2023-02-02-莱坊-Vietnam_Office_Highlights_Q4_2022_5页_1mb

Vietnam Macroeconomic and Office Market Summary

GDP and Economic Growth

• Vietnam's GDP grew by 8.02% in 2022, primarily driven by the recovery in the service sector, including retail, transportation, and food services.
• Key indicators show stability: FDI disbursement reached US$22.4 billion, with an expected increase; industrial production index (IIP) and consumer price index (CPI) inflation remained within government projections.

Office Market Trends

• A-grade office rents are projected to stay at US$57.73 per square meter per month in 2023, then decline gradually to US$54.50 by 2024. B-grade rents are forecasted to fall to US$27 per square meter by 2024, amid rising vacancy rates across all grades.
• Supply in key sub-markets, such as CBD, Thu Duc City, and Saigon South, is expected to increase, with distinct performance variations; no new supply in Grade A or B this quarter, but future additions planned.
• Demand is concentrated in logistics and technology sectors, with a preference for large lease sizes (>2,000 m²), accounting for 41% of major transactions primarily for relocation purposes (65%).

Key Data and Forecasts

• Economic growth forecasts from sources like World Bank, ADB, and IMF indicate steady GDP projections for 2023 and 2022.
• The analysis is based on Knight Frank research updated as of December 30, 2022, highlighting Vietnam's ongoing economic stability and office market adjustments due to new supply and shifting tenant needs.