TAN BINH INDUSTRIAL PARK

Tan Binh Industrial Park (IP) is a project of Tan Binh Import Export Corp. (Tanimex) and operates under the management of HCM City Export Processing Zone and Industrial Park Authority (HEPZA).

1. LOCATION

Tan Binh Industrial Park has a planned area of 133.53 hectares, including 91.05 hectares for industrial land, 14.13 hectares for auxiliaries, warehouses and workshops, 19.84 hectares for transport, and 8.51 hectares for shade trees.

The only urban industrial park nearing important gateways of HCM City such as Tan Son Nhat Airport, Hoa Hung Railway Station and Saigon Port, Tan Binh Industrial Park has good load bearing capacity of 1.25kg/cm2 and a smooth terrain, favorable for industrial constructions.

2. INFRASTRUCTURE

a) Transport

Internal roads are asphalted, 16 - 32m wide and have a capacity of 30 tons. They Iink directly with outside roads such as National Highway 1A (beltway) and National Highway 22.

National Highway IA (belt highway) links HCM City with eastern and western provinces of South Vietnam. National Highway 22 - Trans Asia Highway leads to neighboring countries such as Cambodia, Thailand, and Laos.

b) Communication

The industrial park uses the HCM City \'s system of optical fiber cable lines.

c) Utilities

Power supply system: there are two main power sources:
- Tan Binh 1 Station with a capacity of 110/22kV and two 40M VA generators.
- Hoc Mon and Vinatexco power lines from the 110/15kV Ba Queo Station.

Water supply system:
- HCM City Underground Water Exploitation and Treatment Company with a capacity of 50,000 cu. m per day
- The underground water exploitation station of Tan Binh Industrial Park with a capacity of 6,000 cu. m per day

Waste water treatment system with a capacity of 6,000 cu. m per day.

3. BUSINESS FIELDS (VAT EXCLUDED)

a) Land leasing

Leasing term: at least 20 years or 45 years at most. The minimum area of leased land: 3,000 sq. m. Land rents depend on the leasing term and the time the tenant contacts the proprietor (currently USD 55-60/ sq. m/45 years).

Method of payment: The tenant pays a 5% deposit after signing a memorandum of un­derstanding on the location and the rent. Later, the tenant will choose either method of payment to sign the land lease contract:
- Instant full payment
- Prepay 40% after signing the lease and pay the remaining 60% within six years at an in­ terest rate of 10% per year

b) Leasing ready built premises

The leasing term is at least five years and the minimum leasing area is 900 sq. m. The leasing prices are USD 2/sq. m/month for premises and USD 3/sq. m/month for offices. Method of payment: make a six-month deposit and pay the rent monthly.

c) Other fees
- Public utility fee: USD 0.5/ sq. m/year
- Infrastructure maintenance fee: USD 4.3/sq. m/year
- Water price: VND 3,200/cu. m

4.INVESTMENT INCENTIVES AND SUPPORT SERVICES

a) Incentives

Local investors are granted the long-term land use rights. Foreign investors can lease land for 45 years. Free consulting on preparing investment formalities.

b) Services
- Providing industrial meals, accommodations, and hygiene services
- Supplying fuels
- Providing consulting on design and undertaking constructions
- Acting as an insurance agent

5. INVESTMENT ATTRACTION
- A total of 94 projects have been licensed to operate in Tan Binh Industrial Park. Most of them are involved in the fields of plastics, packaging, foods, garments, glass, ceramics, industrial electricity, household goods, and mechanics.
- The leased area is 63.9 hectares, 74.4% of the land for lease .
- Ready built premises and offices have all been leased.