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Price of offices for lease continues dropping Print E-mail
In the market, the price of offices for lease kept declining by 30-50 percent per month to $20-60 per square metre, and continued falling by 20 percent in the past few months, depending on the location of the buildings.
A representative of CBRE Co said that the vacancy rate of offices for lease in HCM City at present was posted at 15 percent, and that figure was expected to double at the end of this year.

According to the company's latest survey, the lease price of A-class offices decreased by 30-50 percent in the past six months and returned at the leasing price of 2006. In Q1 of 2009, the highest offered leasing price was $70, which now stands lower at $60 per square metre per month. This price was much lower than the offered price if other incentive fees are also included. The price framework of offices for lease now is 20-60 per square metre per month, in comparison with the high ceiling price of $100 per month previously.

The lessees have taken over the leasing charge controllers, in stead of the investors of the office buildings due to plentiful supplying source but small demands. According to CBRE's statistic, the total area of unoccupied and newly built offices was posted at about 113,970 square metres.

In some new office buildings in HCM City, the investors with an aim to attract customers recently launched new schemes such as offering free leasing charges within some certain period, offering other supporting methods such as free of charge for displaying the company's signboard, parking and paying the interior decoration cost for the lessees.

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