Office-tel is an emerging property investment trend in Ho Chi Minh City

Currently, asking price of an officetel located in heart of Ho Chi Minh City is just from VND 2 billion. Buyer can use it as an office, accommodation or rent it out.

Office-tels (office + hotel) are very common in developed countries like Singapore and South Korea. These office-tels usually have small size (51-55sqm) as 1 bedroom apartments for single people. Typically, they are located in central districts (CBDs) of big cities.

In Vietnam, office-tels are still uncommon in real estate projects located in center of cities, because developers are more interested in developing luxury apartments or offices for rent. For example, in HCM City, rents in the CBDs are usually very expensive. Therefore, it is difficult for small-to-medium-sized firms to find affordable offices in the city center. 

As the owner of a small textile company, Nhat Quang finds it stressful to afford all the running costs of his business. Not only rent but also many other fees like power, water, sanitation and security are always excessively high. But if he chooses a private house to set up the company’s office, it will be probably difficult for customers and partners to find out the right address. Consequently, many business owners are looking for office-tels as a convenient and more economical solution for setting up office.

Currently, in HCMC, office-tels are heavily offered in complex projects developed by Vingroup. These projects are located in central location such as Vinhomes Central Park (Binh Thanh District) and Vinhomes Golden River (District 1). Vingroup has launched their officetels with various sizes - from 48 – 73 sqm and reasonable price - only VND 2 billion.

Thanks to their prime locations, office-tels are sought after by property investors. High rental yield is another advantage of this property type.

Thus, the domestic property market has seen more investment channels in the context of market recovery. However, investors need to be careful and wise to choose the right ones and avoid risks.

Contact:
For more information or any advice, please contact:
Hot line: +84 914 818 584