HCM City prioritises development of affordable housing near workplaces, transit hubs

HCM City prioritises development of affordable housing near workplaces, transit hubs

HCM City has announced plans to develop affordable housing near Industrial Parks (IPs) and transit-oriented development (TOD) zones in an effort to meet the rising demand for affordable housing, particularly for workers and students.

A social housing project in Thủ Đức City in HCM City. HCM City plans to develop affordable housing near Industrial Parks (IPs) and transit-oriented development (TOD) zones to meet rising demand. — VNA/VNS Photo

HCM City will develop affordable housing near Industrial Parks (IPs) and transit-oriented development (TOD) zones in an effort to meet the rising demand for affordable housing, particularly for workers and students.

As part of an adjusted urban plan approved by the Prime Minister, Việt Nam’s largest economic hub is committed to allocating over 1,400 hectares of land specifically for social, affordable housing, targeting workers and students.

These housing developments will be strategically located near export processing zones, IPs, and universities. 

The goal is to create communities with essential infrastructure, social facilities, and efficient public transport, making it easier for people to commute and reducing congestion in the city.

The city will also focus on developing affordable housing in areas close to TOD areas, making commuting more accessible and sustainable with an aim to encourage residents to rely less on private vehicles.

Several areas identified for TOD development include Thủ Đức City, District 2, District 7, and District 12, along with metro stations such as Bến Thành, Tân Kiên, Linh Trung, and Long Bình.

The city also plans to create additional dormitory spaces and low-cost apartments for workers in existing industrial parks, such as Linh Trung I and Linh Trung II, Tân Tạo, and Hiệp Phước, as well as in industrial clusters in outlying districts of Củ Chi, Hóc Môn, and Bình Chánh. 

Efforts are underway to assess public land and vacant areas to facilitate these housing projects.

By 2030, HCM City aims for an average housing space of 27-30 square metres per person, increasing to 30-32 square metres by 2040. 

To achieve the goals, the city is committed to streamlining the investment procedures for social housing, categorising projects based on scale and readiness. 

Projects with more than 1,000 apartments or a large rental component will receive priority, with the aim of reducing approval times to about six months. 

Additionally, plans are being developed to offer interest rate support and tax incentives, aiming to attract businesses to participate in these housing initiatives. 

City officials have noted an urgent need for hundreds of thousands of affordable apartments to meet the demands of workers, students, and low-income families in the city. 

Nguyễn Văn Được, chairman of the municipal People’s Committee, highlighted the importance of attracting private investment through various incentives.  

“The city is committed to addressing any challenges in social housing development to meet the needs of our residents and improve living conditions, especially to retain our talented workforce,” he said.  

The Prime Minister has recently approved a national project to build at least one million affordable apartments for low-income earners and industrial workers by 2030. 

The initiative will use market mechanisms to provide housing support for low-income individuals and those in need. 

Việt Nam is currently facing a significant housing crisis, particularly in major urban centres such as HCM City and Hà Nội.  

Property prices have surged over the years, making housing unaffordable for many residents, which has been attributed to various factors, including speculation.  

The government is considering measures to mitigate speculative practices, including the possibility of taxing second homes, among others. 

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