As per prestigious research agencies evaluated, the property located in the development axis of public transportation system and retail system will have a strong impact on the development of the real estate market.
In the context of increasing individual car ownership rate and traffic congestion, all three research agencies assessed that public transportation will become the inevitable trend in the future, especially BRT and MRT (subway). Therefore, Transit Oriented Development (TOD) will be key model with many works such as housing, office, retail and parking lot.
In many countries, the model has developed strongly, changed the market structure and rotated the price plan in contiguous regions.
According to Mr. Marc Townsend (CEO of CBRE Vietnam), the launch of subway system will offer many benefits. Especially, it will improve the accessibility of people to the working regions, entertainment and new shopping center. Due to certain experience from other countries, the subway project will have the biggest influence on the property value. The subway development will help bring new appearance for contiguous areas, increase land price, develop real estate project and move away retail units and office projects from the center.
In theory, a building located near public transit stations tends to have a higher selling price or leasing price than other buildings because the good public transportation system will allow residents living nearby to easily move to the important regions. This theory has been confirmed in some countries. The selling price of house nearby the public transportation system tends to have a higher value by 6% to 45%. In Hongkong and Bangkok, the property price nearby TOD tends to increase by 10% to 32% in comparison with the other areas far from TOD.
The “hot” condition from the North West
One of the most attractive areas in the capital is the Northwest with the new Metro system No. 2 to be launched, that is invested by Hanoi urban railway management board (MBR) and sponsored by JICA. The Metro system No.2 is an urban railway system to connect the new urban areas to the city center. The system has a total length of 11.5 km, including 3 overhead stations and 7 underground stations; the starting point is Ciputra Ha Noi International City, the last point is the intersection of Tran Hung Dao street going through Tu Liem district, Tay Ho, Cau Giay, Ba Dinh and Hoan Kiem.
Located in the starting point of Metro system, as the experts said, Ciputra is one of the projects that benefit most from the development of transportation infrastructure due to the outstanding values such as favorable location, ecological environment and luxurious amenity systems.
As an inevitable trend, the launch of Metro system will involve in formation of large trade centers and retail stores. Therefore, according to the fact that is proven in developed countries like Singapore, Hongkong and Bangkok, the “fertile” areas surrounding Metro system Ciputra Ha Noi International City will not be able to “escape” from the leading retailers in the world.
As a result, the investors are looking for new investment opportunities going along with the sync & self-contained infrastructure systems in such a green space. However, as usual, the product of Ciputra is not widely introduced but mainly introduced through oral communication. Due to collected information, in next time, Ciputra is going to introduce a new low-rise housing project located in Tay Ho District with over 100 units from 140 m2 to 396m2, which called as Grand Gardenville Tay Ho Residence.