REAL ESTATE BOOMS IN HCM CITY’S EAST AS INNOVATION CITY TAKES SHAPE

HCM City’s plan to establish Thủ Đức City by merging districts 2, 9 and Thủ Đức has caused property prices in the three eastern districts to increase sharply.

The prices of some existing apartments on Đồng Văn Cống Street and Hà Nội Highway in District 2 have increased by nearly VNĐ300-400 million (US$12,944-17,259) each since early 2020.

Many projects in District 9 such as Him Lam Phú An and Jamila Khang Điền have seen prices increase to VNĐ37-40 million ($1,596-1,725) per square metre from VNĐ30-35 million ($1,294-1,510) last year.

Others such as Safira Khang Điền, Saigon Gateway and Hausneo have gone up from VNĐ27-30 million to VNĐ35-37 million.

Prices at Vinhomes Grand Park have increased from VNĐ30-38 million late last year to VNĐ35-45 million now.

Metro Star in District 9 increased to VNĐ45 million in the second phase of sale, up VNĐ10 million from the first.

According to a survey conducted by Chợ Tốt online real estate platform, apartment prices in the three eastern districts have increased by 18 per cent compared to April.

Most of the city’s key transportation projects like the Hà Nội Highway, Saigon River Tunnel, HCM City-Long Thành-Dầu Giây expressway, and Metro Line No1 pass through the east.

Besides, a series of further transportation projects are planned such as the Thủ Đức bridge to the Thanh Đa peninsula in Bình Thạnh District, Ring Roads No. 2 and 3 that will link the entire eastern area and the Cát Lái Bridge connecting District 2 with Nhơn Trạch District in Đồng Nai.

According to industry experts, as the gateway connecting the ‘golden’ economic triangle of Bình Dương-Đồng Nai-HCM City, the city’s eastern part has been the leading real estate location for years.

The establishment of the new city would make the market there even more attractive, they said.

Ngô Quang Phúc, general director of Phú Đông Group, said developing Thủ Đức City into an innovation and hi-tech town associated with modernisation and digitalisation would make the east a “promising land” for young people and technocrats, and so developers would focus on smart housing there.  

Nguyễn Thị Thanh Hương, general director of Đại Phúc Land, said the establishment of the innovation city would create more jobs, increase housing demand and attract domestic and foreign investment.

“Domestic and foreign investors always look for investment opportunities in both the short and long terms. The establishment of the eastern city envisaged as an innovation town and a new economic development hub will attract investments and create a driving force for the development of this area.

“Thus, real estate prices will also go up, with major projects that are well planned and offer the quality of life for residents having a great advantage in the market."

Source: VNS