Overview: District 1 and District 7 – Two Office Worlds

When searching for office space in Ho Chi Minh City, businesses most often ask the same questions:
Should we lease in District 1 or District 7?
Is it better to choose the CBD core or the modern southern urban area?
And how significant is the cost difference?

This article by See The Space provides a detailed analysis of office rental rates by grade (A, B, C), compares location, amenities, and market dynamics, and helps businesses identify the option best aligned with their budget and growth strategy in 2026.

Office Rental Comparison: District 1 vs District 7 – 2026

Unit: USD/m²/month (excluding VAT & management fees)

Source: Savills, JLL, and See The Space market data (Q1/2026)

District 1 Office Market – The Financial Center of Ho Chi Minh City

Market characteristics

District 1 is the Central Business District (CBD) of Ho Chi Minh City, hosting over 1.07 million m² of office floor area and accounting for nearly 40% of the city’s Grade A supply.
Occupancy remains consistently high at around 92%, reflecting strong and stable demand from both domestic and international corporations.

Entering 2026, District 1 welcomes approximately 32,000 m² of new Grade A supply from the The Kross project, further strengthening the premium office segment in the city center.

District 1 office rental benchmarks (2026)

• Grade A: USD 35 – 66 / m² / month
  Examples include Deutsches Haus, Bitexco Financial Tower, Saigon Marina IFC, and The Nexus
• Grade B: USD 28 – 35 / m² / month — popular among SMEs seeking a central address
• Grade C: USD 8 – 20 / m² / month — suitable for startups and representative offices
• Serviced offices: USD 45 – 550 / seat / month

Key advantages of leasing in District 1

• Strong brand positioning: a District 1 address enhances credibility with international partners
• Premium infrastructure: smart BMS systems and green certifications such as LEED or LOTUS
• Excellent connectivity: metro access, taxis, and relatively direct routes to Tan Son Nhat Airport
• Complete business ecosystem: banks, embassies, malls, and strategic partners nearby

Considerations

• Highest rental costs in Ho Chi Minh City
• Limited land availability and fewer new projects, reducing negotiation leverage
• Peak-hour traffic congestion
• Limited and costly parking options

District 7 Office Market – A Modern Southern Urban Hub

Market characteristics

District 7, particularly the Phu My Hung urban area, has long been considered a “city within the city,” known for its master planning, modern infrastructure, and strong international business community.
The district currently offers more than 180 office buildings with approximately 400,000 m² of total supply, concentrated in Phu My Hung, Tan Thuan, and along Nguyen Van Linh Boulevard.

In 2026, District 7 is expected to add over 50,000 m² of new supply from projects such as Millennial Tower and Hong Fu Plaza, increasing Grade A options and creating more competitive conditions for tenants.

District 7 office rental benchmarks (2026)

• Grade A: USD 20 – 35 / m² / month — COBI Tower, UOA Tower, Millennial Tower (new)
• Grade B: USD 20 – 24 / m² / month — the most common choice for SMEs and tech firms
• Grade C: USD 8 – 15 / m² / month — flexible, cost-efficient small offices
• Serviced offices: USD 30 – 200 / seat / month

Key advantages of leasing in District 7

• Rental rates 30–50% lower than District 1 for comparable grades
• Integrated work–live–entertainment environment: Crescent Mall, SECC, international schools, hospitals
• Strong connectivity to Cat Lai Port and Tan Thuan export processing zones — ideal for logistics and manufacturing
• Cleaner air, better urban planning, and improved employee experience
• Healthier vacancy levels, offering stronger negotiation leverage, especially in Q3

Considerations

• Further from the CBD core
• Fewer Grade A options compared to District 1 (though rapidly expanding in 2026)
• Longer travel time to Tan Son Nhat International Airport, particularly during peak hours

District 1 or District 7? Recommendations by Business Type

Choose District 1 if you are:

• A multinational corporation (MNC) or a finance, banking, or legal firm requiring a CBD address
• A company frequently hosting international clients and partners
• A FinTech, PropTech, or consulting firm seeking central ecosystem positioning
• A startup looking for flexible serviced offices in Grade B or C buildings within the city center

Choose District 7 if you are:

• An SME or startup prioritizing cost optimization with a professional working environment
• A technology, software, or e-commerce company needing larger floor plates within budget
• A logistics, import–export, or manufacturing-related business requiring proximity to ports and EPZs
• A company with many expatriate staff preferring the Phu My Hung residential community
• A fast-growing business requiring scalable space at reasonable rental levels

Five Key Considerations When Leasing Office Space in 2026

• Calculate total occupancy cost: listed rent is only part of the equation — add management fees (USD 2–5/m²), 10% VAT, utilities, and parking
• Negotiate incentives: early 2026 sees many District 7 buildings offering 1–2 months of rent-free periods for long-term leases
• Check green standards: LEED, LOTUS, or EDGE-certified buildings reduce long-term energy costs
• Plan for expansion: allocate 5–7 m² per person for traditional offices, plus an additional 10–20% for meeting rooms and common areas
• Work with a trusted advisor: See The Space provides 100% free leasing consultancy, saving up to 90% of your search time with no additional cost

Conclusion

There is no absolute answer to the question, “Is District 1 or District 7 better?”
The right choice depends entirely on business objectives, budget, and operational priorities.

If brand image and central positioning are critical, District 1 remains the definitive choice.
If cost efficiency, quality of life, and modern workspace are the priorities, District 7 delivers stronger value in 2026.

Regardless of location, See The Space stands ready to support you — from free consultation and site inspections to lease negotiation — ensuring you secure the right space at the right price.

📞 Contact See The Space for free consultation

Hotline: +84 768 999 647
Email: leasing@seethespace.vn
Website: seethespace.vn
Office: Level 11, Deutsches Haus, 33 Le Duan Street, Sai Gon Ward, Ho Chi Minh City