Diverse demand from luxury to lifestyle segments drives positive net absorption throughout the year

• The market recorded strong net absorption of nearly 8,000 sqm in Q4 and reached 12,000 sqm in 2025. City Centre remained the top choice for international brands entering Vietnam, evidenced by Saigon Centre welcoming French luxury perfume brand Diptyque’s debut in Q4.
• Lifestyle retailers like Oh!Some, KKV and Beneunder expanded strongly in City Fringe throughout the year. Q4 also saw Singapore’s The Green Party debut at Aeon Binh Tan, while Zara opened a 3,000 sqm store at Crescent Mall, showing retailer confidence.

Supply remains unchanged in Q4, with the market recording only one new prime mall in 2025 – Saigon Marina IFC

• Prime mall supply in HCMC remained unchanged in Q4. Looking back at 2025, prime retail space increased by nearly 12,500 sqm from Saigon Marina IFC in City Centre, raising the total to 96,500 sqm, while City Fringe remained at 605,200 sqm.
• Influenced by new supply, City Centre’s vacancy rate reached 8.3% in Q4, up 5.6 ppts y-o-y but declining 2.3 ppts q-o-q. Meanwhile, driven by diverse demand and flexible leasing strategies, City Fringe’s vacancy dropped 0.9 ppts y-o-y to 2.7%.

Rents witness slight increases across the market

• In City Centre, rents maintained stable growth supported by limited supply and steady foot traffic.By the end of 2025, the average gross asking rent at ground floor reached USD 235.9/sqm/month, up 0.6% q-o-q, yet declined by 1.4% y-o-y due to new Saigon Marina IFC supply.
• City Fringe recorded gross asking rent of USD 66.0/sqm/month in Q4, up 0.7% q-o-q and 3.1% y-o-y. Despite economic uncertainties, the market maintained momentum through flexible tenant restructuring and innovative retail models.

Outlook: Experiential retail trend is focusing on high-quality and interactive spaces

• In 2026, prime mall supply is expected to remain stable while vacancy rates decline. Despite cautious consumer spending in certain segments, retail’s trajectory is clear, with experiential, immersive environments tailored to local tastes.
• However, current macroeconomic fluctuations may impact consumer sentiment and require developers and retailers to adjust strategies for each market segment.