Industrial land lease prices in Vietnam’s northern region are forecast to increase by 5-9 per cent annually over the next three years, according to property consultants CBRE Vietnam.

In the southern region, meanwhile, prices are predicted to rise 3-7 per cent.

Ready-built warehouse rental prices are anticipated to climb by 1-4 per cent.

Rising demand from industrial groups will lead to this growth, according to CBRE Vietnam Senior Director Nguyen Hoai An.

Though the real estate market and the economy met many challenges in 2023, industrial real estate was considered a bright spot, she told a recent meeting on the real estate market’s outlook in Hanoi and Ho Chi Minh City.

Vietnam’s expansion of cooperation with major economies will also open up opportunities for the real estate sector, she added.

Occupancy of industrial land in the country’s north and south stood at 81 per cent and 92 per cent, respectively, in the fourth quarter of 2023.