18.69 million). This, however, was rejected by local authorities.

Concerned agencies have asked the committee to revoke the project licence.


Category: Business, Vietnam

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