The office lease market in Ho Chi Minh City is recovering, with hybrid working model comprising both remote and office-based work emerging as a bright spot, according to experts from Savills Vietnam.
Hanoi (VNA) – The office leasemarket in Ho Chi Minh City is recovering, withhybrid working model comprising both remote and office-based work emerging as a brightspot, according to experts from Savills Vietnam.
Director of Savills Vietnam Commercial Leasing Tu Thi Hong An said whileco-working model is growing slowly, hybrid working spaces are proving effectiveto optimise operating cost and maintain working productivity amid limitedsupply in the downtown.
Commenting on the outlook for the office market in the near future, thecompany said by 2015, additional 550,000 sq.m from 21 new projects will beavailable, with 11 projects outside the downtown accounting for 48 percentof the total area. Four A-class projects will enter the market from 2023 withan average floor area of 67,000 sq.m each, equivalent to 49 percent of thesupply in the future.
ಌ According to the municipal Centre for Forecasting Manpower Needs and LabourMarket, employment demand this year will be 310,000 if the pandemic is undercontrol, mostly in the fields of commerce, real estate and electronics. Togetherwith information technology and communications, they also attracted the mostnew and additional foreign direct investment last year. Therefore, they areexpected to spur demand for leasing offices and also co-working spacesthis year./.
The office market in Vietnamese cities like Hanoi and HCM City is likely to recover faster post-COVID-19 than other major cities in the Asia Pacific, experts have predicted.
Many businesses have struggled due to the COVID-19 pandemic, but co-working spaces have bucked the trend and is expected to expand in the coming time, fuelled by companies seeking flexible leasing contracts, according to Savills experts.
A hybrid working model comprising both remote and office-based work is a trend that many companies will embrace since working methods have changed globally after the pandemic broke out, including in Vietnam, experts have predicted.
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