VietNamNet Bridge – Deputy general director of Vietnam Television (VTV) Nguyen Thanh Luong has confirmed the government has allowed VTV and two of its partners, the State Capital Investment Corporation (SCIC) and BRG Group, to set up the Vietnam TV Tower JSC.
Once the TV tower is built in Vietnam, it will be the tallest in the world, even taller than Japan’s Tokyo Skytree with the height of 634 meters.The news about the highest TV tower in Vietnam first appeared in local newspapers in May 2015 and the public replied with sarcastic remarks like “Vietnam is a poor country, but it always wants luxurious things”. Some people commented that with the TV tower project, VTV wants to jump into the real estate sector. In reply, Luong said the TV tower project aims at many different purposes, including business. In principle, investors only develop projects when they believe they can recover capital and gain benefits. The ‘benefits’, according to Luong, include profit for investors and benefit for the state budget.
“Investors want to make money with the project. Meanwhile, the State will have big source of revenue from the services to be provided once the complex is completed,” Luong said. VTV wants the TV tower to be built in the central area of the Tay Ho Tay (West West Lake) Urban Area in Co Nhue Ward of Bac Tu Liem district in Hanoi. It is expected to cover an area of 14.1 hectares. VTV, SCIC and BRG have agreed to hire Nikken Sekkei to build up the pre-feasibility study report. It is expected that two investment plans would be drawn up and submitted to the Prime Minister and relevant ministries for approval. Under the second plan, the building density would be 40-50 percent, which is higher than that suggested in the first plan (35-40 percent) with 600,000 square meters for high-end apartments against 300,000 square meters. The floor area ratio (FAR) would also be higher – 6.6 vs 3.76. VTV has asked for a lot of preferences, including investment incentives only offered to especially difficult areas. VTV has also asked for the highest possible tax incentives, including corporate income tax exemption for the first four years, a 50 percent tax reduction for the next nine years and a 10 percent tax rate for the remaining years. SCIC and BRG both are powerful businesses in Vietnam. SCIC is a state-owned corporation which specializes in making investment in businesses with the state’s money.BRG is well known for its large affairs of acquiring large land plots in Hanoi, a 5-star hotel Hilton Hanoi Opera in 2012 and Thang Loi Hotel in 2015.