Strong leasing activity recorded across market segments

• Strong leasing activity was led by top Grade A buildings such as Grand Terra, Capital Place, Lancaster Luminaire, and Taisei Square Hanoi, reflecting robust premium office demand from occupiers prioritizing modern, sustainable space. Annual net absorption reached 22,700 sqm in the CBD and 17,000 sqm in non‑CBD, demonstrating strong appeal across both market segments.
• Grade B market also recorded solid full‑year net absorption of approximately 54,700 sqm, reflecting healthy demand driven by new supply and rising occupancy across existing buildings.

Influx of new supply with the addition of Oriental Square and ROX Tower Goldmark City

• Grade A in Q4 2025 welcomed the Oriental Square project (14,000 sqm NLA), marking the foundation for a new modern office cluster in Starlake township and bringing total Grade A supply to 572,200 sqm. Grade B also saw the debut of ROX Tower Goldmark City in the West precinct, adding around 60,000 sqm and raising total supply to 1,508,100 sqm.
• Grade A vacancy rate decreased to 16.5% (‑1.7 ppts q‑o‑q), reflecting strong leasing demand and healthy absorption, while Grade B vacancy temporarily rose to 16.2% (+2.9 ppts q‑o‑q) due to influx of new supply.

Gross asking rents edged down slightly as new non‑CBD supply entered the market at lower rents

• In Q4, Grade A gross asking rent averaged at USD 37.0 per sqm per month (-0.4% q‑o‑q), mainly affected by new non‑CBD projects offering lower rents. Grade B remained stable at USD 20.5 per sqm per month as new launches were in line with existing market levels while existing buildings made minor rent adjustments.
• Overall, market average asking rent edged down slightly by 0.2% q‑o‑q to USD 25.0 per sqm per month.

Outlook: Significant supply addition transforms market dynamics

• In 2026, significant Grade A new supply will launch with The Office (20,000 sqm in CBD) and IFC Westlake (60,000 sqm in Non-CBD – Starlake township). Grade A office development in the Starlake township promises to form a synchronized new office cluster.
• Grade B segment will see the launch of The Marc 88 in the non‑CBD area. Supply increase may curb market price growth, driving investors to pursue green certification for competitive advantage and sustainability demands.