Duc Khai awaits nod to build city clinic under BT form
By Hien Nguyen - The Saigon Times Daily
HCMC - The Compensation Clearance Corporation under Duc Khai Corp. is seeking approval from the HCMC government to build a new orthopedic hospital under the build-transfer (BT) form, and wants land from the old hospital in compensation, said a local heath official.
Huynh Van Biet, deputy director of the city’s Department of Health, told the Daily on Tuesday that his department has just received a proposal from the Compensation Clearance Corporation to build the new hospital in Binh Chanh District. However, as prevailing laws do not support a BT development in combination with the exchange of land, such a proposal has been forwarded to central authorities for consideration, Biet said.
Under the proposal, Biet said, the company will invest over VND1.13 trillion, or some US$60 million, to build the new hospital covering three hectares in the outlying district of Binh Chanh. The hospital will have 500 inpatient beds compared with 400 inpatient beds at the currently-deteriorating hospital.
“The current orthopedic hospital, located at 929 Tran Hung Dao Street in District 5, was built before 1975. It has deteriorated and cannot meet the demand for checkup and treatment of the city,” he said.
The investor suggests in its proposal that after the construction is completed, the company wants the city to allocate the land on which the current hospital is located for building a commercial complex. This plot of land will be assessed according to the market price, according to the developer.
The project is expected to begin this year for completion by 2013 if approval is forthcoming. However, Biet said that while the city government has given its agreement in principle, this plan must still be approved by the central Government.
“There is no regulation providing for the allocation of land in a BT project,” Biet told the Daily on the phone.
“Thus, city authorities have submitted the proposal to the Prime Minister to ask for permission to allocate land for the investor. The project is still waiting for the final say from the Government,” he said.
The Compensation Clearance Corp. was established in 2008 for an operation duration of five years only. Its core business function is to clear sites and make compensation before handing over prepared land plots to project owners.
Last year, the company proposed a project to rebuild Children’s Hospital No. 2 under two schemes, both later being rejected.
Under its proposal, the corporation would spend VND3.2 trillion to rebuild the hospital at its current premises of over 86,000 square meters with a construction density of 34-35%. The hospital will have ten stories with 1,000 beds.
Under the second scheme, the company will rebuild the hospital on over 57,000 square meters, while part of the remaining land will be auctioned to recoup the investment.
The project stirred up widespread objections among health workers and historians who wanted to preserve the hospital which was built during French times.