In the north they rose by 6.5 percent to $99 per square meter, according to a recent report by real estate service firm Jones Lang LaSalle (JLL). In the south the rise was 12.2 percent to $101.

The report said companies looking to diversify their manufacturing portfolio outside China are attracted to Vietnam thanks to its proximity to the former.

"Industrial park developers remain confident that demand for land will continue to grow and therefore land prices are expected to increase in line with the long-term potential of Vietnam’s industrial segment," Stephen Wyatt, country head of JLL Vietnam, said.

Ready-built factories costing $3.5-5 per square meter per month are favored by businesses as indicated by the high occupancy rates.

Multinationals have been setting up operations in Vietnam for a number of years, and this trend has accelerated in the last two years with companies looking to diversify their operations and supply chains, the report said.

Although the Covid-19 outbreak could cause a delay in decisions following lease negotiations, the fundamentals of the market remain strong and would recover after the epidemic subsides, it added.