Highest office space occupancy rates in Asia
Wednesday, 26 September 2007
Viet Nam is claimed the highest office space occupancy rates in Asia. With a shortfall in the availability of office space and high lease prices in Ho Chi Min City, companies in other industries are eyeing investment in commercial property in the southern hub. According to estimates 90 to 95 per cent of all available commercial space has been taken, and most of the additional capacity created in the next three years is expected to be in grade B buildings. The serious shortage of high-end offices is expected to persist.
As a result, successful firms in other sectors are hoping to step in and get a part of the action: 90 per cent of enterprises listed on the HCM City Stock Exchange are interested in the real estate market, according to the city's Trade Department.
Vice chairman of the HCM City Real Estate Association, Le Hoang Chau, said: "Real estate has attracted 80 per cent of companies registered as multi-sectoral."
Refrigeration Electrical Engineering is one of the pioneers and, following the success of its E-Town 1, Maison Pasteur, and IDC, it has invested VND226.3 billion (US$14 million) in property so far this year.
Its 47,000sq.m E-Town 2 had been already more than 80 percent occupied when the building was under-construction, the company said.
As a result, successful firms in other sectors are hoping to step in and get a part of the action: 90 per cent of enterprises listed on the HCM City Stock Exchange are interested in the real estate market, according to the city's Trade Department.
Vice chairman of the HCM City Real Estate Association, Le Hoang Chau, said: "Real estate has attracted 80 per cent of companies registered as multi-sectoral."
Refrigeration Electrical Engineering is one of the pioneers and, following the success of its E-Town 1, Maison Pasteur, and IDC, it has invested VND226.3 billion (US$14 million) in property so far this year.
Its 47,000sq.m E-Town 2 had been already more than 80 percent occupied when the building was under-construction, the company said.