Land prices in Hanoi as expensive as in Tokyo and Paris
Colliers International's market report in quarter 3 revealed land prices in central districts of Hanoi of at approximately US $ 27,200 per square metre (or 570 million dong) that is as expensive as those in Tokyo and Paris.
According to Colliers, Hanoi's urban areas could be divided into three main zones. Firstly, land prices in the outer districts namely Tu Liem, Ha Dong in the west, Long Bien in the east and Hoang Mai in the south range from US $968 to US $8,329 per square metre. Secondly, those in zone two including Thanh Xuan district, Ba Dinh district, Cau Giay District, Dong Da District and Tay Ho District vary between US $2,590 and US $18,940 square metre. Lastly, Hoan Kiem District and Hai Ba Trung District see land prices hovering between US $2,611 and US $27,200.
Clearly, the nearer the areas are to the centre of the city, the wider the price range are. The dependence of trade advantage on the location has made prices of street-fronted houses and those in lane largely differ. The most expensive are corner-street-fronted houses around the Sword Lake which is as high as those in Tokyo and Paris. A square metre in Hang Gai Str., Cau Go Str., Hai Ba Trung., for instance, could cost around US $21,000 - US $27,000.
Likewise, prices of land in central streets also witness a staggering surge. Those in a lane of Hue Str. where fashion shops are gathered are the same as or even higher than in street-fronted houses on Ton Duc Thang Street, Cau Giay Street and Truong Chinh Street. Those on Hai Ba Trung average at US $21,700 per square metre, 1.5 times-2 times higher than those in Kim Ma Street and Giai Phong Street.
In general, land prices in Hanoi are largely subject to the location and even speculation-related factors. Furthermore, transactions have scarcely been conducted through an official channel and the lack of information transparency has made statistics imprecise.
Dat Viet - October 20, 2011