This view was shared by Pham Thi Mien, deputy director of the Vietnam Institute for Real Estate Market Research and Evaluation (VARS IRE), at the seminar “New-generation megacities – drivers of economic growth and sustainable urban development in Vietnam in the new era,” organized by the Vietnam Urban Planning and Development Association on March 21.

“New-generation megacities”: long-term structural solution 

According to Mien, for many years, major cities have developed in a “monocentric” manner, causing capital, population, jobs and infrastructure to be heavily concentrated in central areas.

“Solutions such as tightening credit or adjusting policies only impact the symptoms. The root of the problem lies in how we organize urban space,” she emphasized.

She noted that when real estate is not linked to a real urban ecosystem, including jobs, infrastructure and services, asset values can easily be “exaggerated.” This leads to unsustainable growth cycles in the market.

In this context, the “new-generation megacity” model is seen as a structural solution for both the real estate market and Vietnam’s urban development.

Unlike traditional models, this approach is based on four pillars: polycentric development, strong regional linkages, infrastructure-led growth, and aligning real estate with the real economy.

This approach helps redistribute population and capital.  As new development poles emerge, the market will feature diverse "price zones" catering to various segments and needs.

From a management perspective, Ms. Tran Thu Hang, Director of the Department of Architecture and Planning (Ministry of Construction), stated that national planning does not aim to form a few concentrated giant cities. This approach helps redistribute population and capital flows instead of concentrating them in a few central areas. As new growth poles emerge, the market will develop multiple “price zones” suited to different segments and needs.

From a regulatory perspective, Tran Thu Hang, director general of the Department of Architecture and Planning (Ministry of Construction), said national planning does not aim to create a few oversized, highly concentrated cities but rather a balanced urban system with complementary functions and strong interconnections, maximizing regional advantages.

Vietnam’s urban development structure is gradually taking shape along three main growth corridors: North–South, East–West and coastal axes. These are not only transport corridors but also spatial frameworks for organizing economic, urban, industrial and service development at the national scale.

“The development of new-generation megacities is not just a trend but a strategic choice to create growth poles, foster innovation and enhance the position of Vietnamese cities, and Vietnam in regional and global economic networks,” Hang stressed.

Billion-dollar “playing field” reshaping the real estate market

Tran Minh Thu of MT Hojgaard Vietnam said Vietnam has begun to see “early nuclei” of megacity models, such as the HCMC metropolitan area, the Hanoi capital region, and the Thu Duc innovation city. These areas are not only population centers but also hubs integrating industry, services and innovation to create new growth drivers.

Meanwhile, Architect La Kim Ngan, former director of the Hanoi Institute of Construction Planning, emphasized that new-generation megacities are defined not only by scale but by development quality.

According to her, such megacities must meet criteria including polycentric structures, smart infrastructure, sustainable development and strong resilience.

Notably, the “15-minute city” model, along with integrated ecosystems combining healthcare, education, parks and jobs within the same space, is gradually forming new development hubs.

In reality, many large-scale urban projects in Vietnam have begun moving in this direction. Another key shift is that the “rules of the game” in the real estate market are changing. While central location used to be the decisive factor, property value now depends on integrated amenities, planning quality, smart operations and solid legal frameworks.

Bui Van Doanh, director of the Vietnam Institute for Real Estate Research under the Vietnam Real Estate Association, said satellite megacities will play a key role in redistributing population and reducing pressure on urban core areas. “They not only create new living spaces but also help ‘relieve’ and ‘revitalize’ existing cities,” he noted.

However, realizing this model requires multiple conditions, including regional planning, transparent institutions, infrastructure-first investment and the participation of financially strong developers.

“Only developers with massive financial capacity, superior planning capabilities, synchronized implementation experience, optimal operational management and global strategic partnerships can create internationally standardized megacities that ensure high quality, sustainable value and efficient economic and social operations,” Mien emphasized.

Hong Khanh