Hanoi will need nearly 6.5 trillion VND (305.5 million USD) for the first phase of its Old Quarter resettlement project, which aims to reduce the population density in the area of Hoan Kiem district and preserve the capital’s cultural heritage.

The project is expected to reduce the Old Quarter’s population density from 823 people per ha, as recorded in 2010, to 500 people per ha by 2020.

During the first phase, scheduled to last for three years starting from the fourth quarter of this year, 1,530 out of 6,550 targeted households in the Old Quarter will be moved to the Viet Hung new urban area in Long Bien district.

Costing some 4.9 trillion VND, the 11.2 ha new urban area comprises 800 apartments.

The next phase of the project, which needs a total of 40 hectares of land, will start immediately after the first’s completion and is scheduled to end in 2020.

As an important landmark of Hanoi, the 2000-year old quarter includes 36 streets, stretching from Hoan Kiem Lake to the south, Long Bien Bridge to the north, Tran Nhat Duat Street to the east and the citadel wall on Ly Nam De Street to the west.

The streets have developed with shops in the front and living areas in the backyard. As a result, homes became increasingly narrow and the streets have become increasingly busy.-VNA