The city's Department of Construction said at a socio-economic meeting on August 12 that it had completed and submitted a plan for an urban renewal programme targeting housing along rivers and canals for the 2025-2030 period.
Under the plan, 115 projects will be implemented across 53 wards and communes, focusing on embankments, roads along canals and related infrastructure.
The former District 8 area will account for the largest share, covering 19 canals and involving the relocation of about 14,950 houses.
The programme will be carried out over five years from 2026 to 2030. This year, the city aims to relocate about 2,921 houses, begin work on the Van Thanh Canal project and complete 10 ongoing projects. It has prepared 1,202 apartments and land plots for resettlement.
By 2027, the cumulative number of relocated houses is expected to reach 5,139. The city also aims to complete and put into use 3,510 privately funded social housing units and begin 11 public investment projects.
The pace is expected to accelerate in 2028, when the cumulative number of relocated houses is projected to reach 26,508, or 63.8 per cent of the target. Public-private partnership (PPP) projects are also expected to begin during this period.
By 2029-2030, the city aims to complete the relocation of all 41,540 houses covered by the programme, followed by further work on infrastructure and public parks.
Of the total planned investment, about VND 232.8 trillion will go to around 70 publicly funded projects. Compensation and site clearance costs are estimated at VND 169.4 trillion, accounting for about 72.8 per cent of that amount.
HCM City has allocated or plans to allocate VND 57.1 trillion from its budget, while an additional VND 129.4 trillion is needed for the 2026-2030 period.
Another 45 projects, with combined investment of about VND164 trillion, are expected to be carried out under PPP arrangements. These include 16 projects seeking strategic investors, worth about VND 140.3 trillion, and 29 urban renewal projects in Nha Be Commune, worth around VND 23.7 trillion.
The city also expects to raise about VND 90.3 trillion through auctions of public land and commercial land made available following relocations in areas including the southern bank of Doi Canal, Xom Cui Canal and Ta Quang Buu. The proceeds are expected to be reinvested in the programme.
A Department of Construction survey found that 60 per cent of affected households preferred cash compensation at market prices and would arrange their own housing, while the remaining 40 per cent would require 15,285 apartments or land plots for resettlement.
As many houses along rivers and canals were built on encroached land and are not eligible for land compensation, the city plans to use social housing for resettlement under special arrangements.
Resettlement housing will be provided through 45 projects offering a total of 17,668 apartments and land plots, supplemented by about 902 existing units.
The city also plans to use public funds to develop four social housing projects comprising 2,792 units, while seeking additional resources from businesses and PPP projects.
The plan aims to provide more than 41,000 affected households with safe new housing and adequate infrastructure, alongside job support and priority access to riverside commercial and service spaces.
