According to Lao Dong reporter's research, according to Hanoi's new land price list, houses located on Ton Duc Thang street (Dong Da district) are priced up to 264 million VND/m2.
Despite the high selling price, this "golden land" street is currently experiencing a lack of customers renting out premises.
In need of renting a business premises to open a convenience store, Mr. Nguyen Huu Tien (44 years old, Dong Da district, Hanoi) recently spent a lot of time hunting for some street-front houses with signs for rent in the district.
Due to limited capital, Mr. Tien can only rent a space of about 30-45 square meters, with a rental price of less than 15 million VND/month.
"Although many premises on Ton Duc Thang street have closed down, the rent is still sky-high, averaging around 15-80 million VND/month, causing difficulties for many tenants with limited capital like me," said Mr. Tien.
Similarly, Ms. Trinh Thi Le (living on Ton Duc Thang Street, Dong Da District) informed that the high rental price of street-front houses has also made many people with needs such as business "hesitate", causing the situation of homeowners having to hang signs for rent to become more widespread.
It is noted that not only Ton Duc Thang street, but also Thai Ha, Trung Tu, Lang Thuong streets (Dong Da district) have recently had a series of vacant business premises. Among them, many townhouses with expensive rental prices have not been able to find tenants for the past year.
Many real estate experts say that since the beginning of 2024, many townhouses in Hanoi have still had difficulty finding tenants. To overcome this situation, landlords will have to adjust prices according to mechanisms and prices that are more suitable for groups of tenants.
Accordingly, the situation of unsold premises on many central streets of the capital will be difficult to reduce when rental prices are high and there is fierce competition from e-commerce and online sales channels.
Regarding rental prices, data recently analyzed by CBRE Vietnam shows that in the next 3 years, retail rental prices in central areas are expected to increase by 7-10% and in non-central areas by 2-3%. Currently, rental prices in central areas have reached nearly 280 USD/m2/month, an increase of 18.5% compared to last year.
Mr. Nguyen The Diep - Vice President of Hanoi Real Estate Club - said that in recent months, many businesses, brands, and labels have had to return their premises and flee from major streets in Hanoi.
The reason is that many real estate segments are in the process of recovery. Meanwhile, online business is booming, direct shopping power at many service stores tends to decrease.
