The Rise of Bình Dương’s First Metro Line

In its transportation system development plan, Binh Duong is adopting the TOD (Transit-Oriented Development) model to establish a modern distributed transportation system, opening up urban development space and improving its residents’ quality of life. The prospect of developing the Metro TOD connection in Binh Duong offers numerous development opportunities for the province in the coming years, especially in the belt surrounding the metro stations.

According to the Director of the Binh Duong Province Department of Construction, the feasibility reports for the Metro Line 1 connecting the new city of Binh Duong and Suoi Tien (Ho Chi Minh City) are being urgently finalized, incorporating experts’ and provincial leaders’ feedback. The project is expected to be submitted to the National Assembly for investment policy approval soon.

The project’s starting point is the S1 station in the center of the new city of Binh Duong (Hoa Phu Ward, Thu Dau Mot City), and the endpoint is the Suoi Tien Bus Station of Ho Chi Minh City’s Metro Line 1. The total length of the line is 32.43 km, including a 29.01 km main line and a 3.42 km Depot connection.

Binh Duong’s first Metro Line 1 will pass through four cities: Tan Uyen, Thu Dau Mot, Thuan An, and Di An, with 19 stations and a Depot in Phu Chanh Ward, Tan Uyen City. The maximum speed of the line will be 120 km/hour, and the total investment is estimated at VND 64,370 billion. The project is expected to commence construction in 2027 and be completed and operational by 2031.

Two investment options are being considered: Option 1 involves a full public investment in the 32.43 km line, while Option 2 proposes a public investment from the A1 roundabout to Suoi Tien (29.01 km), excluding the Depot in Phu Chanh Ward, Tan Uyen City, reducing the investment cost by approximately VND 8,000 billion. However, many experts emphasize the importance of developing Depots for metro lines, as they are crucial for maintenance and repair operations.

Investing in Metro Line 1 and subsequent lines will enhance Binh Duong’s transportation connectivity, especially with Ho Chi Minh City, alleviating the current road traffic pressure. It will provide convenient and rapid mobility for commuters between the key areas of Binh Duong and Ho Chi Minh City.

Additionally, developing the metro following the TOD model will boost socio-economic development, creating integrated urban areas around the stations and expanding the development space. Studies and practices in developed countries with metro systems demonstrate that the TOD model contributes to increasing property values and presents attractive investment opportunities for investors. Developing the metro also helps reduce environmental pollution and traffic congestion while promoting sustainable urban development. Moreover, connecting future metro lines will transform the province’s landscape, bringing numerous benefits and improving the quality of life for its residents.

The recent operation of Ho Chi Minh City’s Metro Line 1 has significantly impacted the real estate market along the route. The rapid travel speed and new regulations in the road traffic law have influenced commuters’ choices of transportation and, consequently, their residential preferences. This has led to increased attention to real estate projects near the metro line. The future connection of Binh Duong’s metro line with Ho Chi Minh City is expected to further enhance the appeal of real estate projects located close to the route. In the future, the travel time between real estate projects in Binh Duong and the center of Ho Chi Minh City will be significantly reduced. The potential for price appreciation has already attracted many investors back to the areas surrounding the metro line to ride the upcoming wave.

Observations indicate that some affordable apartment projects in Di An City, Binh Duong, have recently shown positive signals due to infrastructure development information, credit packages for first-time young homebuyers, and merger news. For instance, after the Tet holiday, there has been renewed interest in Phu Dong SkyOne, an apartment project by Phu Dong Group. The number of visitors to the project has noticeably increased. In the future, when Binh Duong’s first metro line is operational, this project will be located about 1 km from the metro station, making it even faster to reach District 1 of Ho Chi Minh City than from some western districts of the city.

In addition to competitive unit prices, averaging VND 32 million/m2, the project also offers the most attractive payment policy in the market. Specifically, for an apartment priced at VND 1.8 billion, buyers only need to pay 10% of the value (equivalent to VND 180 million) until the handover. During this period, the developer will support 100% of the interest and principal grace period for 24 months. Two years later, buyers will pay an additional 35% to receive the apartment and move in. The remaining 50% of the apartment value can be financed by the bank over 30 years, with a light monthly payment of about VND 9 million. If buyers choose not to apply for a loan, they will contribute only from VND 9 million/month. With this method, buyers do not need to apply for a bank loan or make any deposit at the beginning; the payments are gradually deducted from the total value of the apartment.

In a recent analysis, Mr. Dinh Minh Tuan, Director of Batdongsan.com.vn in the Southern region, highlighted the impact of the TOD public transport model on the real estate market. According to Mr. Tuan, the core of TOD – Transit-Oriented Development – is planning, zoning, and building functional communities. Some TOD areas located in the outskirts and lacking amenities may suddenly become focal points once the metro lines become operational and auxiliary projects are completed, such as the intersections with Ring Road 3, HCMLT Road, Tan Van, Binh Chuan, Provincial Road 10, Trung Luong, and Ben Luc Long Thanh. “The opportunity for real estate price increases around the metro line is definite, as data from Batdongsan has shown a 17 to 21% increase in apartment prices in the area around the 2A Cat Linh Ha Dong line in Hanoi,” emphasized Mr. Tuan.

According to the provincial planning for the 2021-2030 period, with a vision towards 2050, Binh Duong is focusing its resources on investing in, upgrading, and expanding its transportation network to alleviate traffic congestion on critical routes, thereby driving the province’s socio-economic development.

Additionally, the future development of BRT (Bus Rapid Transit) and LRT (Light Rail Transit) lines will form a comprehensive transportation network that will complement the metro lines effectively. The province’s Metro TOD model will be integrated with urban rail lines connecting Ho Chi Minh City, Dong Nai, and Ho Chi Minh City’s Ring Roads 3 and 4, creating a driving force for socio-economic development, especially in inter-regional connectivity.