Latest News about industrial property
Despite a new outbreak of COVID-19 in Vietnam, the industrial property sector saw positive signs with new industrial zones established and key industrial projects beginning operations, according to Savills Vietnam.
Vietnam is pushing ahead in its mission to become the ideal manufacturing hub for overseas investors by taking advantage of a largely pandemic-free landscape and building on 2020’s successes.
Industrial property continues dominating the market thanks to the fast growing manufacturing industry.
Vietnam will see strong growth in industrial property next year due to higher demand for industrial parks as business expand production or relocate out of China, according to Savills Vietnam.
The increasing demand and the drying up of land banks in industrial zones has bumped up rental prices in first-tier property markets in Vietnam.
It has been a tough year so far for property investors, but one segment is weathering the storm better than most: industrial property.
“Someone said the land rent in IZs has surged to $150-200 per square meter. But rent of $100 is considered high already,” said Do Nhat Hoang, director of the Foreign Investment Agency (FIA).
Despite the COVID-19 outbreak piling pressure on the toughest segments of the real estate market in hospitality, retail, and industrial property, positive signs have also been unearthed.
The coronavirus outbreak will certainly have an effect on the global economy in the coming months. Vietnam, with its proximity and close trade and supply relationships with China, is no exception.
The industrial property landscape in Vietnam is changing with localities looking at raising costs of land.