Riverfront Properties Beyond the Dyke ‘Frozen’, Construction Halted Over Concerns of Conflicting with Hong River Scenic Avenue Plans

On December 19th, Hanoi City launched the groundbreaking ceremony for the Hong River Scenic Boulevard project—a strategically significant initiative vital for the capital’s long-term development.

According to the planning guidelines, the Hong River Scenic Boulevard project has a preliminary investment of approximately VND 855 trillion, implemented through a public-private partnership (PPP). The project spans an area of about 11,000 hectares, stretching from Hong Ha Bridge to Me So Bridge, encompassing 19 wards and communes within Hanoi.

Since the announcement of the project’s commencement, residents of Hong Ha Ward have been living in uncertainty. Mrs. Nguyen Minh Thu, a resident of Dam Trau housing area, expressed her family’s anxiety as the planned route may pass through their neighborhood. “We’ve lived here for 20 years, being the first urban area developed outside the Hong River dyke. Suddenly, this planning leaves us unsure of our future, with limited information available online,” she shared.

Similarly, residents of F361 An Duong housing area in Hong Ha Ward face comparable concerns. Mr. Nguyen Manh Hung, 66, mentioned his plans to rebuild his deteriorating house were halted due to the project’s announcement. Despite the project’s commencement, unclear details have led many residents to postpone home renovation plans.

A member of Hong Ha Ward’s construction team confirmed numerous inquiries from residents regarding the boulevard’s planning for construction permits. Many households have paused construction despite having permits, awaiting detailed plans. Some ongoing constructions continue to completion for the upcoming Tet holiday. “We lack detailed project information to address resident concerns,” they stated.

The Hong River Scenic Boulevard project significantly impacts the outer dyke real estate market. According to Kien, a real estate agent, two factors have caused a near freeze in Hong Ha Ward’s outer dyke area. Firstly, prices have soared since early this year, with Cau Dat Street properties reaching VND 450 million/m² for roadside locations and VND 200 million/m² for alley properties. A 30m² grade-4 house on Chuong Duong Street, under a 20-year pending planning, is priced at nearly VND 6 billion despite potentially reducing to 12m² if the road plan proceeds.

The second factor, Kien notes, is the concern over being affected by the mega-project. “Clients have been inquiring about the planning for the past month, and transactions have virtually stopped due to these concerns,” he said.

A representative from Hanoi’s Department of Planning and Architecture stated they recently received the investor’s proposal and are processing plans as per regulations for submission to Hanoi People’s Committee.