Metro proximity boosts property prices in major cities by 5-15%: Savills Vietnam

Property prices within walking distance of metro stations in Vietnam's major cities have increased by 5-15%, according to a report by real estate agency Savills Vietnam.

In Hanoi, the average price of apartments in Cau Giay district, located within 0.5 km of stations on the operational Cau Giay-Nhon metro line, surged by 40% from Q3/2023 to Q3/2024, said the report.

In Ho Chi Minh City, the prices of apartments along the under-construction Ben Thanh-Suoi Tien metro, aka metro No.1, have increased by 35-70%. Even some apartment projects have seen prices double in 2015-2023.

For example, prices at the Masteri Thao Dien apartment project, located by metro No.1, range from VND69-75 million ($2,800-$3,050) per square meter, up from VND35-39 million per square meter in 2015.

Nguyen Thi Hong Van, associate director of valuation and advisory services at Savills Hanoi, noted that metro lines can significantly drive up property prices near stations and, more importantly, improve the quality of life for residents.

Currently, Hanoi already has two metro lines in operation: The 13-km Cat Linh-Yen Nghia and the phase-one 8.5-km Nhon-Hanoi station, which began service in November 2021 and August 2024, respectively. Hanoi aims to complete 97 km of metro lines by 2030 and 200 km by 2045.

Due to the limited availability of metro services, the rate of passengers using metro lines in Hanoi is notably low, at only 1% of the population. This rate is significantly lower compared to other major Southeast Asian cities, such as Singapore (50%), Bangkok (15%), and Kuala Lumpur (10%).