Revitalized Hanoi Office Market: Rising Occupancy Rates and a Shift Towards Suburban Locations

Hanoi’s Office Market to Maintain High Competition

According to William Gramond, Director of Commercial Leasing at Savills Hanoi, the shift of offices outside the city center is becoming a long-term trend, not just a temporary one. This movement is driven by key factors such as improved infrastructure, new high-quality projects, and more competitive rental rates in outlying areas.

For companies in the Finance, Insurance, Real Estate (FIRE), Information Technology (ICT), and manufacturing sectors, these factors provide an opportunity to expand or upgrade office spaces while effectively managing costs.

Gramond also believes that Hanoi’s office market will remain highly competitive as more quality projects enter the market, offering diverse options for both domestic and international businesses. This is a positive sign for the market, as new projects increasingly focus on quality, amenities, and user experience.

In the final quarter of 2025, projects like Oriental Square, Tien Bo Plaza, and The Marc 88 will add luxury office supply to Hanoi. Over the next three years, approximately 290,000 m² of new floor space, primarily in the Grade A segment, will enter the market, further driving decentralization and increasing demand for high-quality workspaces.

As new buildings join the market, older projects must upgrade to maintain their appeal. Beyond location, factors such as spacious workspaces, natural light, in-building amenities, and additional services like cafes or entertainment areas are becoming increasingly important. These elements create a more comfortable work environment, helping businesses attract and retain top talent.

Strong Shift Toward Green Office Models

According to Matthew Powell, Director of Savills Hanoi, one of the most notable changes in the office market is the strong shift toward green and environmentally friendly office models. Achieving green certifications has become almost mandatory for new buildings. Older projects must also upgrade and improve their sustainable operations to remain competitive. This is not only a global trend but also a critical factor in enhancing a building’s appeal and ensuring long-term competitiveness.

Alongside this, changes in work models—emphasizing flexibility, employee experience, and convenience—are significantly influencing how businesses choose office locations. Instead of focusing on city centers, many companies are moving to outlying areas with better infrastructure, reasonable costs, and modern spaces.

Over the next 2–3 years, a series of new projects will continue to emerge here, solidifying the trend of decentralization and diversifying workspaces. This meets expansion needs while reflecting how businesses adapt to post-pandemic work trends.