Ho Chi Minh City Plans Transit-Oriented Development
Ho Chi Minh City is outlining a new urban development roadmap aimed at driving double-digit growth. The strategy is anchored in the development of urban railways and free trade zones, offering an international case study in large-scale, transit-oriented economic and spatial planning.
- The city's master plan identifies approximately 60,000 hectares for transit-oriented development (TOD), with a focus on areas around forthcoming metro stations and major roadways like Beltway No. 3. This land includes 32,000 hectares of agricultural or vacant land and 23,000 hectares in urban renewal zones. - A key pilot for this strategy is the development along Metro Line 2 (Ben Thanh - Tham Luong), which will see integrated planning for residential complexes, offices, and commercial areas within a 1km radius of its 12 stations and depot. - The urban railway network is planned to be the "backbone" of the city's public transport. The city aims to complete seven metro lines totaling 355 km by 2035, with an investment of over $40 billion, and expand the network to 510 km by 2045. - This transit expansion is a core component of the city's revised master plan (to 2040, with a vision to 2060), which divides the metropolis into six functional zones, including a central administrative and financial hub, an eastern innovation zone in Thu Duc City, and a southern water-based ecological city. - The development plan is occurring in a city highly vulnerable to climate change, particularly urban flooding due to its low-lying delta location. Past collaboration with Rotterdam has informed a climate adaptation strategy that includes creating smart urban density and improving drainage and water storage systems. - Ho Chi Minh City is actively seeking foreign direct investment (FDI) to realize these ambitious plans, with a goal of attracting approximately $174 billion in development capital between 2025 and 2030. In the first half of 2025 alone, the city attracted $2.7 billion in new FDI projects. - To accelerate these projects, Vietnam's National Assembly passed Resolution 188/2025/QH15, which provides special mechanisms to streamline investment procedures and enhance funding for urban railway development in both Ho Chi Minh City and Hanoi. - The city's first metro line, the Ben Thanh–Suối Tiên route, began commercial operation in December 2024 after 12 years of construction and now serves over 55,000 passengers daily. However, its official construction completion deadline has been extended to late 2026 to address technical issues.
