How to obtain land in Vietnam

In Vietnam, private ownership over land is not permitted.  Instead, a foreign- invested company may acquire land use rights (“LURs”) through one of the following ways:

1. Land allocation - according to which the State allocates LURs to land users with a land use fee. Land allocation is only available to investors in residential housing projects and infrastructure project in cemeteries.

2. Land lease - according to which the State and the relevant land user will enter into a land lease, in which the land users must pay land rental to the State (in lump sum or annually as chosen by the land user).

3. Lease or sub-lease agreement with the developer in an industrial zone, an industrial cluster, a processing zone, a high tech zone or in an economic zone  (normally with the right to use the  infrastructure within the industrial zone)

4. Receipt of the LURs as a result of transfer of LURs from a LURs user or a capital contribution agreement with an existing land user whereby the existing land user will contribute capital in the form of land use rights.