HCM City’s office space market rebounds strongly

Office space for lease in Ho Chi Minh City in the first half of 2022 continued to make a recovery with a total net absorption area of about 21,000 sq.m, equivalent to 38% of 2021, although  the new supply remained limited, according to real estate firm CBRE.
In its report on the real estate market in HCM City in the second quarter of 2022, CBRE Vietnam said that the average vacancy rate of Grade A decreased by 1.6 percentage points quarter-on-quarter and 2.1 percentage points year-on-year to 10.1%, mainly thanks to the strong absorption of office space in District 7.

Meanwhile, the average vacancy rate of Grade B remained at 9.7%, almost equivalent to the figure reported in the same period last year.

The total Office Space for Lease in HCM city in the first six months stood at 1.5 million sqm.

According to CBRE Vietnam, the information technology and manufacturing industries account for nearly 50% of the total transaction areas.

Along with the recovery of the manufacturing industry after the COVID-19 pandemic, suppliers have also actively searched for office space with a significant increase in successful transaction rates in the new rental category.

Regarding leasing purposes, transactions related to relocation still accounted for the majority with over 50% of total transactions. The rest were transactions of expansion, renewal and new leases (27%, 12% and 10% respectively).

Notably, transactions related to narrowing space dropped off compared to 2020 and 2021.

According to experts from CBRE Vietnam, the first half also marked the return of demand for flexible offices with an occupancy rate of more than 90%.

CBRE Vietnam’s report said that HCM City is expected to welcome about 30,000 sq.m of new office space in the second half of 2022 from three Grade B buildings and two Grade A buildings. Along the banks of the Saigon River, many office buildings where  construction  was suspended due to the pandemic, have now been completed. The total space for lease in this area is 250,000 sq.m.

Rentals of both grades are not expected to see much adjustment until 2024 as most of the new supply in the second half of 2022 will come from non-CBD areas, CBRE Vietnam said./

VNA.

news relative
HCMC office market set to become tenant-favorable in 2023
Ho Chi Minh City’s office market is likely to witness a transition from a landlord-favorable to a tenant-favorable sector in the new year, according to data released Friday by Knight Frank Vietnam. Capping off a year that proved solid for landlords, this fourth quarter saw moderate year-on-year rent increases for Grade A landlords to the tune of 2.6%, and a positive net absorption mostly coming from the Saigon South sub-market in HCMC, Vietnam’s largest economic hub, according to the real estate firm.
VIETNAM NEWS HIGHLIGHTS - JANUARY 2022
GDP of Vietnam is expected to rebound to 5.5 percent growth in 2022 in a scenario where the pandemic is under relative control both at home and abroad. The rebound of the economy will be supported by a more accommodating fiscal policy, at least in the first part of 2022.
Must-have items to keep you productive in office
You bundle into the office a couple of minutes before 9 am, with a large coffee in your hand and a look of worry on your face. With deadlines to fulfill and clients to meet, keeping yourself productive throughout the day can become a task in itself. While many of us do actually enjoy our jobs, finding that productive rhythm can be a struggle at times.
5 ways to save your office costs during the Covid-19 pandemic
No, you don’t get it wrong? Your office is a good place to start, and here are some ways to help you reduce office costs.
VIETNAM NEWS HIGHLIGHTS - OCTOBER 2021
The lifting of Covid-19 related restrictions has been carefully made in most cities in Vietnam to resume their economic growth from October 2021 onwards.
9 tips for maintaining a healthy work-life balance
Maintaining a work/life balance is easy when you’re a sole trader, right? You typically work from home and you have no one else to answer to, so it should be easy to switch off. Unfortunately, that’s not always the case. In fact, many home-based sole traders struggle to strike a healthy work/life balance because the lines are more blurred.
CJ BUILDING

2 Bis - 4 - 6, CJ BUILDING

No. 6 Le Thanh Ton st., Ben Nghe Ward, Dist.1, HCMC

Tel: +84 28 6255 6800 | Fax: +84 28 6255 6801

Email: info@onlyonebiz.com.vn

Copyright @2019 CJ BUILDING. All rights reserved