Market Report Q2 | 2024

TMS Consultancy provides Vietnam’s economic and the benchmark for property market research across apartment, office, retail and hotel sectors in Ho Chi Minh City, Hanoi and Da Nang.

Apartments: Average apartment prices rose considerably, particularly in Hanoi (+15% YoY). Apartment transactions in Hanoi were positive, mostly from two Vinhomes projects. In Da Nang, a number of Sun Group projects went on sale, generating a lot of interest from buyers.

Offices: In the first six months of the year, the office market saw no new supply, and average rental costs stimulate customer demand. The occupancy rate of Grade A offices increased, indicating healthy tenant activity and demand as they eventually transitioned to luxury offices, green certification.

Retail: In Ho Chi Minh City and Hanoi, townhouses continued to increase in price despite having no tenants. On the other hand, investors are interested in shophouses in apartment podiums in developments with a high population density. Two shopping mall projects of Vincom retail chain in Ho Chi Minh City opened to welcome customers and recruit new tenants. Shopping malls in Hanoi are in high demand, particularly for cosmetics, fashion, and F&B.

Hotels: Vietnam’s tourism industry is growing strongly due to the transition to the peak tourist season, especially during the April 30 and May 1 holidays. This is a good sign that the hotel market will improve during this time.