Hanoi breaks ground on five metro lines, three rental housing projects

Hanoi on Sunday broke ground on five urban railway lines with a combined length of more than 303.5 km, alongside three rental housing projects that will add more than 8,300 apartments to the market.

The simultaneous launch marks the capital city's largest-ever infrastructure and social housing investment program, reflecting a shift from policy planning to implementation of major development strategies assigned by the central government.

Speaking at the ceremony, Hanoi People's Committee Chairman Vu Dai Thang said the five metro lines, with an estimated investment of over VND1,300 trillion ($49.39 billion), represent a major milestone in the capital's transport infrastructure development.

The projects comprise Metro Line 1 linking Thuong Tin district with Noi Bai International Airport via Hanoi Railway Station; Metro Line 2 connecting Noi Bai airport and Dan Hoa (a commune in the former Quoc Oai district); Metro Line 8 running from Hoa Lac to Duong Xa (a commune in the former Gia Lam district); Metro Line 10 linking the former Dong Anh district with the city center; and Metro Line 14 connecting Thang Long Bridge and Gia Lam.

The city aims to complete all five lines by 2030, integrating them with Metro Lines 3 and 5, which are already under development, to gradually establish a comprehensive public transport network across Hanoi.

City officials said the metro system would not only ease traffic congestion but also serve as strategic backbone infrastructure supporting transit-oriented development (TOD), improving land use efficiency, expanding urban growth corridors and strengthening regional connectivity.

Hanoi has appointed a consortium comprising Vinhomes and VinSpeed as the engineering, procurement and construction (EPC) contractor for all five metro lines.

The city expects the consortium to leverage its expertise and mobilize resources to deliver the projects on schedule while meeting quality and safety standards, showcasing the capabilities of Vietnamese firms in executing large-scale, high-technology infrastructure projects.

Separately, Hanoi launched three rental housing developments with a combined capacity of more than 8,300 apartments and a total investment of nearly VND34 trillion ($1.29 billion).

Two of the projects will be financed through public investment using proceeds collected from developers in lieu of social housing obligations attached to commercial housing projects.

One project, located on land plots A2, A3 and A4 within the Phap Van-Tu Hiep residential area in Yen So ward, will provide 1,176 apartments with total investment of nearly VND1.4 trillion ($53.04 million).

The second, located on part of the land designated for Hanoi's Old Quarter resettlement area in Viet Hung ward, will comprise 1,166 apartments and require investment of over VND3.56 trillion.

Meanwhile, property developer Him Lam JSC has proposed converting an information technology park project into the Him Lam Long Bien mixed-use residential development.

The project will allocate more than 11 hectares for around 6,000 apartments with total investment of about VND29 trillion ($1.1 billion), including roughly 4,000 units designated for long-term rental.

Thang praised the participation of the business community, particularly Him Lam, for adjusting its investment plans to dedicate land for rental housing, supporting Hanoi's strategy to develop a new housing segment.

"The three projects launched today are the first under Hanoi's rental housing development program and will lay the foundation for a professional rental housing market capable of meeting increasingly diverse demand," he said.

According to city officials, expanding rental housing is intended to meet accommodation needs for workers, students, civil servants and members of the armed forces, while reducing pressure on home ownership and promoting a healthier, more sustainable property market.

The city said special mechanisms under the 2026 Capital Law and resolutions passed by the National Assembly have streamlined investment procedures, including allowing land clearance to be separated into standalone projects, cutting project preparation time by at least 50%.

Thang said the simultaneous rollout of the transport and housing projects would not only address immediate development needs but also support Hanoi's long-term goal of achieving double-digit GDP growth between 2026 and 2030 while reinforcing its role as one of Vietnam's key growth engines.