Vietnam office vacancy climbs to 26% as branded residences lead Asian market

Hanoi’s office market saw its Grade A vacancy rate rise to 26.2 % in the second quarter of 2026, up from 16.5 % at the end of 2025, after more than 95,700 m² of new space was added. Average Grade A rent slipped 0.8 % to about $36.8 per m² per month, prompting landlords to offer longer rent‑free periods and green‑building upgrades. Le Thi Huyen Trang, country head of JLL Vietnam, noted the market is becoming increasingly polarized.

Vietnam now tops Asia’s branded‑residence sector, valued at VND 211.2 trillion (≈ USD 8 bn), representing 20 % of the regional total. The country has a pipeline of 15,762 units across 47 projects, with 38 % aimed at the luxury tier and 83 % co‑located with hotels. Bill Barnett of C9 Hotelworks highlighted the rapid expansion driven by strong tourism and infrastructure growth.