ENG
VIE
KOR
Savills Vietnam has just published the Vietnam Industrial Real Estate White Paper 2021 with a lot of remarkable information about the segment that is considered a bright spot of Vietnam's real estate market during the past time.
According to the report, industrial real estate rental prices have been increasing slowly in both the northern and southern key economic regions.
Specifically, in the Northern key economic zone, the average occupancy rate in 2021 is 99% in Bac Ninh, 91% in Hanoi, 88% in Hung Yen, 86% in Hai Duong and 70% in Hai Phong.
Due to travel restrictions and a relatively stable occupancy rate, Savills said prices are less likely to escalate than between 2018 and 2020. In which, the price in Hanoi reached 129 USD/m2 (2.96 million VND) and 106 USD/m2 in Bac Ninh (2.43 million VND), Hai Phong increased to 101 USD/m2 (more than 2.3 million VND). ) and Hai Duong reached 79 USD/m2 (more than 1.8 million VND). Hung Yen had the strongest increase, reaching 22% over the same period last year and the price was 101 USD/m2 (more than 2.3 million VND).
As for the southern key economic region, the occupancy rate of this area has increased in some provinces but is generally stable. Specifically, this year's average occupancy rate in Ho Chi Minh City is 99%, Dong Nai 95%, Binh Duong 91%, Long An 84% and Ba Ria-Vung Tau 80%.
Rents in this area increased slowly. Industrial land rental price in Ho Chi Minh City. Ho Chi Minh City is about 161 USD/m2 (3.7 million VND), Long An is 138 USD/m2 (3.1 million VND), Binh Duong is 108 USD/m2 (2.5 million VND) and Dong Nai is 104 USD/m2 (2 ,39 million dong). The asking price for industrial land in Ba Ria-Vung Tau is 94 USD/m2 (2.1 million VND), an increase of 45% over the same period last year.
Lockdowns and travel restrictions have slowed the movement of operations out of China this year as expected. But the developers believe that leasing will be more efficient by 2022; Tenants and investors will also have more options for new supply when many distancing orders are lifted.
