Da Nang's 'Silicon Valley' abandoned as investor awaits approval for revival

By Nguyen Dong   November 5, 2024 | 07:49 pm PT
Da Nang's ambitious "Silicon Valley" project, aimed at attracting top investors, has stood idle for five years due to delays in land certification.
Da Nang's 'Silicon Valley' abandoned as investor awaits approval for revival

The Da Nang Information Technology Park (DITP), inaugurated in March 2019 in Hoa Vang District, spans an initial 131 hectares with an investment exceeding VND1 trillion (US$39.35 million).

The investor envisions DITP as one of Asia's top IT communities, modeled after the U.S.'s Silicon Valley. Yet, after five years, the project lies dormant.

Its comprehensive infrastructure, including office buildings, rental spaces, green areas, and waterfront paths, remains largely underutilized. Stagnant water in ponds and overgrown weeds are evident throughout the premises.

Da Nang's 'Silicon Valley' abandoned as investor awaits approval for revival

The full project of two phases, set to span 341 hectares, is invested by the Da Nang IT Park Development JSC, a subsidiary of Trungnam Group, with a total investment of over VND2.74 trillion.

Da Nang's 'Silicon Valley' abandoned as investor awaits approval for revival

During the first phase inauguration, Da Nang authorities revealed that major corporations like IBM, Cisco, Intel, KDDI, Mitsui, and several technology companies from Japan, the U.S., and Singapore expressed interest in investing in the city and DITP. Despite these initial hopes, the park has yet to see any operational activities.

Da Nang's 'Silicon Valley' abandoned as investor awaits approval for revival

Office buildings along major roads are now covered in weeds and vines. According to the developer, the project remains inactive because the city has not approved separate land-use rights certificates for individual subdivisions from the total 131 hectares.

"This delay in issuing land certificates has hindered lease agreements and limited businesses' ability to raise capital for operations and manufacturing," stated a representative from the developer.

Da Nang's 'Silicon Valley' abandoned as investor awaits approval for revival

Some buildings intended for experts are accessible to the public due to minimal security, with local residents even herding cattle on the grounds.

Da Nang's 'Silicon Valley' abandoned as investor awaits approval for revival

Several villas designated for IT specialists stand unfinished, with only basic structures completed. The developer has urged the Da Nang People’s Committee to expedite land certification and facilitate financial compliance, enabling them to deliver on commitments with partners and attract more investment.

Da Nang's 'Silicon Valley' abandoned as investor awaits approval for revival

Nearby, a few completed villas are already occupied.

Da Nang's 'Silicon Valley' abandoned as investor awaits approval for revival

What's supposed to be a clubhouse.

Da Nang's 'Silicon Valley' abandoned as investor awaits approval for revival

Many factory buildings also sit empty, with adjacent unfinished constructions slowly deteriorating.

Da Nang's 'Silicon Valley' abandoned as investor awaits approval for revival

DITP includes a football field, which is the only facility in regular use.

Da Nang's 'Silicon Valley' abandoned as investor awaits approval for revival

The developer has deposited funds to Da Nang's People’s Committee for land clearance and has independently financed road connections linking the IT Park with the High-Tech Park and the Hai Van - Tuy Loan bypass, forming an integrated transportation network.

Da Nang's 'Silicon Valley' abandoned as investor awaits approval for revival

A project information board stands amid overgrown grass on abandoned land. The developer hopes the city will soon approve land allocations for the second phase, allowing comprehensive project implementation. Critical infrastructure, such as the wastewater treatment plant, power station, and other social amenities, also need to be developed in phase two to support the first phase.

Leaders from the Da Nang High-Tech Park and Industrial Zones Authority have submitted the developer's proposals to the Da Nang People’s Committee for consideration.

 
 
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