These days, the International Square in District 3 and the intersection between Pham Ngoc Thach - Tran Cao Van Streets have seen a lot of people coming and going to restaurants and outdoor cafés. In these streets, the premises are almost fully rented.
Businesspeople are seeking to rent large premises in Phan Xich Long Street in Phu Nhuan District, the busiest food business street, even though the rental price in this area is above less than VND100 million a month. All of the premises in crowded locations are almost empty on this street, only a few positions are located on small roads.
Similarly, the rent of business premises has been quite high on other roads such as Le Van Sy, Pham Van Hai in Tan Binh District, Le Van Tho, Le Duc Tho, Phan Van Tri, Quang Trung, and Nguyen Oanh in Go Vap District.
An owner of a premises Nguyen Duc said that many food and beverage (F&B) chains have been seeking retail premises in Go Vap District because the rent in the district is still cheaper than in some districts such as District 1. 1, 3, Binh Thanh, Phu Nhuan.
Many F&B chains may be willing to pay hundreds of millions of dong to rent a potential business location.
Following the unbelievable recovery of the commercial property market compared to the fourth quarter of 2021, an owner of premises on Le Van Tho Street in Go Vap District Hua Van Dat decided to increase the rental price when the contract of the coffee business expires in April.
Commenting that the rental market is showing signs of recovery, Cho Tot website has made statistics that the rental price of business premises with an area of 60–100m in some main roads in District 1, such as Le Thanh Ton Street and Ly Tu Trong about VND200 million a month meanwhile it is VND80 million-VND200 million a month in Nguyen Thi Minh Khai Street and De Tham Street costs about VND120 million monthly. The rent per space in business streets such as 3-2, Su Van Hanh in District 10 is VND30 million–VND70 million a month.
Meanwhile, Colliers Vietnam recorded the rental price of premises at some important streets in District 1 ranging from VND 100 million-VND200 million a month for a premise around 100 square meters while the rent for each space is fluctuating at VND20 million-VND45 million a month at Nguyen Van Linh and Nguyen Thi Thap streets in District 7.
Moreover, most landlords tend to choose customers who will open healthcare establishments, pharmacies, mini supermarkets, and bank offices.
Not only the premises of crowded streets but also the premises in commercial centers have been quite active since the Lunar New Year until now when investors have launched many promotions and discounts to attract businessmen.
Real estate expert Tran Khanh Quang said that at this time, tenants of townhouses in Ho Chi Minh City have two advantages. They are easy to access to the premises in a convenient location and they can negotiate a good price with the lessor. When the city's economy regains its momentum, the commercial property market will rebound.
General Director of Colliers Vietnam David Jackson analyzed that, along with the city’s economic recovery, the demand for leasing business premises has gradually increased again. Main streets in Ho Chi Minh City’s downtown districts are fully rented. Many homeowners still apply an average discount of about 10 percent-15 percent compared to before the epidemic.
Thus, it is a good time for tenants to look for a premise of their choice when the rent is still relatively low and they have many options. If the Covid-19 pandemic continues to be effectively controlled, the rent of commercial property will be as same as before.
