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Statistics from Google show that the number of visitors to shopping centres increased slightly again in the first quarter but dropped in the second quarter. Rent at shopping centres as well as along major streets also dropped to support tenants.
Rent outside of city centres were USD29 per square metre per month in Hanoi, a drop of 3.8% compared to the same period last year. The vacancy rate was 14.6%. The rental fees in HCM City were USD34 per square metre per month in the second quarter, a drop of 5.2% on last year and the vacancy rate was also 14.6%.
Rent in Hanoi city centre dropped to USD102 per square metre per month, a decrease of 1.7% compared to the same period last year. The vacancy rate in the city centre was 10.8%.
Statistics from Real Capital Analytics show that the sale volume of retail real estate worldwide dropped by 35% in 2020, much higher than the average drop of 29% in other sectors.
Hoang Nguyet Minh from the property agent, Savills Hanoi, said in order to cope with these trying times, the retail real estate market must be creative.
Minh said that new projects and the appearance of new brands will improve the retail real estate market when the outbreak is controlled and landlords have also shown supports to tenants. She was also positive at the government's determination to reach a 70-75% immunisation rate in the first quarter of 2022.
