Tan Tao industrial park in HCMC. Photo by VnExpress/Quynh Tran. 

Rentals for industrial lands in HCMC increased in the second quarter despite the renewed Covid-19 outbreak, according to real estate services provider Colliers Vietnam. 

The average rent stood at $175 per square meter in the second quarter,the highest in the country, after rising slightly from a year earlier, it said in its second quarter report on industrial real estate. But there was a slowdown in transactions from April when Covid resurged.

The average occupancy rate of industrial parks was 85 percent.

In the northern region, Hanoi led with $140. Its average occupancy rate was 90 percent.

Many investors are looking for industrial lands in the northern provinces of Hung Yen and Hai Duong for expanding production.

Leasing of industrial lands and ready-built serviced factories is likely to be disrupted due to the pandemic’s rapid spread and penetration into industrial parks.

According to JLL Vietnam’s latest regional industrial real estate report, the average rentals in HCMC and the four southern provinces of Binh Duong, Dong Nai, Long An, and Ba Ria Vung Tau was $113 per square meter, up 7.1 percent.

The average for the north stood at $107, a 5.9 percent rise but slowing down from the first quarter.