CBRE Vietnam: Co-working businesses in downtown HCMC continue to expand

According to new research by real estate consulting company CBRE Vietnam, more than 4,000 square meters of co-working office space was added in Ho Chi Minh City during the second quarter of this year, with most of the new space in the city’s central business districts.

CBRE’s report noted five new co-working spaces were added in the 2nd quarter with three being in District 1, and two being in the Binh Thanh District, which is located a short distance from District 1. 

CBRE’s analysis also noted the following:

• By the end of June, there were 46,266 square meters of shared offices in HCMC

• Shared office space expanded at a rate of 101% over the same period one year earlier

• Co-working space average occupancy averaged 80% in the second quarter

• Overall, shared office space is projected to double by the end of 2019

• 54% of co-working space users in HCMC are either founders or employees of start-ups

• 14% of co-working space users in HCMC are self-employed freelancers

Nguyen Hong Hai, CEO of Pax Sky, which provides office rental services, said that co-working spaces are popular because the supply of office space in HCMC’s central districts fails to meet demand of the rising number of entrepreneurs choosing to base themselves in the city.

According to other statistics, HCMC is among the top five markets for co-work spaces with a compound annual growth rate (CAGR) of over 80% per year.