You are using an outdated browser and your browsing experience will not be optimal. Please update to the latest version of Microsoft Edge, Google Chrome or Mozilla Firefox. Install Microsoft Edge

December 25, 2025

Vietnam Addresses Land Law Implementation Challenges

Subscribe to Updates

On December 11, 2025, Vietnam’s National Assembly issued Resolution No. 254/2025/QH15 (Resolution No. 254) to address practical difficulties encountered in implementing the Law on Land 2024. The resolution provides specific mechanisms and policies to resolve issues related to land allocation, land leasing, and conversion of land-use purposes, while also addressing land valuation principles, timing of information collection, and land valuation methods. The resolution takes effect on January 1, 2026.

Key provisions affecting investors are discussed below.

Land Use Terms for Transferred Investment Projects

The National Assembly has addressed situations where the remaining term of a transferred investment project is insufficient for the transferee’s business or financial plans. Resolution No. 254, along with the Law on Investment 2025, introduces aligned regulatory solutions.

Under the Law on Investment 2025 (4th version submitted to the National Assembly for promulgation), if an investment project implemented prior to March 1, 2026, has been transferred and the transferor holds a Land Use Rights Certificate, has fulfilled all land-related financial obligations, and is not subject to termination, the competent authority may determine a new operating term if the remaining operating term does not meet the transferee investor’s financial or business plan. This adjustment occurs when approving or adjusting the investment policy or issuing or amending the investment registration certificate. The revised operating term is calculated from the date of the approval or issuance and must not exceed the statutory maximum of 70 years for projects in economic zones and 50 years for projects outside economic zones.

Resolution No. 254 also permits adjustment of the land use term for transferred investment projects involving land, provided that the transferee investor pays additional land rent in accordance with applicable law, thereby ensuring consistency with the Law on Investment 2025.

Land Rent Payment Options

Resolution No. 254 generally expands the right to choose the form of land lease beyond the three specific cases in the Law on Land 2024 that allow a one-time payment of land rent for the entire lease term. Land users may now opt for either a one-time payment of land rent for the entire lease term or an annual payment of land rent, except where (1) public service units allocated land by the state without land use fee collection seek to use part or all of the allocated land area for production, business, or service provision, or (2) investments use land managed by state organizations.

Additional Circumstances for State Land Recovery

The Law on Land 2024 provides for 31 cases in which the state may recover land for socioeconomic development in the national or public interest. However, practice has revealed additional circumstances where land recovery mechanisms for such purposes are necessary to expedite investment implementation. Accordingly, Resolution No. 254 provides three additional cases in which the state may recover land for socioeconomic development in the national or public interest:

  • Projects in free trade zones and international financial centers. The development of free trade zones and international financial centers is a key national priority, yet the Law on Land 2024 lacks provisions on land recovery for projects in these areas, creating practical implementation challenges. Accordingly, permitting land recovery for such projects is necessary to institutionalize state policies and provide a coherent legal basis for their effective implementation.
  • Land compensation and clearance. Where land is used for project implementation through agreements on land use rights transfers, if the deadline for reaching an agreement has expired and agreements have been reached for more than 75% of the total land area and more than 75% of the land users, the provincial-level People’s Council may consider and approve the recovery of the remaining land area for allocation or lease to an investor. In practice, projects are often stalled when investors have secured most, but not all, required land through agreements. Accordingly, Resolution No. 254 provides a mechanism to support site clearance and ensure timely project implementation when the majority of land users have consented.
  • Land funds for build-transfer contracts. Resolution No. 254 allows for the creation of land funds to pay for projects implemented under build-transfer contracts, and for leasing land to continue production and business activities in cases where organizations are using land that is recovered by the state. This provision is necessary to complete the legal framework and facilitate infrastructure development under public-private partnerships.

Application of Land Price Lists

Under the Law on Land 2024, the land price list is primarily used to determine land-related financial obligations of households and individuals, while specific land prices are applied to determine land-related financial obligations of enterprises implementing investment projects when the state allocates land with a land use fee or leases land with a one-time rental payment for the entire lease term. However, Resolution No. 254 provides for broader application of the land price list, making it the basis for determining land-related financial obligations of all entities (individuals and enterprises) when the state grants land use rights and in other cases where land-related financial obligations arise, except for some limited cases.

Applying the land price list in lieu of specific land prices enhances transparency, simplifies calculation, and addresses valuation bottlenecks where comparable data, planning clarity, or technical information is lacking.

Outlook

Resolution No. 254 introduces measures that aim to address difficulties and bottlenecks encountered by investors in the implementation of the Law on Land 2024, while creating momentum for national development and supporting the business activities of enterprises and individuals. Investors and private sector entities should proactively review their land acquisition strategies and ensure compliance with the updated regulatory framework to mitigate risks and capitalize on new avenues for project development.

Related Professionals

Practices

Real Estate

Location

RELATED INSIGHTS​ 

November 28, 2025
On November 26, 2025, the government of Vietnam issued Resolution No. 8/2025/NQ-CP to extend and expand the pilot program allowing Vietnamese citizens who meet certain conditions to gamble at three integrated casino resorts in Vietnam: Corona Resorts & Casino Phu Quoc (An Giang Province) – Effective immediately, and continuing an ongoing pilot program that started in 2019. The Grand Casino Ho Tram (Ho Chi Minh City) – New pilot program for five years starting November 26, 2025. Van Don Integrated Casino & Tourism Complex (Quang Ninh Province) – New pilot program for five years from the date the casino receives its license. The pilot program was originally established under Decree No. 03/2017/ND-CP on casino business, which also sets out the specific eligibility conditions for Vietnamese citizens. After the pilot period, these projects must stop allowing Vietnamese players until the government issues further decisions. This expansion of the pilot program comes after Vietnam’s Ministry of Finance (MOF) released a draft decree earlier this year proposing significant changes to the regulatory framework governing casino operations. These revisions, which focus on increasing fiscal contributions from local players and strengthening compliance obligations for casino operators nationwide, are detailed below. Proposed Increase in Casino Entry Fees for Vietnamese Players The draft decree increases the entry fees applicable to Vietnamese citizens permitted to play at casinos. Under the current regulations, Vietnamese players are required to pay an entry fee of VND 1 million (approx. USD 38) for 24 consecutive hours or VND 25 million (approx. USD 950) per month. The draft decree proposes increasing these fees to VND 2.5 million (approx. USD 95) for 24 consecutive hours and VND 50 million (approx. USD 1,900) per month, effectively doubling the existing amounts and marking the first major fee revision since the pilot program allowing Vietnamese players
Read More
November 21, 2025
On November 17, 2025, Thailand’s Ministry of Interior introduced significant regulatory changes to make rooftop solar adoption easier and more cost-effective for property owners. Ministerial Regulation No. 72 B.E. 2568 (2025), issued under the Building Control Act B.E. 2522 (1979), was published in the Government Gazette on November 19, 2025, with immediate effect. Background Under the Building Control Act (BCA), any alteration made to a building requires either notification of the relevant authority or application for a building alteration permit—unless the alteration falls under a separate list of exceptions specified in the ministerial regulations issued under the BCA. In 2015, installation of solar rooftops on any residential building under 160 square meters was added to this list of exceptions, subject to inspection and notification requirements. The newly enacted regulation now eliminates many of these requirements and introduces a broader and more permissive framework to promote solar adoption nationwide. Key Changes Specifically, the regulation introduces three major changes: Expanded exemption from the definition of “building alteration”: The installation of solar panels on any building roof—regardless of the type of building or the total area of the installation—is no longer considered a building alteration under the BCA, provided that the total weight of the installation does not exceed 20 kg/m2. Removal of structural integrity certification requirement: The new regulation eliminates the obligation to obtain a structural stability certificate from a licensed civil engineer. Removal of notification requirement: Property owners or possessors are no longer required to notify the local authority before installation of a solar rooftop. Impact This significant streamlining of requirements for solar rooftop installation is expected to accelerate the adoption of renewable energy in the country, particularly for residential and commercial properties—similar to the way Thailand’s December 2024 removal of licensing requirements for factory solar rooftop installations encouraged such
Read More
November 14, 2025
Interest in data center land acquisition has increased significantly over the past year, with a notable rise in inquiries from investors seeking to establish digital infrastructure in Thailand. Although the sector is still in its early stages, this emerging wave of development represents a significant shift in Thailand’s technology infrastructure landscape, driven primarily by multinational technology companies and operators looking to expand their regional presence. Project Development The data center sector in Thailand is attracting a diverse range of international investors, though with clear geographic patterns. Most investors are from China, Singapore, and Japan, with some additional interest from countries outside Asia, including the United States and Europe. This investor base consists primarily of multinational tech companies and operators seeking to establish new facilities rather than acquire existing assets. Data center business activities are also a sector promoted by Thailand’s Board of Investment (BOI), which offers investors both tax and nontax privileges as well as exemptions to foreign investment and land-ownership restrictions. Projects currently underway are still largely in the land acquisition and construction phase. Unlike more mature markets where many facilities are operational and generating revenue, the predominant focus in Thailand remains on securing suitable land and beginning the building process. This means that while interest is high and land assembly is accelerating, the sector as a whole has not yet reached the operational phase that will ultimately drive licensing applications and full regulatory compliance. The licensing process itself remains at an early stage, as most projects must first complete their facilities before applying for the specific licenses required from the telecommunications authority. Once the facilities are built, the next critical step will be obtaining these telecommunications licenses, which are mandatory for data center operations. Legal and Regulatory Considerations The complexity of data center development in Thailand requires
Read More
November 13, 2025
The Land Department in Thailand’s Ministry of the Interior (MOI) plays a central role in ensuring the stability and legality of real estate transactions in the country. Its core responsibilities include issuing land title deeds, registering transactions (e.g., sales, mortgages, leases), conducting surveys for subdivision or consolidation of land, and providing information and guidance on land and property development laws. These administrative functions secure investor confidence and support transparency in the Thai property market, so any delay can have a significant impact. This is especially true for investors who depend on timely registration to secure or transfer property rights. Delays can create liquidity risks, postpone project timelines, and even reduce Thailand’s attractiveness as a real estate investment destination. This article explores the nature of these challenges, the legal framework governing the timelines for administrative actions, and remedies available under Thai law. Sources of Delay Procedural delays at land offices can arise for a variety of structural and operational reasons. These include approval processes that require several levels of internal review, heavy staff workloads, and occasional communication gaps within the bureaucratic chain. Many processes still rely upon manual documentation, which can prolong administrative steps and increase the likelihood of bottlenecks. Some delays stem from ongoing investigations into the legality of land titles. For example, a land title deed may have an annotation indicating that the title deed is under investigation to verify its legality. Even though this annotation does not legally prohibit the sale or transfer of the land, in practice, most prospective purchasers are reluctant to proceed with a transaction until the annotation is removed. As a result, the land can become effectively illiquid during the investigation period, leading to significant investment delays. While such investigations are essential to maintaining the integrity of Thailand’s land registration system, prolonged inquiries
Read More