A
raging dispute over apartment management fees at Keangnam Palace climaxed last
week when the developer faced heat from Hanoi authorities for cutting its
services and facilities.
Keangnam Vina stopped 10 out of 20 lifts in
the two 48-storey buildings and provided less security and cleaning services
after it had lowered management fees from VND18,843 ($0.89) per square metre
per month to only VND4,000 ($0.19) as requested by the residents.
The move has triggered strong protest from the
residents who later called on local authorities to help resolve the conflict.
Representatives from Hanoi Construction Department asked Keangnam Vina to
operate all lifts and provide full services to the residents, who later
proposed a monthly management fee of VND10,000 per sqm ($0.47). However,
Keangnam has not immediately responded to the request.
Keangnam Vina chairman Ha Jong Suk told VIR
that he proposed two options for the residents. Those who agreed to pay the
management fee of VND18,843 per sqm a month
would be served with full services, while the others who wanted to pay
only VND4,000 will be served with limited services.
Ha claimed that the city-fixed ceiling of
VND4,000 per square metre was barely enough to operate 10 elevators, let alone
other facilities. The operator’s principle is “what you give is what you get”,
so it is impossible for the residents to get the high-class services without
having to pay more.
Keangnam Vina told the residents that the
management company, Chesnut Vina, had incurred a loss of VND10 billion
($500,000) since it operated the two residential towers with 920 apartments mid
last year.
The case underlined disputes over apartment
management fees in Vietnam have not
abated as foreign developers and management companies are scratching their
heads over how to operate high-class residential buildings.
Although many other high-rise buildings in Ho
Chi Minh City are charging VND14,000-18,000 per square metre per month for
service charge, residents in Hanoi have been referring to the ceiling prices of
VND4,000 regulated by the municipal authorities.
Developers and management companies will
incur losses if they provide full
services at low fee levels regulated by Hanoi authorities. If they provide full
services at high fees, or limited services at low fees, they will further upset
their residents and local authorities.
Nguyen Hong Minh, director of Property
Management Company - a management services supplier, said he was not surprised
to see increasing disputes. Minh said
differences between culture, living habits and people’s thinking were mostly
behind the disputes.
Minh said disputes were also caused by the
lack of a synchronous legal system relating to high-rise apartment buildings.
“In other countries, they have so called
“Building Code” and ‘Public Orders” which can regulate all related activities
to high-rise apartment buildings and we in Vietnam really need it,” Minh said.
He said he was essential developers and
residents listened to each other’s point of view and had an open posture when
it came to negotiating.
He said management fees were essential to maintain
the quality of buildings and would benefit residents in the long run. Ha agreed
better communication between the parties was needed.
A management board of representative of
Keangnam Vina, Chestnut Vina and residents will be established in March to deal
with issues.
Bich Ngoc | vir.com.vn
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