In the ever-evolving cityscape of the capital, the western part of West Lake (known popularly as Tay Ho Tay) has established itself as a top destination for premium Grade A offices, thanks to its location, advanced infrastructure, and notable projects such as Oriental Square by OSI building.

Hoang Nguyet Minh, senior director of Commercial Leasing at renowned international real estate consulting firm Savills Hanoi, said, "The second half of 2024 witnessed a robust market recovery, with numerous businesses securing approvals for office relocations, expansions, or new establishments. This trend is set to fuel demand throughout 2025, with an expected absorption rate surpassing last year."

Starlake Tay Ho Tay - An international office hub with well-planned infrastructure. Photo: Savills Hanoi

According to Savills' fourth quarter report from last year, Hanoi’s total office supply reached 2.34 million square metres across 192 projects, reflecting a 9 per cent on-quarter increase and a 10 per cent rise on-year with notable projects such as BRG Diamond Park Plaza, Grand Terra, and Heritage West Lake.

Despite the 5-percentage-point decline in occupancy rates to 82 per cent due to the influx of new supplies, net leasing activity has remained positive across all segments - most significantly in Grade A offices, which have sustained continuous growth since 2010.

Relocation transactions accounted for 71 per cent of leased office spaces, with 51 per cent of tenants moving to central districts and 49 per cent heading westward.

The ICT sector led demand, comprising half of total leased spaces, followed by healthcare and pharmaceuticals at 21 per cent. The preference for green-certified office spaces is rising, particularly among European and Japanese firms.

By 2027, Hanoi’s office market is projected to expand by an additional 265,000 sq.m across 11 new projects, with Grade A offices making up 92 per cent of this supply.

Key developments set for launch from 2025 include Oriental Square by OSI Holdings, Tien Bo Plaza, 29 Ly Thai To, and The Marc 88.

Furthermore, by 2028, the Tay Ho Tay area will add over 240,000 sq.m of Grade A office spaces, cementing its position as Hanoi’s premier business hub.

Hoang Nguyet Minh believes Tay Ho Tay will be a standout market performer this year, saying, "With its prime location and continuously evolving infrastructure, the area is poised to become Hanoi’s premier business hub. Over the next five years, the increasing supply here will enhance both the diversity and quality of office spaces across the city."

Tay Ho Tay boasts a well-planned infrastructure network and a modern transportation system, ensuring seamless connectivity while addressing the congestion and parking limitations of Hanoi’s central business district.

The area provides swift access to key economic and political hubs via expanded arterial roads, including Au Co-Nghi Tam, Ring Road 2, and Ring Road 3.

Additionally, upcoming infrastructure projects, such as the expansion of Nguyen Hoang Ton Street, the construction of Tay Thang Long Boulevard, and the development of metro lines 2 and 4, will further enhance accessibility and drive economic growth.

Beyond infrastructure, this area features well-planned urban development, including large-scale projects like Starlake Tay Ho Tay, which sets aside 35 hectares for government offices.

Oriental Square by OSI- A Grade A office building designed with the 'Work - Live - Play' concept. Photo: Savills Hanoi

Tay Ho Tay is solidifying its status as Hanoi’s premier destination for high-end Grade A office spaces, with major international developers such as Mapletree and Toshin Development.

Among them, Oriental Square by OSI stands out by embracing the 'work - live - play' concept, creating a dynamic workspace that meets the evolving needs of global businesses and professionals.

As the first operational Grade A office and commercial project in Starlake, Oriental Square by OSI is setting new benchmarks for modern work environments while leading the region in sustainable infrastructure.

It is being developed with the goal of achieving LEED Gold certification, demonstrating its commitment to green building standards.

Oriental Square by OSI has been recognised by Savills Vietnam and received two prestigious awards at the PropertyGuru Vietnam Property Awards 2024: 'Best Commercial Green Development' and 'Best Office Development'.

It has also been shortlisted for the PropertyGuru Asia Property Awards 2024, underscoring its prominence in the high-end office segment.

Oriental Square by OSI not only offers an ideal workspace but also fosters a sustainable and dynamic business environment, reinforcing the western part of West Lake as Hanoi’s premier Grade A office destination.