MIK Group withdraws from Hanoi's $32.49 bln Red River Scenic Boulevard project after groundbreaking ceremony

Vietnam’s MIK Group has asked to withdraw from the Red River Scenic Boulevard project in Hanoi and transfer all of its rights and obligations in the investor consortium to Dai Quang Minh Real Estate Investment JSC.

In a document sent to the Hanoi municipal government on Thursday, MIK Group said it wants to exit the consortium implementing this gigantic project.

The company noted that its withdrawal would not affect the project’s progress or quality as the remaining consortium members are among Vietnam’s leading conglomerates, with strong financial capacity and experience in delivering major projects nationwide.

MIK Group said it had reached a consensus with Dai Quang Minh and other consortium members to withdraw and transfer its rights and obligations to Dai Quang Minh, the consortium’s lead member.

The Red River Scenic Boulevard is considered a flagship project for Hanoi, with a large scale and multiple components spanning urban planning, land use, redevelopment and landscape construction, the company said.

MIK Group added that its decision to exit and transfer its capital contribution to Dai Quang Minh was necessary to facilitate more efficient management and implementation of the project in the next phase.

Following the withdrawal, the company said it would refocus on its core business of developing large-scale, high-quality urban and residential projects in key metropolitan areas, with integrated infrastructure and amenities aimed at long-term, sustainable growth.

Earlier on the same day, Deo Ca Group, a major Vietnamese infrastructure developer, said it has decided to withdraw from participation in the project, despite being among the first companies to help bring the long-delayed scheme off the drawing board.

Ho Minh Hoang, chairman of Deo Ca Group, said the project is vast in scale and involves multiple components, ranging from urban planning and land use to resettlement, redevelopment, and landscape construction - areas that fall outside the group’s core strengths.

The Red River Scenic Boulevard project was initially proposed in early 2025 by a consortium led by Deo Ca Group and Van Phu Invest, which was later recognized in written by Hanoi authorities as the two core legal entities collaborating on the development.

Under the consortium’s proposal, the project aimed to build a road corridor along both banks of the Red River from Hong Ha Bridge to Me So Bridge, spanning about 40 km, with connections to inland waterway transport.

The proposed total investment was capped at more than VND348 trillion ($13.22 billion), to be implemented under a build-transfer (BT) model across a study area of roughly 11,000 hectares.

Last Friday, the project was launched alongside 234 other national key projects. Under the revised plan, the Red River Scenic Boulevard now carries a preliminary investment estimate of VND855 trillion ($32.49 billion) and will be implemented under a public-private partnership (PPP) model.

The project is scheduled to be completed and inaugurated on the occasion of the 100th founding anniversary of the CPV (February 3, 1930-2030).

At the launch ceremony, authorities announced a new investment consortium comprising Dai Quang Minh Real Estate Investment Corporation, Van Phu Real Estate Development JSC, MIK Group Vietnam JSC, Truong Hai Group (Thaco), T&T Group, and Hoa Phat Group, which said the project would be developed in an integrated and large-scale manner.

Stretching along the Red River from Hong Ha Bridge to Me So Bridge, the project covers roughly 11,000 hectares across 19 communes and wards within Hanoi’s administrative boundaries.

The complex includes an 80km main traffic artery, approximately 3,300 hectares of landscaped parks and recreational areas, and about 2,100 hectares for urban redevelopment.