Hanoi deploys $4.2 billion smart city project

The North Hanoi Smart City project, covering an area of over 270 hectares and with a total investment of $4.2 billion, was announced to commence on the morning of November 11th.

The project is located in the three communes of Hai Boi, Vinh Ngoc, and Kim No in Dong Anh district and is being implemented by North Hanoi Smart City Investment and Development Joint Stock Company (NHSC). NHSC is a joint venture between BRG Group (Vietnam) and Sumitomo Group (Japan).

Rendering of the 108-story financial tower in the smart city project. (Image provided by the developer) — Rendering of the 108-story financial tower in the smart city project. Photo: *Provided by the investor.*

The project will be implemented over 9 years in 5 phases. The first 4 phases, lasting approximately 7 years, will focus on green spaces, public works, housing, schools at all levels, transportation, parking lots, historical and religious sites, and other specific projects.

Phase 5, from late 2030 to late 2032, will involve the construction of several landmark architectural projects, including a 108-story mixed-use financial and commercial center.

The launch ceremony for the smart city project took place on the morning of November 11th. Photo: Van Loc — The ceremony announcing the launch of the smart city project took place on the morning of November 11th. Photo: *Van Loc*

According to Vice Chairman of the Hanoi People's Committee Duong Duc Tuan, the smart city project occupies a crucial location at the foot of Nhat Tan Bridge, on the north bank of the Red River, between Thang Long Bridge and Long Bien Bridge, on Vo Nguyen Giap road connecting the city center and the West Lake area to Noi Bai International Airport. The 108-story financial tower is included in the list of key projects approved by the City People's Council.

"The Financial Tower is a large-scale project showcasing innovative and internationally-recognized ideas and technologies, part of a comprehensive and modern master plan, which has been researched by Japanese and Vietnamese investors," Mr. Tuan said, expressing his hope that the North Hanoi Smart City project will contribute to solving major infrastructure problems in the capital such as transportation, energy, education , healthcare, and the environment; and contribute to the criteria for transforming Dong Anh district into a district and a future city in the North.

Location for building a smart city. Graphic: Anh Tú — Location for building a smart city. Graphic: *Anh Tú*

Hanoi leaders requested the investor to coordinate with relevant units to complete the remaining land clearance work (which has reached 92%), procedures for land allocation, land leasing, and construction permits in order to promptly implement the project according to the approved plan and schedule.

The smart city project was jointly developed by BRG and Sumitomo under an agreement signed in mid-2017. The collaboration aims to build the most modern and intelligent city in Southeast Asia, covering an area of over 270 hectares. The centerpiece of this area will be a 108-story financial and commercial tower.

In July 2018, the BRG and Sumitomo joint venture was granted an investment certificate. By October 2019, the investor had held a groundbreaking ceremony for the project, but further implementation was not carried out due to the need to adjust the 1/500 detailed planning.

In July, Hanoi City approved a decision to make partial adjustments to the 1/500 detailed planning covering an area of 140 hectares, divided into two sub-areas.

Area A has a population of approximately 11,200 people, an increase of nearly 10,500 people compared to the previous plan; the green space system and walking paths around Phuong Trach Lake will be reorganized; and additional high-rise mixed-use residential plots will be allocated on the side adjacent to the Ta Hong dike.

Zone B has a population of nearly 9,900 people, an increase of 6,800 compared to before; it includes mixed-use residential plots, increasing building height from 25 to 45 floors; and adds green spaces and shared parking areas to align with the smart city model.

Sumitomo, a Japanese conglomerate over 100 years old, has been present in Vietnam since 1995. The company has invested in and participated in projects such as the Thang Long Industrial Parks I and II (in Hanoi and Hung Yen), served as the general contractor for the elevated section of Ho Chi Minh City's Metro Line 1, and constructed the Pha Lai, Duyen Hai 3 Expansion, and Phu My 2-2 thermal power plants.

BRG is one of the diversified conglomerates in Vietnam, operating in fields such as finance, banking, real estate, and retail.