May 13, 2026 | 15:20

Hanoi retail property market sees rising supply and rents amid shifting consumer trends

Thanh Xuân

The market recording more than 51,000 square meters of new retail space during the first quarter of 2026.

Hanoi retail property market sees rising supply and rents amid shifting consumer trends

As experiential consumption becomes increasingly prominent and e-commerce intensifies competition, Hanoi’s retail property market continued to undergo notable changes in supply, occupancy, and rental rates in the first quarter of 2026.

According to Ms. Hoang Nguyet Minh, General Director of Cushman & Wakefield Vietnam, the market recorded more than 51,000 square meters of new retail space during the quarter, bringing Hanoi’s total retail stock to 1.43 million square meters. Shopping malls remained the dominant segment, accounting for 85% of the total supply.

Most newly launched projects were concentrated in non-central districts, reflecting growing demand for experience-driven retail formats that combine shopping with entertainment and lifestyle offerings.

However, the market’s average occupancy rate stood at approximately 86.5%, down 0.6 percentage points from the previous quarter but up 1.1 percentage points year-on-year. The slight quarterly decline was largely attributed to three newly completed projects, where some retail spaces have yet to begin operations as tenants are still finalising interior fit-outs.

Ground-floor retail rents in Hanoi averaged VND1.3 million (around $50) per sq.m per month, marking a 9.1% increase from the previous quarter and a 10.1% rise compared to the same period last year.

Ms. Minh said the quarterly rental growth was mainly driven by newly developed retail projects on the city’s outskirts, where asking rents were set higher than those at existing properties. Meanwhile, leasing demand in central locations remained stable, particularly for well-managed, high-profile assets with strong brand visibility.

Looking ahead, Cushman & Wakefield forecasts intensified competition in Hanoi’s retail sector—not only in terms of supply, but also in strategies to attract tenants and retain consumers. By 2028, the market is expected to add approximately 314,000 sq.m of new retail space.

Attention
The original article is written and published on VnEconomy in Vietnamese, then translated into English by Askonomy – an AI platform developed by Vietnam Economic Times/VnEconomy – and published on En-VnEconomy. To read the full article, please use the Google Translate tool below to translate the content into your preferred language.
However, VnEconomy is not responsible for any translation by the Google Translate.

Google translateGoogle translate