The office rental market has experienced a “speedy year”

tin tức bất động sản
For the whole year of 2022, the absorption index is quite good in both Grade A and Grade B buildings across the market. The South and Central areas are still the areas with the highest amount of office absorption.
Cushman & Wakefield Vietnam pointed out that, in 2022, 3 new office buildings have entered the Ho Chi Minh City market, including: CMC Creative Space (District 7, Q1), Pearl 5 (District 3, Q1), and COBI I & II (District 7, Q2), contributed nearly 70,000 m2 of office space for lease. This figure contributes to the full year net absorption of 86,764 m2, and brings the total office supply in the market to 2.39 million m2.
While there is no new Grade A supply in 2022, the trend of renovating and upgrading the quality of office buildings continues in old buildings, especially in the CBD.
According to this unit, the demand for Grade A supply in the CBD showed signs of recovery in the fourth quarter of 2022, with positive absorption recorded in many buildings. Overall, for the whole year of 2022, a positive absorption index was recorded in both Grade A and Grade B buildings across the market. The South and Central areas are still the areas with the highest amount of office absorption.
Specifically, Grade A occupancy rate is 96%. The average rent is 59 USD/m2/month. The high occupancy rate of Grade A buildings throughout the year indicates a sustained demand for high-quality office supply.
The Grade B office market remained relatively stable with a occupancy rate of 91% in Q4, increasing gradually throughout the year, partly as new supply continued to hit the market in the first half of this year. typical: CMC Creative Space, COBI Tower I & II, Pearl 5).
Grade B rent remained stable at 34USD/m2/month, with a growth rate of less than 1% QoQ and YoY. This is partly due to an increase in the USD/VND exchange rate; In addition, a decrease in rents was also recorded in some buildings.
In terms of supply, many Grade A office projects are expected to be completed and put into operation in the coming years.
tin tức bất động sản
The East and Central areas lead in future supply
Companies wishing to expand with a large area tend to choose the South, especially the E-commerce, insurance, and technology industries, thanks to the new high-quality supply in this area.
In 2022, the South of HCMC will dominate in terms of new supply. From 2023 onwards, this position will belong to the East area with abundant Grade A supply.
The future high-quality supply in Thu Thiem area with good transport connections to the city center will create favorable conditions for the East of the city to become a magnet to attract reputable companies with high demand. large rental demand.
The representative of Cushman & Wakefield Vietnam pointed out the accelerating office trends in the Ho Chi Minh City market.
  • First, Renovating and Upgrading: Older buildings in prime locations have now begun the renovation/refurbishment process to improve building quality and retain tenants.
  • Second, the design of the office is for the sake of humanity: The office is no longer just a place to work. Accordingly, the design of the human-centered office has been paid more attention and applied to contribute to improving the working experience of employees.
  • Third, raise standards for sustainability: In a context where sustainability becomes a key value, more and more developers are considering building with green standard certifications such as LEED and ESG (environmental, social, and governance) standards.

Leave a Reply

Your email address will not be published. Required fields are marked *