HCMC proposes 5 levies on projects benefiting from TOD, consultation until 21/9

HCMC is consulting on a draft resolution on levies for organizations, individuals and developers directly benefiting from planning and urban railway infrastructure in TOD development areas. Consultation runs from 7 to 21/9/2026.

What the draft proposes

• Levy on additional floor area: a 25% regulation rate, applied when a project’s planning indicators such as the floor area ratio (FAR) are adjusted.
• Levy on increased land value: based on the difference in land value before and after the impact of TOD.
• Levy on railway infrastructure use: applies to commercial use of stations, depots and advertising space.
• Public transport connection fee: factor 1 for direct connections, factor 0.7 for indirect connections.
• Infrastructure improvement fee: factor from 0.8 to 1.4 depending on the level of benefit.
• Scope for determining the level of benefit: by distance to the station – 300 m, 300–500 m and 500–1,000 m, measured along the walking network.
• Who pays: organizations and individuals allocated, leased, franchised or selected to operate; developers of projects benefiting from planning and railway infrastructure.
• Use of revenue: all paid into the budget, prioritized for urban railway development, public transport and station connection infrastructure.

According to the draft, TOD is a planning model that concentrates housing, commercial and service buildings around urban railway stations and lines.