Source: JLL Vietnam Research

Initially, the concept of Transit-Oriented Development (TOD) – which emphasises urban development connected to public transportation stations within a 1km walking distance - gained limited traction in Vietnam. Residents in Vietnam's major cities historically prioritised road connectivity to city centres via personal vehicles rather than public transit options. However, this perspective has undergone a significant transformation in recent years, coinciding with the completion of long-delayed metro projects that began operations in November 2021 (Hanoi) and December 2024 (HCMC).

Developments within a 10-minute walking distance of metro stations have experienced substantial price appreciation following the commencement of metro operations—approximately USD 200-250 per square meter over a one-year period. This translates to annual growth rates of 8% for metro-adjacent properties compared to 4% for the broader market in HCMC during 1H24-1H25. In Hanoi, the differential was even more pronounced, with metro-adjacent projects appreciating by 19% versus the market average of 12% during 4Q21-4Q22.

Figure 2: Apartment price trajectory of developments along first metro lines in HCMC and Hanoi (2012-H125)