Hanoi proposes $860mn plan to redevelop Hoan Kiem Lake area

The Hanoi People’s Committee on Tuesday submitted the proposal to the municipal People’s Council seeking approval in principle for the project and the investor.

The project would be implemented under a public-private partnership arrangement using a build-transfer contract.

The proposed planning area covers approximately 66.82 hectares in Hoan Kiem and Cua Nam Wards.

The project aims to create a large public square connecting Hoan Kiem Lake with Cach Mang Thang Tam Square, the Hanoi Opera House, the Vietnam National Museum of History, and surrounding areas.

It also seeks to expand public spaces, reorganize traffic and underground spaces, and preserve and promote the area’s heritage values.

According to the proposal, the project comprises three components.

The first component involves site clearance, covering approximately 30.82 hectares, excluding plots B1.6 and B4.13-HH1, which will be handled under separate projects.

This component has a preliminary investment of VND9.924 trillion ($384 million) and will be funded by the city budget as a public investment project. The Hoan Kiem Ward People’s Committee will act as the investor.

The second component involves building an underground shopping center beneath the park and square east of Hoan Kiem Lake, and the park and square north of the lake.

The facility is planned to have four basement levels, with a total floor area of approximately 82,608 square meters and a preliminary investment of VND4.611 trillion ($178 million).

Sun Capital Real Estate Joint Stock Company will directly invest in the component.

The third component covers construction, renovation, and landscaping around Hoan Kiem Lake and its surrounding area.

This component has a preliminary investment of VND7.694 trillion ($298 million), including approximately VND3.518 trillion ($136.2 million) for work on the area housing the Hanoi People’s Committee headquarters, VND268 billion ($10.4 million) to renovate the municipal People’s Council headquarters, and VND3.908 trillion ($151.4 million) to upgrade the area southeast of Hoan Kiem Lake.

Sun Capital Real Estate Joint Stock Company will also serve as the investor for this component.