b) Temporary management pending final disposal of properties in accordance with the law.

2. Properties not subject to the scope of regulation of this Decree include:

a) Properties assigned by the State for use as facilities for public sector entities' operations in accordance with the law on management and use of public properties (including facilities for public sector entities' operations as prescribed in Point a, Clause 3, Article 2 of this Decree). The management, use (including business use, leasing, joint ventures, and partnerships), reorganization, and disposal of such properties shall be governed by the Law on Public Asset Management, Decree No. 151/2017/ND-CP of December 26, 2017, Decree No. 167/2017/ND-CP of December 31, 2017, and other guiding documents.

In the case where the properties of a public sector entity as prescribed in this clause are reclaimed or transferred to a locality for management and disposal, and then assigned or transferred to a local housing management organization for management and utilization, after such organization takes over, the management and utilization shall be governed by this Decree.

b) Properties used as offices, production facilities, or business establishments of enterprises as prescribed in Clause b, Article 3 of this Decree, where the value of such properties or the value of the houses on such land has been included in the State's capital contribution to the enterprise, or land leased by the enterprise from the State and assets invested with the enterprise's own capital.

c) Land allocated or leased by the State in accordance with the land law.

d) Land and property on land (if any) reclaimed by the State in accordance with the land law.

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e) Properties (not yet included in the State capital of the local housing management organization) leased by an enterprise from the local housing management organization before March 8, 2007, where such enterprise is subject to the reorganization and disposal of properties, having invested in, renovated, and repaired all assets on the land before January 1, 2018, and having accounted for the investment, renovation, and repair value as fixed assets.

g) Housing belonging to public property as prescribed in Clause 1, Article 13 and Clause 3, Article 197 of the Housing Law 2023.

3. With respect to machinery, equipment, and other assets attached to properties that fall within the scope of assignment to local housing management organizations as prescribed in Articles 5 and 6 of this Decree, such assets shall be assigned along with the properties to the local housing management organizations for management and utilization together with the assigned properties; in case of no need for use, the authority, procedures, and formalities for the disposal of such assets shall be carried out in accordance with the regulations applicable public sector entities as prescribed in the Law on Public Asset Management and the Government's Decree elaborating the Law on Public Asset Management. The management and use of the proceeds from the disposal of such assets shall be carried out in accordance with the regulations on the management and use of proceeds from the disposal of public properties applicable to regulatory agencies as prescribed in Article 48 of the Law on Public Asset Management and the Government's Decree elaborating the Law on Public Asset Management.

Article 2. Regulated entities

1. People's Committees of provinces and centrally affiliated cities (hereinafter referred to as province-level People’s Committees).

2. The agencies assisting the province-level People’s Committee in performing state management of non-residential properties that are assigned to local housing management organizations.

3. Local housing management organizations (hereinafter referred to as housing management organizations) are organizations assigned by the province-level People’s Committee to manage and utilize properties as prescribed in Clause 1, Article 1 of this Decree, including:

a) Local public sector entities in the fields of economics and other local public services assigned to manage and utilize properties or develop, manage and utilize land funds.

b) Enterprises whose capital is wholly held by the province-level People’s Committee that are assigned to manage and utilize properties (hereinafter referred to as housing management companies).

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5. Other agencies, organizations, units, enterprises and individuals related to the management and utilization of properties specified in Clause 1, Article 1 of this Decree.

Article 3. Principles of management and utilization of properties assigned to housing management organizations

1. The management and utilization of properties must carried out efficiently, transparently, and in accordance with the law, while meeting the demand for properties to serve local socio-economic development.

2. The assignment of properties to housing management organizations shall be recorded as an increase in assets, and the value shall not be included in the State's capital contribution to the enterprise.

3. Housing management organizations; tenants; and temporary occupants shall fully comply with their responsibilities as prescribed in Articles 28, 29, and 30 of this Decree.

4. The management and utilization of properties must be monitored, inspected, examined and audited in accordance with the law; any violations of the law on the management and utilization of properties must be promptly detected and strictly handled in accordance with the law.

Article 4. Responsibility for management of properties assigned to housing management organizations

1. The province-level People’s Committee represents the owner and has unified management over the local property funds assigned to housing management organizations.

2. The agency assigned to perform the task of managing provincial public properties as prescribed in Clause 3, Article 19 of the Law on Public Asset Management shall be responsible for taking the lead in assisting the Province-level People's Committee in state management over properties assigned to housing management organizations.

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Chapter II

MANAGEMENT OF PROPERTIES ASSIGNED TO HOUSING MANAGEMENT ORGANIZATIONS

Article 5. Funds of houses and land assigned to housing management organizations

1. Properties that have been assigned in writing by the Province-level People’s Committee to housing management organizations specified in Clause 3, Article 2 of this Decree before the effective date of this Decree.

2. Properties that have been assigned to housing management organizations specified in Clause 3, Article 2 of this Decree before the effective date of this Decree, but without a written asset assignment decision from the Province-level People’s Committee.

3. Properties previously assigned to other agencies, organizations, units and enterprises, but now the Provincial People's Committee has decided to assign them to housing management organizations as prescribed in this Decree.

4. Properties subject to a reclamation decision by a competent authority in accordance with the law on management and use of public properties.

5. Properties subject to a transfer decision to local authorities for management and disposal by a competent authority in accordance with the law on management and use of public properties.

6. Other land and property funds managed by localities.

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1. For properties specified in Clause 1, Article 5 of this Decree, housing management organizations shall continue to manage and utilize them in accordance with this Decree; they are not required to carry out procedures for assigning properties in accordance with this Article.

For properties specified in Clause 4, Article 5 of this Decree, the procedures for assigning properties to housing management organizations shall be carried out in accordance with Decree No. 151/2017/ND-CP of December 26, 2017 of the Government; they are not required to carry out procedures for assigning properties in accordance with this Article.

For properties specified in Clauses 2, 3, 5 and 6, Article 5 of this Decree, the authority and procedures for assigning properties to housing management organizations shall be carried out in accordance with Clauses 2, 3, 4, and 5 of this Article.

2. Province-level People’s Committees shall assign properties to housing management organizations, except in cases where specific laws have already assigned this authority to other entities.

3. The procedures for assigning properties as prescribed in Clauses 2 and 3, Article 5 of this Decree to housing management organizations:

a) Based on the results of the review and classification as prescribed in Clause 1, Article 31 of this Decree, the Department of Finance shall, in coordination with the Department of Construction or the Department of Transport and Construction (collectively referred to as the Department of Construction), the Department of Natural Resources and Environment, the Department of Planning and Architecture (if any), the Tax Department, the People's Committee of districts, townships, and provincial cities (hereinafter referred to as the district-level People's Committee) and other relevant agencies (if necessary), report to the Province-level People’s Committee for consideration and decision on the assignment of properties to housing management organizations.

Reporting documentation to the Province-level People’s Committee includes:

A report from the Department of Finance requesting to assign properties to a housing management organization: 1 original copy;

A list of properties (including information about house and land address; plot number, map sheet number; year of house construction, year of first occupancy; land area, building floor area, usable floor area; original value, residual value; current use status; agencies, organizations, units, enterprises currently assigned for management and utilization) proposed to be assigned to housing management organizations, categorized according to the purposes specified in points a and b, Clause 1 of this Decree, shall be compiled by the Department of Finance; 1 original copy;

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Minutes of the inter-sectoral meeting or written opinions of relevant agencies: 1 copy;

Legal documents on properties (if any): 1 copy.

b) Within 30 days from the date of receiving the complete documentation as prescribed in Point a of this Clause, the Province-level People’s Committee shall consider assigning properties to the housing management organization.

The main contents of the Decision on properties assignment (hereinafter referred to as property assignment decision) include:

Name of the housing management organization;

A list of properties (including information about house and land address; plot number, map sheet number; year of house construction, year of first occupancy; land area, building floor area, usable floor area; original value, residual value; current use status; agencies, organizations, units, enterprises currently assigned for management and utilization) proposed to be assigned to housing management organizations, categorized according to the purposes specified in points a and b, Clause 1 of this Decree;

Responsibility for implementation.

c) Based on the property assignment decision of the Province-level People’s Committee, the house management organization shall continue to manage and utilize such property as prescribed in this Decree (for properties specified in Clause 2, Article 5 of this Decree); and shall coordinate with the agencies, organizations, units, or enterprises that have currently managed the properties to carry out the assignment and receipt of the properties (for properties specified in Clause 3, Article 5 of this Decree). The assignment and receipt of shall be completed within 30 days from the date of the province-level People's Committee's property assignment decision shall be recorded in a Minutes as per Form No. 05 attached to this Decree.

4. The procedures for assigning properties as prescribed in Clause 5, Article 5 of this Decree to housing management organizations:

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A report of the agency or unit assigned to receive the transferred assets: 1 original copy;

A written request from the housing management organization to receive the property, along with a written opinion from the higher-level management agency (if any): 1 original copy;

A written opinion from the Department of Finance: 1 original copy;

A list of properties (including information about house and land address; plot number, map sheet number; year of house construction, year of first occupancy; land area, building floor area, usable floor area; original value, residual value; current use status; agencies, organizations, units, enterprises currently assigned for management and utilization) proposed to be assigned to housing management organizations, categorized according to the purposes specified in points a and b, Clause 1 of this Decree, which is compiled by the Department of Finance: 1 original copy;

Decision on assignment of properties: 1 copy;

Minutes of assignment and receipt of properties: 1 copy;

Legal documents on properties (if any): 1 copy.

b) Within 30 days from the date of receiving the complete documentation as prescribed in Point a of this Clause, the Province-level People’s Committee shall consider assigning properties to the housing management organization.

The main contents of the property assignment decision include:

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A list of properties (including information about house and land address; plot number, map sheet number; year of house construction, year of first occupancy; land area, building floor area, usable floor area; original value, residual value; current use status; agencies, organizations, units, enterprises currently assigned for management and utilization) proposed to be assigned to housing management organizations, categorized according to the purposes specified in points a and b, Clause 1 of this Decree;

Responsibility for implementation.

c) Within 30 days from the effective date of the Decision of the Province-level People’s Committee on the assignment of property to the housing management organization, the agency or unit assigned to receive the assigned property shall be responsible for handing over the property to the housing management organization. The assignment and receipt of property shall be made in a Minutes according to Form No. 05 in the Appendix issued with this Decree.

5. The procedures for assigning property as prescribed in Clause 6, Article 5 of this Decree to housing management organizations:

a) If properties have been directly assigned or transferred to a housing management organization under a given decision in accordance with relevant law, such assignment or transfer shall be governed by the provisions of that law; and the procedures set forth in this Article shall not apply.

b) In other cases, agencies, organizations, units and enterprises assigned to preside over the disposal of properties shall follow the same procedures as outlined in Clause 4 of this Article.

6. Where the purpose for which property assigned to a housing management organization has not been determined in accordance with points (a) and (b) of Clause 1, Article 1 of this Decree, or if there is a need to change between the purposes, the housing management organization shall report to its superior authority (if any) for further report to the Department of Finance. The Department of Finance, in coordination with the Department of Construction and other relevant agencies, shall report to the province-level People's Committee to make necessary adjustments to the Plan for property management and utilization. No amendment or new property assignment decision to the housing management organization is required.

Article 7. Records of property management

1. Records of property management include:

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b) Records related to investment in construction, renovation, repair, upgrading, and expansion of assets.

c) Records related to changes in assets.

d) Records of asset utilization.

dd) Other records related to the management and utilization of assets (if any).

2. Housing management organizations are responsible for preparing, managing, and archiving the records specified in Clause 1 of this Article in accordance with relevant laws.

The responsibility for preparing, managing, and archiving records of investment in construction, renovation, upgrading, and expansion of assets is implemented in accordance with the law on construction and relevant laws.

Article 8. Accounting and monitoring of properties

1. The housing management organization shall be responsible for opening separate books for accounting and monitoring of properties assigned for use for the purposes specified in Clause 1, Article 1 of this Decree, and must fully reflect information on house and land addresses; serial numbers of land plots, map sheets; land area, building floor area, usable floor area, original value, depreciation, and residual value of assets.

2. Determination of original price, depreciation, and residual value of assets is carried out in accordance with regulations of the Minister of Finance.

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1. Plan for property management and utilization includes: Annual Plan for property management and utilization and amended plan.

2. Bases for preparing a Plan for property management and utilization include:

a) The results of the previous year and the estimated performance for the year in which the Plan is established.

b) Expected increase or decrease in properties assigned to the housing management organization;

c) House lease price schedule and expected lease prices for properties that are expected to be additionally assigned (if any);

d) Changes between the purposes specified in Point a, Point b, Clause 1, Article 1 of this Decree and the need for temporary accommodation for agencies and organizations.

dd) Other grounds (if any).

3. Annually, no later than October 31, the housing management organization must prepare a Plan for property management and utilization for the following year and send it to the Department of Finance; in case the housing management organization is a public sector entity with a superior authority, the housing management organization must report to the superior authority for consolidation and written comments to the Department of Finance.

4. Within 30 days of receiving the Plan for property management and utilization as prescribed in Clause 3 of this Article, the Department of Finance shall, in coordination with the Department of Construction, the Department of Natural Resources and Environment, the Department of Planning and Architecture (if any), the Tax Department, the district People's Committee and other relevant agencies (if necessary), assess the compliance of the plan's content with the grounds for developing the Plan for property management and utilization of the housing management organization, and submit it to the province-level People's Committee for consideration and approval.

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6. In case there is a need to amend the Plan for property management and utilization due to changes in the quantity of properties assigned for management and utilization, or changes between the purposes specified in Point a and Point b, Clause 1, Article 1 of this Decree, the house management organization shall be responsible for preparing an amended plan. The amended plan shall specifically identify the contents that need to be amended compared to the Plan for property management and utilization approved by the Province-level People's Committee.

The procedures for submitting, reviewing, and approving the amended plan shall be the same as those for the annual Plan for property management and utilization.

1. The leasing of houses (along with land use rights) by the housing management organization (hereinafter referred to as "house leasing") shall be conducted through auction, except in cases as prescribed in Clause 2 of this Article.

2. House leasing shall be conducted through a price listing method in the following cases:

a) For preferential tenants, including: Associations with specific characteristics as prescribed by law on associations, leasing for office space in cases where they do not have an office; socialized institutions in the fields of education, vocational training, healthcare, culture, sports, and environment that are included in the detailed list of types and meet the scale and standards as decided by the Government.

b) For leasing houses with a lease payment determined under Clause 1, Article 16 of this Decree at the time of determining the lease price of less than VND 50 million/year.

c) For leasing properties pending disposal as prescribed in point b, Clause 1 of this Decree.

3. Based on the Plan for property management and utilization approved by the Province-level People’s Committee, the conditions for applying each leasing method as prescribed in Clause 1 and Clause 2 of this Article, the housing management organization shall be responsible for deciding the leasing method for each specific case.

Article 11. House area for lease

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Article 12. Lease term and renewal

1. The maximum lease term shall be 5 years. In the case of leasing properties as prescribed in point b, Clause 1 of this Decree, the maximum lease term shall be 3 years.

If the lease term is extended as prescribed in Clause 2 of this Article, the extended term shall not exceed the previous lease term.

2. Lease renewal

a) Lease renewal shall be applicable in cases where the tenant has a need to continue leasing the house and has used the house and land for the intended purpose, fulfilled all obligations on time in accordance with the contract signed with the housing management organization. No auction or price listing procedures shall be required for lease renewal.

In cases where the State has a need to use the leased house and land for other purposes or to arrange for agencies, organizations, or units as prescribed in Clause 2, Article 20 of this Decree to use temporarily or dispose of in accordance with the law, the lease term shall not be renewed.

b) At least 3 months before the house lease contract expires, the tenant shall submit a written request for renewal to the housing management organization.

For lease contracts with a term of less than 3 months, at least 1 month before the house lease contract expires, the tenant shall submit a written request for renewal to the housing management organization.

c) Within 15 days from the date of receipt of the renewal request from the tenant, the housing management organization shall decide whether to renew the lease term and notify the tenant.

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Article 13. House lease price schedule

1. After the province-level People’s Committee decides to assign properties for leasing as prescribed in Point a, Clause 1, Article 1 of this Decree, the house management organization shall hire a valuation company to determine a house lease price for that property in accordance with the law on price valuation.

The structure of house lease rate must specifically determine the land lease rate (corresponding to commercial or service land with a 50-year lease term) as follows:

Land lease rate in the house lease rate (VND/m2/year)

=

Total land lease amount payable for 1 year of the property determined as prescribed in the law on land

Total floor area of ​​the property

Based on the house lease rate determined by the valuation company (including the land lease amount), the housing management organization shall submit a proposal to the Department of Finance for submission to the Province-level People's Committee to issue a House lease price schedule for properties assigned for leasing. Prior to issuance, the proposal must be reviewed by the Department of Construction, Department of Natural Resources and Environment, Department of Planning and Architecture (if any), Tax Department, District People's Committee, the superior authority of the house management organization (if any) and other relevant agencies and units (if necessary). The House lease price schedule shall be issued in the form of an official document.

The house lease rates in the House lease price schedule are annual house lease prices. For lease terms less than a full year, the house lease rate will be apportioned to calculate the monthly lease amount. If the lease term is less than 15 days in a month, half a month's lease payment will be charged. For lease term of 15 days or more, a full month's lease payment will be charged.

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3. The House lease price schedule issued by the Province-level People’s Committee shall be fixed for a period of 5 years. During the period when the House lease price schedule is fixed, tenants who are currently renting will also have their lease prices stabilize (no adjustment to the schedule). Once the fixed period ends, the lease prices will be adjusted according to the new lease schedule from the date it is issued. In the case of new leases or lease renewals during the fixed period, if there is any changes to the land price issued by the Province-level People's Committee according to land law regulations (including cases where the competent authority or person issues a land price adjustment coefficient) of the property where a house is being leased out, the house lease price of that property will be adjusted as follows:

Where:

a) The land lease rate in the house lease rate is determined according to the corresponding land lease rate in the House lease price schedule issued by the Province-level People’s Committee (if the land price adjustment is made for the first time after the Province-level People’s Committee issues the Price schedule). The land lease rate in the house lease rate is determined according to the corresponding land lease rate of the previous adjustment (if the land price adjustment is made from the second time onwards after the Province-level People’s Committee issues the Price schedule).

b) The land price adjustment rate (%) is determined according to the land price adjustment coefficient for calculating land lease payment (applied in cases where the locality issues a land price adjustment coefficient for calculating land lease payment), determined according to the formula: Land price issued by the Province-level People’s Committee after adjustment divided (÷) by the land price issued by the Province-level People’s Committee of the previous adjacent time multiplied (x) by 100 (applied in cases where the Province-level People’s Committee adjusts the Land Price schedule); determined according to the formula: Land price issued by the Province-level People’s Committee after adjustment multiplied (x) by the land price adjustment coefficient divided (÷) by the land price issued by the Province-level People’s Committee of the previous adjacent time multiplied (x) by 100 (applicable in cases where the Province-level People’s Committee has just adjusted the Land Price schedule and issued the land price adjustment coefficient).

4. The adjustment of the house lease price as prescribed in Clause 3 of this Article shall be carried out by the housing management organization. This is not an adjustment to the House lease price schedule. After the adjustment, the housing management organization must publicly announce it in the same manner as the House lease price schedule; and submit a copy to the Department of Finance and the superior authority (if any).

5. When the 5-year stabilization period expires, the Province-level People’s Committee shall issue a new House lease price schedule to apply to the next stabilization period. The procedure for issuing the House lease price schedule for the next stabilization period shall be applied as the procedure for issuing the first House lease price schedule.

Article 14. House lease by price listing

1. The house lease price by price listing is the house lease price in the House lease price schedule.

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If, at the time of listing a house for lease, there is any changes to the land price issued by the Province-level People's Committee in accordance with the land law (including cases where a competent authority issues a land price adjustment coefficient) for a property with an existing leased house, the house lease price must be adjusted in accordance with Clause 3, Article 13 of this Decree.

2. The house lease price prescribed in Clause 1 of this Article is the price for listing, public announcement and house lease. In case other laws provide for preferential house lease prices for priority entities, those regulations shall apply.

3. The house management organization is responsible for posting the properties for lease and corresponding house lease prices at the headquarters of the house management organization, at the locations of properties for lease, and also posting the information on the Electronic information portal of the house management organization and the superior authority (if any) on the same day. The minimum listing and announcement period is 15 consecutive days from the commencement date; the specific duration shall be determined by the housing management organization. The content of the listing and notification shall follow Form No. 03 in the Appendix issued with this Decree.

4. Organizations or individuals who wish to rent a house (hereinafter referred to as "rental applicants") shall submit a Rental application form within the price listing period and are entitled to view the house before deciding to apply. The Rental application form shall be in accordance with Form No. 04 in the Appendix issued with this Decree. Persons who are not eligible to rent shall be determined in accordance with Clause b, Clause 8, Article 29 of this Decree.

Rental applicants shall be required to pay a deposit equivalent to three months' lease payment as per the listed and publicly noticed lease price. The deposit must be paid no later than the submission of the Rental application form. If a rental applicant is not eligible to rent, the housing management organization shall return the deposit to the applicant within three working days from the date of signing the record of determination of the organization or individual entitled to rent a house (hereinafter referred to as the “successful tenant”).

If the successful tenant belongs to a prioritized group as defined in Clause a, Clause 2, Article 10 of this Decree, they must submit copies of documents proving their eligibility.

5. Within 1 working day from the end of the listing and announcement period as prescribed in Clause 3 of this Article:

a) If there is only one rental applicant, that person shall be the successful tenant.

b) If there are multiple rental applicants, and among them is a prioritized entity as defined in Clause a, Clause 2, Article 10 of this Decree, that prioritized entity shall be the successful tenant.

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d) If there are multiple rental applicants and none of them belong to the prioritized group specified in Clause a, Clause 2, Article 10 of this Decree, the housing management organization shall organize a casting lot to determine the successful tenant.

dd) The casting lot must be conducted publicly and witnessed by the rental applicants. If the successful tenant determined through the casting lot refuses to rent the house, the process of determining the successful tenant shall be repeated as prescribed in this Clause.

e) The housing management organization shall be responsible for preparing a record of determination of the successful tenant.

6. Within 5 working days from the date of preparing the record of determination of the successful tenant, the successful tenant shall sign the lease contract with the housing management organization as prescribed in Clause 3, Article 18 of this Decree. In case of force majeure such as natural disasters, epidemics, war, or sudden accidents, if the successful tenant fails to sign the lease contract within the aforementioned period, they must notify the housing management organization and sign the lease contract with the housing management organization within 30 days from the date of preparing the record of determination of the successful tenant.

If the successful tenant fails to sign the lease contract within the specified timeframe, they will forfeit their right to rent the property and will not be refunded the deposit. The deposit will be managed and used as stipulated in Article 23 of this Decree. In this case, the house management organization shall re-initiate the lease procedures as prescribed in this Article.

7. If the listing period ends without any rental applicants, the housing management organization shall repeat the rental procedures as prescribed in Clauses 3, 4, 5, and 6 of this Article.

8. If, after three listing attempts, there are still no rental applicants, the housing management organization shall review the reasons, propose solutions, and report to the superior authority (if any) to report to the Province-level People’s Committee for consideration and decision after consulting with the Department of Finance and the Department of Construction. If it is determined that the lack of rental applicants is due to a high lease price that is no longer competitive with the market price, the housing management organization shall concurrently hire a valuation company to reassess the house lease price, and seek opinions from the Department of Finance and the Department of Construction, and report to the Province-level People’s Committee to adjust the lease price in the House lease price schedule. After the province-level People’s Committee decides to adjust the lease price, the posting, public announcement, and determination of the successful tenant shall be conducted as prescribed in Clauses 3, 4, 5, and 6 of this Article. If the property remains unleased after one year, for properties assigned for the purpose specified in Clause a, Clause 1 of this Decree, the housing management organization shall report to the Department of Finance for submission to the Province-level People's Committee to consider and handle the property in accordance with Article 22 of this Decree and remove it from the list of properties for lease.

Article 15. House lease by auction

1. Determination of starting price

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b) In case of leasing a house not listed in the Schedule, the starting price shall be determined in the same manner as determining the lease price through the listing method in cases where the house is not listed in the Schedule as prescribed in Clause 1, Article 14 of this Decree.

2. Persons who are ineligible to participate in the auction shall be determined in accordance with the provisions of the law on asset auctions and Clause b, Clause 8, Article 29 of this Decree.

3. The housing management organization shall engage a property auction organization to conduct the auction. The selection of the property auction organization shall be in accordance with the provisions of the law on property auctions.

4. The procedures for conducting a house lease auction shall be in accordance with the provisions of the law on property auctions. The housing management organization shall be responsible for overseeing the auction process and shall fully exercise the rights and obligations of the property holder as prescribed by the Law on property auctions. Information regarding the house lease auction shall be publicly posted and announced in accordance with the provisions of the law on property auctions.

5. If the auction is unsuccessful after three attempts, the housing management organization shall review the reasons, propose solutions, and report to the superior authority (if any) to report to the Province-level People’s Committee for consideration and decision after consulting with the Department of Finance and the Department of Construction. If it is determined that the lack of rental applicants is due to a high starting lease price that is no longer competitive with the market price, the housing management organization shall concurrently hire a valuation company to reassess the house lease price, and seek opinions from the Department of Finance and the Department of Construction, and report to the Province-level People’s Committee to adjust the lease price in the House lease price schedule. After the province-level People’s Committee decides to adjust the lease price, the house lease auction shall be conducted as prescribed in Clauses 1, 2, 3, and 4 of this Article. If the property remains unleased after one year, for properties assigned for the purpose specified in Clause a, Clause 1 of this Decree, the housing management organization shall report to the Department of Finance for submission to the Province-level People's Committee to consider and handle the property in accordance with Article 22 of this Decree and remove it from the list of properties for lease.

6. The house lease shall be formalized through a contract as prescribed by law. The signing of the house lease contract must comply with the provisions of the law. The content of the house lease contract shall be implemented in accordance with Clause 2, Article 18 of this Decree. If the winning bidder fails to sign the house lease contract within the prescribed timeframe, it shall be handled as a case of refusing the auction result as prescribed in Article 51 of the Law on property auctions.

7. The house lease price is the auction winning price. In which, the land lease rate in the winning house lease rate shall be recalculated according to the following formula:

Land lease rate in the winning house rental rate (VND/m2/year)

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Winning bid price

Starting price

Article 16. House lease amount

1. The total house lease amount for the entire lease term shall be calculated using the following formula:

House lease amount (VND)

=

Leased area (m²)

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Lease term (years)

Where:

a) The leased area shall be determined as prescribed in Article 11 of this Decree.

b) The house lease price under the price listing method shall be determined as prescribed in Article 14 of this Decree; the house lease price under the auction method shall be determined as prescribed in Article 15 of this Decree.

c) The lease term shall be as specified in the house lease contract, determined as prescribed in Article 12 of this Decree.

2. Based on local conditions, the Province-level People’s Committee shall report to the People's Council at the same level to establish preferential policies (exemption, reduction) of House lease amount for prioritized entities as prescribed in Clause a, Article 10 of this Decree. The procedures for exemption or reduction of house lease amount shall be as follows:

a) The successful tenant who belongs to the prioritized group shall submit a request for exemption or reduction of house lease amount, along with copies of documents proving their eligibility, to the housing management organization.

b) The housing management organization shall, based on the preferential policies (exemption, reduction) of house lease amount issued by the People's Council at the provincial level, the request for exemption or reduction of house lease amount from the tenant, and the attached documents, consider the exemption or reduction of house lease amount for the tenant.

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a) House lease payment shall be made quarterly before the 10th day of the first month of each quarter and shall be specifically stipulated in the house lease contract and its annexes. In case the tenant fails to make full payment by the prescribed deadline, the provisions in points b and c of this Clause shall apply.

b) If the tenant fails to make full payment or makes an incomplete payment one month after the payment deadline as prescribed in point a of this Clause, the housing management organization shall determine and collect the overdue payment as stipulated in the house lease contract. The rate of the overdue payment shall be equivalent to the late fees for state budget revenues as prescribed by the law on tax administration.

c) If the tenant fails to make full payment or makes an incomplete payment two months after the payment deadline as prescribed in point a of this Clause, the housing management organization shall initiate procedures to terminate the house lease contract and reclaim the leased property; the tenant shall be responsible for returning the leased property to the housing management organization. The security deposit shall be used to settle the unpaid house lease amount and any late payment fees. In this case, the tenant shall still be liable for any remaining unpaid house lease amount and late payment fees (if any) after the security deposit has been deducted.

Article 17. Reclaiming leased house

1. Cases of reclaiming leased house

a) The tenant is not eligible for a renewal upon expiration of the lease term as stipulated in the house lease contract.

b) The tenant violates the provisions on house lease payment as prescribed in Clause c, Article 16 of this Decree.

c) The tenant violates the provisions in Clause 4, Article 29 of this Decree.

d) To accommodate a temporary occupant as prescribed in Clause 1, Article 20 of this Decree.

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2. When any of the cases for reclaiming leased house as stipulated in Clause 1 of this Article occurs, the housing management organization shall issue a written notice stating the reasons and requesting the tenant to return the leased house within 30 days from the date of receipt of the notice. Upon returning the leased house, an inventory of assets shall be conducted, and any outstanding obligations between the parties shall be determined and settled.

3. If the tenant, who falls under the cases of reclaiming leased house as stipulated in Clause 1 of this Article, fails to return the leased house to the housing management organization within the prescribed time limit, the housing management organization shall report to the competent authority to enforce the house reclamation. The procedures for enforcing the house reclamation shall be as follows:

a) The housing management organization shall submit a proposal or report to the superior authority (if any) for submission to the Province-level People’s Committee to consider and issue a Decision on the enforcement of house reclamation.

b) Within 10 days from the date of receipt of the proposal from the housing management organization or its superior authority, the Province-level People’s Committee shall be responsible for verifying and comparing it with the provisions of Clauses 1 and 2 of this Article to issue a Decision on the enforcement of house reclamation and send this Decision to the Department of Finance, the housing management organization, its superior authority (if any), and the tenant for implementation.

c) Based on the Decision on the enforcement of house reclamation, the Province-level People’s Committee may directly or assign the District-level People’s Committee where the leased house is located to organize the enforcement of the reclamation and return the property to the housing management organization for management in accordance with the regulations. The handover of the property must be recorded in a minutes of meeting signed by the agencies involved in the enforcement.

d) The time limit for enforcing the reclamation of property shall not exceed 30 days from the date the Province-level People’s Committee issues the Decision on the enforcement of house reclamation.

dd) After reclaiming the house, the housing management organization shall submit a written report to the Department of Finance to report to the Province-level People’s Committee on the completion of the house reclamation.

Article 18. House lease contract

1. A lease contract is concluded between the housing management organization and either a successful tenant as stipulated in Article 14 of this Decree; or a successful bidder as prescribed in Article 15 of this Decree. In case of a renewal of the lease term or an adjustment to the terms of the house lease contract, a contract addendum shall be concluded.

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a) Information about the lessor and the tenant.

b) Information about the house and construction works for lease.

c) Lease price and adjustments to the lease price.

d) Payment method and deadline.

dd) Lease term; time of property assignment.

e) Purpose of house use.

g) Conditions for contract renewal.

h) Rights and obligations of the parties.

i) Liability for contract breach.

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l) Circumstances for contract termination and remedial measures.

m) Dispute resolution.

n) Effective date of the contract.

o) Other provisions that must comply with this Decree and other relevant laws.

3. Pursuant to the provisions of Clause 1, Clause 2 of this Article and the house lease contract form (Form No. 06) in the Appendix issued with this Decree, the house management organization shall conclude a house lease contract with the tenant in accordance with the law.

Article 19. Temporary management pending final disposal in accordance with the law

1. Based on the property assignment decision issued by a competent authority for the purposes as specified in Clause b, Clause 1 of Article 1 of this Decree, the housing management organization shall be responsible for the management and preservation of the property, ensuring that it is not encroached upon or occupied.

2. If there is a need to lease the property during the period before disposal, the housing management organization shall include it in the Plan for property management and utilization for submission to the Province-level People’s Committee for consideration and approval as prescribed in Article 9 of this Decree. The leasing shall be conducted in accordance with the provisions of Article 14 of this Decree.

In case the property is currently leased and the competent authority decides to dispose of the property or implement an approved disposal plan, the housing management organization shall:

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b) Carry out the procedures for terminating the lease contract in accordance with the law.

c) Reclaim the property for disposal as prescribed in Clause 3 of this Article.

3. When the competent authority or person decides to dispose of the property, the house management organization shall, based on the decision of the competent authority or person, organize the implementation in accordance with the law.

Article 20. Allocation of property to temporary occupants

1. In cases where the housing management organization has a fund of property assigned for the purposes specified in Points a and b, Clause 1, Article 1 of this Decree but has not yet used it, the property may be temporarily allocated to the agencies, organizations, or units specified in Clause 2 of this Article for use as offices or operational facilities.

In cases where it is necessary to meet the operational requirements of the agencies, organizations, or units specified in Clause 2 of this Article, the housing management organization may terminate the lease contract prematurely. In such cases, the tenant shall return the leased property to the housing management organization for allocation to the temporary occupant. The termination of the lease contract and the handling of related matters shall be carried out in accordance with the law and the signed contract.

2. Eligible temporary occupants include: State agencies, public sector entities, units of the People's Armed Forces, agencies of the Communist Party of Vietnam, the Vietnam Fatherland Front, socio-political organizations (hereinafter referred to as agencies, organizations, units) during the period awaiting the implementation of new construction, renovation, repair, upgrading, or expansion projects for their offices or operational facilities, or while awaiting the receipt of offices or operational facilities for management and use in accordance with the law on public asset management. The agencies, organizations, or units specified in this Clause include those under central management and those under local management.

3. The agencies, organizations, or units specified in Clause 2 of this Article that have a need for the temporary use of property shall report to their superior authority (if any) in writing to the housing management organization for consolidation and reporting to the Department of Finance. Based on this, the Department of Finance shall, in coordination with the Department of Construction, submit a proposal to the Provincial People's Committee for consideration and decision on the temporary allocation of property.

The request document of the agency, organization, or unit for the temporary use of property must specify the required area of property in accordance with the standards and norms (if any), and the duration of use; wherein, the duration of use shall be based on the completion time of the investment project, handover, and put into use as per the project approved by the competent authority or the expected time for receiving the office or operational facility for management and use.

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a) The temporary occupant.

b) The property address.

c) Information about the property (land area, building floor area, usable floor area; current usage status; accompanying equipment, if any).

d) The duration of temporary use.

dd) The rights and obligations of the relevant agencies, organizations, and units.

e) Other necessary contents.

4. After the Decision of the Province-level People’s Committee is issued, the housing management organization shall hand over the property, along with any other assets attached to it, to the temporary occupant. Upon expiration of the temporary use period, the temporary occupant shall return the property to the housing management organization for management and utilization as prescribed in this Decree. The handover and receipt of the property for temporary use, as well as its return after the temporary use period, must be documented in a minutes, following Form No. 05 as attached to this Decree.

5. If, upon expiration of the temporary use period, the new construction, renovation, repair, upgrading, or expansion project for the office or operational facility has not been completed, or if the temporary occupant has not yet received the office or operational facility for management and use, they shall report to its superior authority (if any) in writing to the housing management organization. The housing management organization shall then report to the competent authority to request an extension of the temporary use period. The procedure for reporting to the competent authority for approval of the extension of the temporary use period shall be similar to the initial procedure for temporary allocation as prescribed in Clause 3 of this Article.

6. During the temporary use period, the temporary occupant shall use the property for the intended purpose; pay for electricity, water, labor services, renovation, repair (if any), and other related expenses (excluding depreciation costs, asset wear and tear, and land lease amount), which shall be accounted for as operating expenses of the temporary occupant or included in the costs of new construction, renovation, repair, upgrading, or expansion projects for the office or operational facility as approved by the competent authority; and shall not pay any house lease amount. The maintenance, repair, and renovation (if any) of the house and structures on land during the temporary use period shall be carried out in accordance with the provisions of Article 21 of this Decree.

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1. Maintenance shall be carried out in accordance with the law on building maintenance. The housing management organization shall directly undertake maintenance or hire a specialized maintenance unit. The selection of a maintenance unit shall be carried out in accordance with relevant laws.

2. Annually, the housing management organization shall assess the current condition of houses and other structures attached to the leased property; develop a plan and estimate for renovation and repair (including periodic renovation and repair costs and contingency costs for unexpected repairs) that is the responsibility of the housing management organization; consolidate these into the annual budget estimate; and report to the competent authority for consolidation, review, and approval in accordance with the law on the state budget and relevant laws. Based on this, the housing management organization shall organize the renovation and repair in accordance with relevant laws. In cases where the property with houses or structures requires renovation, repair, new construction, upgrading, or expansion and is listed as a historical relic or cultural work to be preserved in accordance with the law on heritage, the housing management organization must seek the opinion of the cultural specialized agency of the Province-level People's Committee before submitting it to the competent authority for consideration and approval.

If the tenant advances the house lease amount to the housing management organization to carry out renovations or repairs to the leased property, the advanced amount shall be deducted from the house lease amount payable. If the amount has not been fully deducted and the tenant is granted an extension of the lease term, the remaining amount shall be deducted from the lease amount for the extended period. If the tenant is not granted an extension of the lease term, the housing management organization shall refund the remaining amount. Any renovations or repairs carried out by the tenant shall be transferred to the housing management organization without compensation for management and utilization after the termination of the lease with that tenant (including cases of early termination of the lease contract).

If a temporary occupant advances funds to the housing management organization to carry out renovations or repairs to the allocated property, such costs shall be accounted for as operating expenses of that temporary occupant, or included in the costs of new construction, renovation, repair, upgrading, or expansion projects for the office or operational facility as approved by the competent authority. Any renovations or repairs carried out by the temporary occupant shall be transferred to the housing management organization without compensation for management and utilization after the expiration of the temporary use period (including cases of returning the property before the expiration of the temporary use period).

3. The housing management organization shall organize emergency repairs for structures in cases where parts of the structure or the entire structure are damaged due to sudden impacts such as wind, storms, floods, earthquakes, collisions, fires, or other sudden impacts, or when parts of the structure or the entire structure show signs of deterioration that affect the safety of use, operation, and utilization of the structure.

Emergency repair costs shall be reasonable costs as prescribed by the law on building maintenance. Emergency repair costs shall be paid from the contingency fund for emergency repairs in the renovation and repair estimate for each property or by the tenant advancing house lease to the housing management organization to pay for the repairs in cases where the allocated budget of the housing management organization is insufficient. In cases where the tenant advances the house lease amount to the housing management organization to pay for emergency repair costs, the handling of the advance payment shall be carried out in the same manner as prescribed in Clause 2 of this Article.

The handling of recovered materials during the repair of public properties (if any) shall be carried out in accordance with the Government's Decree on elaboration of the Law on management and use of public property.

4. The preparation, appraisal, approval of projects, plans, and estimates, and the organization of the implementation of new construction, upgrading, and expansion of houses and structures attached to leased property shall be carried out in accordance with relevant laws.

Article 22. Property disposal

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2. For property assigned to the housing management organization for lease as prescribed in Clause a, Point 1, Article 1 of this Decree, the disposal shall be carried out through the following methods:

a) Reclamation.

b) Transfer.

c) Liquidation.

d) Transfer to the local authority for management and disposal.

3. Property reclamation:

a) In case of property reclamation for national defense, security, socio-economic development for national and public interests, the reclamation, compensation, support, resettlement and disposal of property following the reclamation shall be carried out in accordance with the land law.

b) In cases where property has been assigned to the housing management organization but is not needed for lease or cannot be leased, the State shall reclaim the property. b) In cases where property has been assigned to the housing management organization but is not needed for lease or cannot be leased, the State shall reclaim the property. The authority to decide on reclamation, the procedures for reclamation, the organization of reclamation, and the handling and utilization of the property after reclamation shall be carried out in accordance with the regulations on the reclamation of public property in public sector entities as prescribed in the Law on management and use of public property and the Government's Decree on elaboration of the Law on management and use of public property.

c) For property that the housing management organization is leasing, the housing management organization shall terminate the lease contract ahead of schedule in accordance with this Decree as a basis for the State to reclaim the property in accordance with Points a and b of this Clause.

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5. Liquidation of houses and structures on land: Cases of application, decision-making authority, procedures, forms of liquidation, and organization of the implementation of liquidation and the handling of reclaimed materials (if any) shall be carried out in accordance with the regulations on the liquidation of public property in public sector entities as prescribed in the Law on management and use of public property and the Government's Decree on elaboration of the Law on management and use of public property.

6. Transfer of property to the local authority for management and disposal: Cases of application, decision-making authority, procedures, and the handling of property after transfer shall be carried out in accordance with the regulations on the transfer of property to local authorities for management and disposal as prescribed in the Government's Decree on elaboration of the Law on management and use of public property.

7. In the case of the conversion of a public sector entity into an enterprise (including the case of equitization of a public sector entity) or the equitization of a housing management company, the value of land and houses as prescribed in Clause 1, Article 1 of this Decree shall not be included in the State capital of the converted enterprise. When there is a decision of the competent authority on the conversion or equitization, the housing management company and the Province-level People’s Committee shall be responsible for:

a) Transferring to the enterprise to continue managing and utilizing the property as prescribed in this Decree in cases where the enterprise converted from a public sector entity is an enterprise fully owned by the Province-level People’s Committee and is assigned by the Province-level People’s Committee to manage and utilize the property as prescribed in Clause 1, Article 1 of this Decree.

b) Transferring to another housing management organization (if any) of the locality as prescribed in Clause 3, Article 2 of this Decree for management and utilization.

The procedures for transferring to another housing management organization shall be carried out in accordance with Clause 3, Article 6 of this Decree.

c) The decision or report to the competent authority for the decision on the disposal of property in accordance with one of the forms prescribed in Clauses 3, 4, 5, and 6 of this Article. The housing management organization, when converting its operation model or equitizing, shall be responsible for organizing the disposal of assets pursuant to the decision of the competent authority. In cases where the conversion into an enterprise or the conversion to a joint-stock company model has been completed but the assets have not yet been disposed of as prescribed in this point, the Province-level People’s Committee shall assign the superior authority of the housing management organization or another specialized agency of the locality to continue to complete the unfinished items as prescribed.

8. The management and use of funds collected from the disposal of property assigned to the housing management organization shall be carried out in accordance with the regulations on the management and use of funds collected from the disposal of public property applicable to state agencies as prescribed in Article 48 of the Law on management and use of public property and the Government's Decree on elaboration of the Law on management and use of public property.

Chapter III

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Article 23. Management of revenue from property utilization

1. The tenant of property leased out by a housing management organization are responsible for paying the full house lease amount to the housing management organization in accordance with the deadline stipulated in the lease contract. In case of overdue payment or underpayment, the tenant shall pay a late fee to the housing management organization.

The temporary occupant shall pay the temporary use fee for the property to the housing management organization as prescribed in Clause 6, Article 20 of this Decree.

2. The housing management organization shall be responsible for depositing in full into the State budget before the 30th of each month the revenue collected from property utilization (house lease amounts, late fees, temporary use fees as prescribed in Clause 1 of this Article) and the revenue collected from the installation of telecommunications infrastructure on the property of the housing management organization as prescribed by the telecommunications law.

3. Handling, management, and use of deposits from rental applicants and auction participants:

a) In the case of leasing through a price listing method, if a rental applicant has submitted a rental application but does not participate in the casting lot to determine the successful tenant, or has been determined as the successful tenant but does not sign the lease contract/refuses to rent, the deposit shall not be refunded.

In the case where a rental applicant is granted the right to rent and has signed a lease contract with the housing management organization as prescribed in this Decree, the deposit shall be converted into a security deposit to ensure the fulfillment of the obligations of the tenant and shall be refunded upon termination of the lease contract after all outstanding obligations to the state have been paid. The deposit shall not be refunded if the tenant violates the lease contract.

b) For deposits that rental applicants and auction participants are not entitled to receive as prescribed in Point a of this Clause and in cases prescribed in Clause 6, Article 39 of the Law on auction of assets, the housing management organization shall be responsible for depositing into the State budget within 30 days from the date of determining that the deposit belongs to the asset owner (housing management organization).

c) For the deposit converted into a security deposit to ensure the fulfillment of the obligations of the organization or individual tenant in the case of leasing through the price listing method as prescribed in Point a of this Clause and in the case of winning the auction as prescribed in Clause 5, Article 39 of the Law on auction of assets, the housing management organization shall be responsible for managing and fulfilling the obligations prescribed in Point c, Clause 3, Article 16 of this Decree and other outstanding obligations of the tenant (if any); the remaining amount (if any) shall be deposited into the State budget within 30 days from the date of termination of the lease contract.

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1. Operating costs for managing, using, and utilizing property according to the functions and tasks assigned by the competent authority: Salaries, wages, allowances; social insurance, health insurance contributions, and other contributions as prescribed; payment for public services: electricity, water, environmental sanitation, and other services; auction service fees for house leasing; house leasing listing fees; costs for purchasing tools and equipment to serve the public sector entity’s operations; costs for regular maintenance and repair of fixed assets (including houses for lease); costs for guarding and preserving assets during the waiting period for leasing or disposal; costs for hiring valuation companies to advise on determining lease prices and other costs as prescribed by law.

2. Costs for purchasing fixed assets, renovating, repairing, constructing new, upgrading, expanding houses, and structures attached to land and other costs as prescribed by law.

3. Taxes, fees, and charges payable as prescribed by law; other legitimate costs as prescribed by law (if any).

Article 25. Costs for the management, use, and utilization of property in cases where the housing management organization is a housing management company

1. Personnel costs; material costs; office supplies costs; contingency costs; outsourced service costs; costs for regular maintenance and repair of fixed assets (including houses for lease); costs for guarding and preserving assets during the waiting period for leasing or disposal; costs for hiring valuation companies to advise on determining lease prices and other costs as prescribed by law.

2. Costs for purchasing fixed assets, renovating, repairing, constructing new, upgrading, expanding houses, and structures attached to land and other costs as prescribed by law.

3. Taxes, fees, and charges payable as prescribed by law; other legitimate costs as prescribed by law (if any).

Article 26. Expenditure levels for the management, use, and utilization of property

1. For expenditures that have already been set with standards, norms, and unit prices by a competent authority, the current regulations shall apply.

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3. For expenditures on outsourced services, they shall be executed according to the signed contract. The selection of service providers shall be conducted in accordance with relevant laws.

4. For taxes, fees, and charges payable, they shall be determined according to the regulations on taxes, fees, and charges.

5. For expenditures not specified in Clauses 1, 2, 3, and 4 of this Article, the head/legal representative of the housing management organization shall review and decide to ensure compliance with the current state financial management regime, the estimate assigned by the competent authority, and shall be responsible for their decisions.

6. In case the Province-level People’s Committee stipulates the operating expenditure level for the housing management organization as a percentage of the total revenue from house leasing, the budget and final account for this expenditure shall be executed according to the stipulated percentage. The housing management organization shall proactively use this expenditure to ensure compliance with the current state financial management regime; any saved costs (if any) shall be managed and used according to the financial mechanism of the housing management organization.

Article 27. Budget preparation and finalization of revenue and expenditure for the management, use, and utilization of property assigned to the housing management organization

1. The housing management organization shall prepare a budget for the revenue and expenditure of the management and utilization of the assigned property in accordance with the provisions of the law on the state budget and other relevant laws, report to the superior authority (if any) for consideration and comments on the budget for the management and utilization of the property prepared by the housing management organization, and submit it to the Department of Finance for appraisal, consolidation, and reporting to the Province-level People's Committee for approval in accordance with the provisions of the law on the state budget.

2. The housing management organization shall finalize the revenue and expenditure of the management, use, and utilization of the assigned property in accordance with the provisions of the law on the state budget, report to the superior authority (if any) for consideration and comments on the finalization report of the revenue and expenditure of the management and utilization of the property prepared by the housing management organization, and submit it to the Department of Finance for appraisal, consolidation, and reporting to the Province-level People's Committee.

The approval of the finalization of the revenue and expenditure for the management, use, and utilization of property shall be carried out in accordance with the provisions of the law on the state budget and other relevant laws.

Chapter IV

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Article 28. Responsibilities of housing management organizations

1. The housing management organization shall be responsible for receiving, safeguarding, and maintaining the assigned properties in accordance with regulations. The organization must prevent any encroachment, occupation, or loss of assigned properties.

2. The organization shall develop, submit to the competent authority for review, approval, adjustment, and supplementation of the Plan for property management and utilization as prescribed in this Decree. The organization shall fully and effectively implement the utilization of the assigned properties in accordance with the approved plan, ensuring publicity, transparency, efficiency, and legality.

3. The organization shall collect all due payments from tenants and temporary occupants in a timely manner, avoiding any overdue receivables. The organization shall prepare, use, and finalize budgets for the management and utilization of properties in accordance with the law on the state budget and the provisions of this Decree. The organization shall deposit all revenues into the local budget in full and on time as prescribed in this Decree.

4. The housing management organization shall regularly inspect and monitor tenants’ compliance with the terms of the lease contract. Any violations shall be promptly addressed in accordance with applicable regulations and the organization's authority. For violations beyond its authority, the organization shall promptly report to the competent authority for resolution, preventing prolonged or complex violations.

5. The organization shall carry out land declaration and registration as prescribed by land law.

6. The organization shall fulfill other responsibilities as prescribed in this Decree, relevant laws, and regulations of the Province-level People’s Committee.

7. Penalties for violations by housing management organizations

a) Housing management organizations or individuals within such organizations that violate the provisions of this Decree on the management and utilization of properties shall be subject to disciplinary sanctions, administrative fines, or criminal prosecution, depending on the nature and severity of the violation. If the violation causes damage to the state, compensation shall be required in accordance with the law.

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Article 29. Responsibilities of tenants

1. Tenants shall use the property (including the land attached to the property) leased by the housing management organization strictly for the purpose specified in the lease contract and in compliance with all applicable laws and regulations. The property shall not be used for any purpose other than that for which it was leased or for conducting any business activities that are prohibited by law or for which the tenant does not have the necessary qualifications.

2. Tenants shall maintain the original structural integrity, interior, and exterior of the leased property. In the event that the leased property is damaged, deteriorated to the point of being unusable, or requires renovation, upgrading, or repair before it can be used again, the tenant shall promptly notify the housing management organization. During the period in which the housing management organization is repairing the damage or deterioration, and the tenant is unable to use the leased property, the housing management organization shall provide the tenant with suitable alternative accommodations for temporary use. If no suitable alternative is available, the tenant shall not be required to pay lease amount for the period during which the property is unusable due to the necessary repairs.

3. If the leased property, its structures, or other attached assets are damaged due to the tenant's actions, the tenant shall be responsible for repairing and restoring the property to its original condition as specified in the lease contract. If the damage cannot be repaired, the tenant shall pay compensation equal to the current market value of the damaged property at the time the violation is discovered. A record of the violation shall be jointly prepared by the housing management organization and the tenant.

4. Tenants shall not:sublease or lend the leased property to other parties; use the leased property as collateral or for other forms of security; sell, transfer, contribute capital, or engage in any other activities that infringe upon the ownership or use rights of the leased property; Tenants shall promptly notify the housing management organization of any encroachment, occupation, damage, or destruction of the leased property by third parties, so that appropriate measures can be taken in accordance with the law.

5. Tenants shall pay the full lease amount and any other applicable fees as stipulated in the lease contract on time. Late fees shall be paid as required.

6. Tenants shall return the leased house (attached to the land) to the housing management organization upon expiration of the lease term if the lease is not renewed, upon early termination of the lease, or in other cases as prescribed in this Decree and relevant laws.

7. Tenants shall fulfill other responsibilities as specified in the lease contract, this Decree, and other relevant laws.

8. Penalties for violations by tenants

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b) Tenants who fail to pay the lease amount in full and on time or who arbitrarily change the intended purpose of the leased property shall not be eligible for a lease renewal. Tenants who are required to return the leased property as prescribed in Clause 1 of Article 17 of this Decree but fail to do so shall be ineligible to participate in auctions or lease properties through the price listing method conducted by housing management organizations for the following five years.

c) The leased property may be reclaimed in accordance with Article 17 of this Decree.

Article 30. Responsibilities of temporary occupants

1. Temporary occupants shall maintain the original condition of the assigned property during the temporary use period as determined by the Province-level People’s Committee. If repairs are necessary before use, the temporary occupant shall coordinate with the housing management organization to develop a repair plan that is efficient, economical, and suitable for temporary use. Decisions regarding repairs, implementation of repairs, and funding shall be made in accordance with regulations applicable to temporary occupants.

2. Public sector entities assigned temporary use of property shall not use the property for business purposes, leasing, joint ventures, or partnerships.

3. Temporary occupants shall pay in full the temporary use fees to the housing management organization as specified in the property handover and acceptance record.

4. Temporary occupants shall return the assigned property upon expiration of the term as determined by the Province-level People’s Committee. If an extension of the temporary use period is necessary, the temporary occupant shall submit a written report to the superior authority (if any) to request that the housing management organization report to the Province-level People’s Committee for consideration and decision.

5. Temporary occupants shall fulfill other responsibilities as prescribed in this Decree and relevant laws.

6. Temporary occupants who violate laws and regulations governing the management and utilization of properties shall be subject to administrative fines or criminal prosecution, depending on the nature and severity of the violation. If the violation causes damage to the state or the housing management organization, the temporary occupant shall be liable for compensation as prescribed by law.

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IMPLEMENTATION

Article 31. Transitional provisions

1. The Province-level People’s Committee shall direct the Department of Finance to take the lead, in coordination with the Department of Construction, the Department of Natural Resources and Environment, other relevant departments and agencies, and district-level People's Committees, to complete a comprehensive review of all state-owned properties not used for residential purposes that are currently managed by agencies, organizations, units, and enterprises for the purposes specified in Clause 1, Article 1 of this Decree, in order to classify and manage them as follows:

a) For properties that the locality determines to continue managing and utilizing for the purposes specified in Clause 1, Article 1 of this Decree, the Province-level People’s Committee shall decide to assign them to the local housing management organization specified in Clause 3, Article 2 of this Decree for management, without establishing new public sector entities or enterprises. The management, use, and utilization of properties after being assigned to the housing management organization shall be carried out in accordance with the provisions of this Decree.

b) For properties that the locality does not need to continue managing and utilizing for the purposes specified in Clause 1, Article 1 of this Decree, the management and disposal of such properties shall be carried out in accordance with relevant laws; they shall not be subject to the provisions of this Decree. For properties that fall within the scope of reorganization and disposal, they shall be handled in accordance with the Government's regulations on reorganization and disposal of state assets. Agencies, organizations, units, and enterprises currently managing the properties shall be responsible for reporting, declaring, and proposing disposal plans to be reported to the competent authority for consolidation, development of a disposal plan, and implementation after approval by the competent authority as prescribed.

The review and classification of properties as specified in this Clause shall be recorded in a report using the Form No. 02 attached to this Decree and must be completed within 12 months from the effective date of this Decree. For Hanoi and Ho Chi Minh City, the completion time limit is 24 months from the effective date of this Decree.

2. For properties that are currently leased under contracts signed before the effective date of this Decree, and where the tenant is using the property for the purpose permitted by law and is not subject to reclamation due to violations of the law as determined by a competent authority, the lease shall continue under the existing lease contract. However, the lease price and term shall be handled as follows:

a) The lease price shall be reviewed. If the revised lease price determined under Clause 3, Article 13 of this Decree is higher than the lease price under the existing lease contract, the revised lease price as determined under Clause 3, Article 13 of this Decree shall apply. If the revised lease price determined under Clause 3, Article 13 of this Decree is lower than or equal to the lease price under the existing lease contract, the lease price under the existing lease contract shall continue to apply.

b) The lease term shall continue as specified in the existing lease contract. If the remaining lease term under the existing lease contract exceeds 5 years (for properties specified in Point a, Clause 1, Article 1 of this Decree) or 3 years (for properties specified in Point b, Clause 1, Article 1 of this Decree), calculated from the effective date of this Decree, or if the lease contract does not specify a lease term, the subsequent lease term shall be agreed upon by the housing management organization and the tenant, but shall not exceed the term specified in Clause 1, Article 12 of this Decree, calculated from the effective date of this Decree.

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3. For properties currently being leased without a formal lease contract or with an expired lease contract, within 3 months from the effective date of this Decree, if the current tenant meets the conditions specified in Clause 2, Article 12 of this Decree and wishes to continue leasing the property, both the housing management organization and the tenant shall enter into a new lease contract in accordance with the provisions of this Decree. The specific deadline for signing the new lease contract shall be notified in writing by the housing management organization to the tenant.

If the tenant fails to sign a new lease contract within the specified timeframe, fails to meet the conditions specified in Clause 2, Article 12 of this Decree, or does not wish to continue leasing the property, the housing management organization shall terminate the lease contract and reclaim the leased property.

4. If the tenant owes a lease amount or other financial obligations to the housing management organization that were incurred before the effective date of this Decree, the tenant shall pay the outstanding amount (including any penalties or late fees) within a timeframe determined by the Province-level People’s Committee but not exceeding 6 months from the effective date of this Decree. If the tenant fails to pay the outstanding amount within the specified timeframe, the housing management organization shall terminate the lease and reclaim the leased property in accordance with the provisions of this Decree.

5. For properties that were leased before the effective date of this Decree but have been found through audits and inspections to be in violation of the law, the findings of the audit and inspection shall apply. The housing management organization shall coordinate with local authorities to terminate the lease, reclaim the leased property, and handle other matters (if any) as stated in the conclusions of the competent authorities.

6. If a tenant has invested in the construction of new structures, upgrades, expansions, or renovations to an existing structure leased before the effective date of this Decree, and such investments are not subject to the provisions of Point e, Clause 2, Article 1 of this Decree, the following shall apply:

a) If the tenant has obtained permission from the competent authority to make such investments, the tenant shall provide documentation proving the legitimate investment costs for the construction, upgrades, expansions, or renovations of the structure on the land (as verified by the State Audit Agency or an independent audit firm) to the housing management organization to be deducted from future lease payments. However, this deduction may be waived if there is an agreement or commitment between the tenant and the lessor or a competent authority regarding the non-deduction or non-refund of the investment costs incurred by the tenant.

Upon termination of the lease contract, the tenant shall transfer without compensation the entire house and structures attached to the land (including any portions constructed, upgraded, expanded, or renovated) to the housing management organization.

b) If a tenant has made unauthorized investments in the construction, upgrades, expansions, or renovations of structures on the leased land, the tenant shall be responsible for demolishing the unauthorized structures or transferring, without compensation, the entire house and structures attached to the land (including any portions constructed, upgraded, expanded, or renovated) to the housing management organization upon termination of the lease contract. The tenant shall bear all costs associated with the unauthorized construction, upgrades, expansions, or renovations and shall not be entitled to any deductions from the lease payments.

7. Handling of properties used as residences before the effective date:

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b) Properties used as residences from January 19, 2007, or that do not meet the conditions specified in Point a of this Clause, shall be reclaimed in accordance with the law on the management and use of public property and shall be managed, used, and utilized in accordance with the provisions of this Decree.

8. In cases where properties were managed and leased by other agencies, organizations, units, or enterprises before the effective date of this Decree and are now assigned to a housing management organization for management and utilization in accordance with the provisions of this Decree, the housing management organization shall inherit all rights and obligations of those agencies, organizations, units, or enterprises.

9. For management, use, and utilization costs incurred before the effective date of this Decree but have not yet been budgeted, used, or settled, a supplementary budget shall be prepared and settled in accordance with the provisions of this Decree, along with the 2024 settlement.

10. For revenues generated from the utilization of properties before the effective date of this Decree that have not yet been used or paid into the state budget, the agencies, organizations, units, or enterprises currently managing and using such funds shall pay them into the state budget within 30 days from the effective date of this Decree.

Article 32. Entry in force and responsibilities for implementation

1. This Decree comes into force as of October 15, 2024.

2. Agencies, organizations, units, and other entities that have digital signatures and meet the technical and technological infrastructure requirements for sending and receiving electronic documents may submit electronic applications and receive processing results through the national document interconnection platform when performing procedures prescribed in this Decree.

In cases where procedures prescribed in this Decree require multiple steps, the original copies as required for each procedure shall be retained by the competent decision-making authority or the authority of the decision-maker, while other agencies shall retain copies. If electronic documents are submitted instead of physical documents, the agency preparing the dossier shall print copies from the original electronic documents for the purpose of creating and submitting the dossier. Copies as prescribed in this Decree shall be uncertified copies.

3. District-level People's Committees shall have the following responsibilities:

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b) Delegating tasks and responsibilities to relevant specialized agencies under the Province-level People’s Committee to assist the Province-level People’s Committee in performing its function as the representative of the owner and in the unified management of properties assigned to housing management organizations for management and utilization in accordance with this Decree.

c) Directing the implementation of a reporting system on the management and utilization of properties assigned to housing management organizations.

d) Directing the regular inspection and audit to ensure full compliance with the provisions of this Decree and relevant laws, and to prevent the loss or waste of properties under management.

dd) Performing other duties, powers, and responsibilities as prescribed in this Decree and relevant laws.

4. If any legal documents cited in this Decree are amended, supplemented, or replaced by other legal documents, the provisions of the amended, supplemented, or replaced documents shall prevail.

5. The Minister, heads of ministerial-level agencies, Governmental agencies, other central-level agencies, heads or legal representatives of housing management organizations, Chairpersons of People's Committees of provinces and centrally-affiliated cities, and relevant agencies, organizations, units, enterprises, and individuals shall implement this Decree./.