Industrial real estate in Vietnam expected to boom in 2019
The industrial real estate market is showing positive signs as the number of foreign-invested enterprises in Vietnam is increasing, resulting in rising demand for specific workshops to meet technical requirements and maximise utility.
The ready-made factory market in Vietnam is becoming very bustling. This meets the different rental demands of customers. The logistics market is one of the important factors for the development of industrial property in Vietnam.
International outsourced logistics service providers are investing more in Vietnam, and this will help promote the development of more modern facilities.
The Vietnam National Real Estate Association said real estate is still the best investment channel in Vietnam at present. By 2018, Vietnam had 80,000 hectares of land for industrial zone development, mostly in the northern, central and southern key economic regions.
According to Vietnam Jones Lang Lasalle Company (JLL Vietnam), Vietnam’s industrial real estate is strongly attractive to foreign investors who want to shift their production from other countries to Vietnam.The reason behind this is low production cost, just under 1 USD per hour, the lowest in ASEAN and even lower than China.
All of these advantages are creating momentum for Vietnam’s industrial real estate market to experience a booming development in the time to come.
Fulya Altunyay/[email protected]