Vingroup Gets Land for $1.5B Urban Project in Northern Vietnam

The Northwest New Urban Area, located in Bac Ninh Province, 40 kilometers northeast of Hanoi, includes 50 hectares approved for the construction of villas, townhouses, and apartment towers, and the rest for public infrastructure such as sports facilities, roads, and green spaces. The consortium is required to lease the 50 hectares it plans to develop housing but does not have to pay for the remaining space, only needing to hand it over to local authorities after completing the public infrastructure. Vingroup, Vietnam's largest listed company, is controlled by Pham Nhat Vuong, the richest man in Southeast Asia with a net worth of $34.5 billion, ranking 62nd globally.

This is the first land allocation in the Northwest New Urban Area, which will eventually cover 270 hectares, of which 60 will be used for residential construction, including nearly 3,500 villas, townhouses and apartment buildings of up to 35 stories. The project will also have 9.5 hectares for social housing. One of the northern region's major industrial hubs, Bac Ninh benefits from its location within the Hanoi-Hai Phong-Quang Ninh key economic triangle and serves as a northeastern gateway to the capital.

In recent years, Bac Ninh has been among the markets seeing strong development across multiple real estate segments like housing, urban areas, and industrial parks. On Monday, the National Assembly gave approval for Bac Ninh to become a centrally administered city on Sep. 20 along with Quang Ninh on the China border, bringing the total number of such cities to seven, including Hanoi and HCMC.