Connectivity-Guided Adaptive Wavelet Transform based mesh compression framework is proposed. The transformation uses the connectivity information of the 3D model to exploit the inter-pixel correlations. Orthographic projection is used for converting the 3D mesh into a 2D image-like representation. The proposed conversion method does not change the connectivity among the vertices of the 3D model. There is a correlation between the pixels of the composed image due to the connectivity of the 3D mesh. The proposed wavelet transform uses an adaptive predictor that exploits the connectivity information of the 3D model. Known image compression tools cannot take advantage of the correlations between the samples. The wavelet transformed data is then encoded using a zero-tree wavelet based method. Since the encoder creates a hierarchical bitstream, the proposed technique is a progressive mesh compression technique. Experimental results show that the proposed method has a better rate distortion performance than MPEG-3DGC/MPEG-4 mesh coder.