Property
HCM City among 20 Asia-Pacific cities with highest premium office rent: JLL
The office market in Ho Chi Minh City is heating up with the presence of high-end tenants from outside the country.
Ho Chi Minh City, the biggest economic metropolis in Vietnam, is among 20 cities in the Asia-Pacific having the highest rent in the premium office segment in the fourth quarter this year.
Average total occupancy costs which include the net effective rent and additional costs namely services charges and taxes in the city hit US$59/sq.ft/year or US$635/sq.m/year, up 7% from the same period last year, and above Jakarta, Indonesia with US$614/sq.m/year, according to JLL’s Premium Office Rent Tracker (PORT).
The highest gross rent hit a record high rent in nearly half a decade with US$86 per square foot, in an unnamed Grade A building in the market.
According to JLL’s report, the office market in Ho Chi Minh City is heating up with the presence of high-end tenants from outside the country. Total office supply in HCMC office market with 2 million sqm, 5 times lower than of Bangkok market, coupled with high demand from large corporations, led to a shortage of high quality office space in the downtown area.
Meanwhile, in the Asia-Pacific region, Hong Kong’s Central has the world’s most expensive rent for premium offices for the fourth year running. The high occupancy costs of Hong Kong’s Central are driven by Chinese firms snapping up Grade A office space.
The comparison of occupation costs was made in 72 major office markets in 61 cities across the region.
Ho Chi Minh City's downtown. Photo: Hochiminhcity.gov.vn
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The highest gross rent hit a record high rent in nearly half a decade with US$86 per square foot, in an unnamed Grade A building in the market.
According to JLL’s report, the office market in Ho Chi Minh City is heating up with the presence of high-end tenants from outside the country. Total office supply in HCMC office market with 2 million sqm, 5 times lower than of Bangkok market, coupled with high demand from large corporations, led to a shortage of high quality office space in the downtown area.
Meanwhile, in the Asia-Pacific region, Hong Kong’s Central has the world’s most expensive rent for premium offices for the fourth year running. The high occupancy costs of Hong Kong’s Central are driven by Chinese firms snapping up Grade A office space.
The comparison of occupation costs was made in 72 major office markets in 61 cities across the region.
