- Tags: Industrial Park Market News,
- Author: Admin STS,
- Date posted: 18/10/2026
Market Report - Southern Vietnam Factory & Warehouse Leasing Q3/2026: Rents and Occupancy
Southern Vietnam Factory and Warehouse Leasing, Q3/2026
In Q3/2026, Southern Vietnam's ready-built factory and warehouse market received over 300,000 m² of new supply, while leasing demand slowed and asking rents stayed almost flat at around USD 5/m²/month.
Occupancy remains high but has eased from the previous quarter, giving tenants more room to negotiate, especially in Binh Duong and Dong Nai. This article combines market data from Q3 and Q2/2026 from published sources to give businesses a fuller picture before choosing a site.
Q3/2026: Supply Up, Absorption Slows
According to Q3 market data, leasing activity in the South's ready-built segment has slowed markedly, although rents have held firm.
| Indicator | Ready-built factories | Ready-built warehouses |
|---|---|---|
| Occupancy rate | 88% | 80% |
| Average asking rent (USD/m²/month) | 5.2 | 5.0 |
| Rent change vs. Q2 | Almost unchanged | Almost unchanged |
- New supply in Q3 exceeded 300,000 m², mainly in Binh Duong and Dong Nai.
- In the first nine months of the year, absorption across both segments reached 0.5 million m², down 48% year on year.
- By contrast, industrial land absorption reached 163 ha in nine months, up 56% year on year. Demand for land remains healthy; only the ready-built segment is cooling.
Competition from new supply is leading developers to hold rents steady rather than raise them, in order to attract tenants.
Cross-Check with Q2/2026 by Locality
Q2 data recorded higher occupancy: 92% for ready-built factories and 91.6% for warehouses.
| Indicator (Q2/2026) | Ready-built factories | Ready-built warehouses |
|---|---|---|
| Total supply (million m²) | 6.85 | 6.6 |
| Occupancy rate | 92% | 91.6% |
| Average rent (USD/m²/month) | 4.9 | 4.6 |
By locality, ready-built factory occupancy was 94.3% in Dong Nai, 93.7% in Tay Ninh and 89.7% in Ho Chi Minh City. Warehouses in Ho Chi Minh City were 98.7% occupied, the highest in the region.
The two data sets should not be combined into a single trend line. The drop in warehouse occupancy from 91.6% to 80% may reflect new supply in Q3, but it may also reflect different coverage between the two sources. Businesses should treat the two reports as parallel views of the market.
What Tenants Should Consider
Q3 gives tenants more negotiating leverage than earlier in the year, especially in areas with new supply.
- Negotiate terms, not just price. Asking rents are holding steady, so the room to negotiate lies in rent-free periods, lease terms, escalation schedules and factory fit-out items.
- Compare several new projects. Binh Duong and Dong Nai have just received more than 300,000 m², and many projects are competing to fill up.
- Plan early if you need warehouse space in Ho Chi Minh City. Q2 data shows warehouses there almost full (98.7%), so choices are more limited and there is less room for discounts.
- Check operating infrastructure. Power, fire protection, wastewater treatment and logistics connectivity are increasingly decisive criteria, not just rent.
These are SEE the SPACE's suggestions based on market developments, not figures from the source reports.
Q4/2026 Outlook
Q4 will most likely remain a period of absorbing new supply: flat rents, stable occupancy, and tenants keeping the upper hand in negotiations. There is no official forecast specific to Q4 yet; the views below are SEE the SPACE's, based on Q3 developments and published medium-term forecasts.
- Rents: flat or very slightly higher. Medium-term forecasts expect ready-built factory and warehouse rents to rise only about 2–3% per year because of price competition from new supply.
- Occupancy: around Q3 levels (about 88% for factories, about 80% for warehouses). The 300,000+ m² of new space needs more time to be absorbed, and an outlook published earlier this year expected occupancy to improve gradually from late 2026.
- Supply: still abundant. Between 2026 and 2028, the South is expected to add more than 1 million m² of ready-built factories and warehouses, concentrated in Ho Chi Minh City (the former Binh Duong area) and Dong Nai.
- Demand: depends on large deals returning. The nine-month drop in absorption was mainly due to the absence of large transactions from Chinese companies, which contributed heavily in previous years. High-tech FDI inflows and progress in easing investment procedures are factors to watch.
Conclusion
The factory and warehouse market in the South is shifting from undersupply to a more balanced position: occupancy is still high and rents have not fallen, but tenants now have more choices and more room to negotiate. Choosing the right industrial park and the right lease terms now can save significant long-term leasing costs.
Contact SEE the SPACE for up-to-date quotes, comparisons across multiple industrial parks, and support negotiating factory and warehouse leases.
- Hotline: +84 768 999 647
- Email: leasing@seethespace.vn
- Website: seethespace.vn
Sources
- Industrial Parks in Tay Ninh | Cross-Border Manufacturing Hub
- Industrial Parks in Dong Nai | Large-Scale Manufacturing Hub
- Khu công nghiệp tại TP. Hồ Chí Minh | Trung tâm sản xuất & logistics
- Factory & Warehouse for Lease in Southern Vietnam | HCMC, Dong Nai, Tay Ninh
