Hanoi Plans Relocation Incentives for Residents

Why this is here: The Old Quarter has already experienced a 30-50% population decrease in the last 20 years due to residents moving out on their own.

Hanoi’s People’s Committee Chairman Vu Dai Thang signed a decision outlining a plan to relocate roughly 862,000 residents between 2026 and 2045. The city intends to move people from dense areas along the Red River, West Lake, and inner-city streets to new developments on the outskirts. These areas, including Dong Anh and Gia Lam, receive infrastructure upgrades to support housing, transit, and jobs.

The plan addresses overcrowding in the city core—some wards house over 20,000 people per square kilometer—while preserving historic architecture. Hanoi aims for at least 35 square meters of floor space per person by 2030, increasing to 45 square meters by 2035, tied to transit-oriented development around metro stations.

However, renovating the city’s 2,160 aging apartment buildings has been slow, with only 1-2% completed despite ongoing efforts. Balancing safety concerns with housing demand and market stability remains a challenge as Hanoi projects its population will grow to between 14 and 15 million by 2035. The city continues to refine its approach to managing property speculation and promoting sustainable housing.