Savills, in collaboration with Techcombank, hosted an exclusive event, "Ha Noi Office Market - Trends and Forecasts." Savills experts shared the latest insights and trends for Ha Noi’s office market and discussed solutions for pressing occupier concerns.
Ha Noi, 16 June 2022 – The pandemic has reshaped many markets, and the office market is no exception. To discuss the changes and mark the official launch of Techcombank Tower - 6 Quang Trung, Savills partnered with Techcombank to host “Ha Noi Office Market - Trends and Forecasts”. Attendees gained an understanding of current market movements, changes, and how new working models can be implemented in modern office buildings.
Savills experts discussed how changes to work will influence corporate tenants and their demands for offices. The experts outlined that, increasingly, buildings need to cater to demands for green offices and the transition from traditional to hybrid or agile work.
Ms Hoang Nguyet Minh, Senior Director, Commercial Leasing, Savills Ha Noi, said: “Since 2021, demands from financial, real estate, ICT, distribution, and manufacturing tenants have increased. When implementing hybrid or agile models, tenants need to consider their employees’ preferences and how they practically align with a specific working model. This is essential to a smooth transition away from traditional work. How businesses and landlords adapt and respond to market changes will become a measurement of success.”
Regarding the competition, Ms Minh said that the rent of Grade A offices will depend on the future supply. For business owners, the hybrid/agile working model can help businesses optimize office space and working time. Companies also need to pay close attention to the office design, how they build their corporate culture and retain talents.
According to Savills Q1/2022 report, Techcombank Tower - 6 Quang Trung will be the only new Grade A office building in the CBD this year. The building is likely to perform well, given that it will compete with other office buildings in Hoan Kiem, many of which are more than 20 years old. Tenants will feel comfortable as the column-free floorplates promote collaboration, the air purification system creates a healthy environment, and the soundproofed floor means the offices are quiet.
Between 2023 and 2025, high-quality developments, including Gelex 10 Tran Nguyen Han, 36 Cat Linh, Tien Bo Plaza, Lancaster Luminaire and Taisei Office Building Hanoi will enter. These properties will cater to green demands and premium tenants, thanks to reputable developers, high development quality, and green certificates like LEED Gold.
Mr Matthew Powell, Director of Savills Ha Noi, said: “The changes we are seeing will influence the future of the market. Techcombank Tower - 6 Quang Trung is a world-class development that meets international standards in terms of construction quality and management. The exacting standards implemented at every stage mean tenants will enjoy flexible and luxurious working spaces. We expect Techcombank Tower – 6 Quang Trung will satisfy tenants, providing premium, inspirational spaces that uphold the reputation of the companies establishing themselves here.”
Ms Minh added: “Business should plan carefully when implementing changes. They should consider the quality of the project and the reputation of the developer. They should also consult with professional advisors. Thorough planning will reduce unnecessary costs during the leasing process, control risks, and bring greater satisfaction in the long term.
Savills 2022 Impacts report shows that workers still enjoy diversifying different types of workspaces. However, many companies want their employees back at the office full-time. According to the 2021 Savills Office FiT survey, 25% of workers said they concentrate more and 63% said collaboration is better at the office. Businesses need to give employees flexibility while providing a healthy and dynamic workplace. To meet these needs while ensuring continuity, businesses should carefully consider which offices they select, the way they set them up, and how they build corporate culture within them.
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