According to the observation of Ms. Trang Bui, General Director of Cushman & Wakefield Vietnam, there is an increase in larger industrial land lease area, ranging from 20,000-50,000 m2 and longer lease term.
In the first half of this year, the South continued to be the key place to attract FDI with more than 14 billion USD, accounting for 44% of total registered capital. Ms. Trang Bui assessed that the strong increase in FDI in the industrial sector has promoted the development of diversified product models to serve the newly established small and medium enterprises in this area.
In early July, Indochina Kajima Development Co., Ltd (a joint venture between Indochina Capital and Kajima Group) also announced a plan to invest 1 billion USD in industrial real estate projects in Vietnam within 5-7 days. next year.
Ms. Trang Bui said that in the period 2018-2021, the supply of industrial land in the South will grow by 11% per year on average, ready-built factories will increase by 14% per year on average and ready-built warehouses will increase by 22% on average each year. In some areas with important connection infrastructure, the rental price ranges from 160-200 USD/m2.
In which, the market of ready-built factories and ready-built warehouses, which started in 2017 until now, has welcomed many investors. As of the first quarter of 2022, the total supply of ready-built factories in the South reached 4.2 million m2 and ready-built warehouses reached 3.9 million m2, rents ranged from 3.5 to 6 USD/m2/month.
As observed by Ms. Trang Bui, General Director, Cushman & Wakefield Vietnam, there is an increasing demand in larger leasable area, ranging from 20,000-50,000 m2 and longer lease term.
Huynh Buu Tran, Managing Director, Vietnam Industrial Park added: “We have seen a sharp increase in the number of businesses wishing to expand production scale, especially in the post-COVID-19 period.”
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