Real estate suffered the blow of the pandemic 4

Real estate suffered the blow of the pandemic 4

Commercial assets, hotels, housing projects and industrial real estate in Vietnam all suffered losses when Covid-19 became complicated.

In the recently published report, CBRE acknowledged that Covid-19 has created dark patches for the Asia Pacific and global economies, including Vietnam.

Commercial real estate reduced rent

In Vietnam, the revenue of food and entertainment stores is being hit the hardest.

Meanwhile, some customers at shopping centers are trying to convince landlords to cut rent by 50% or waive rent during the complicated epidemic period.

Front house for rent on Phan Xich Long street closed on March 5.

Tourism and hotel real estate are sluggish

The number of visitors from China and Korea, the main source of visitors to the Vietnamese tourism market (accounting for 56% of foreign tourists to Vietnam in 2019), is decreasing significantly due to the restriction of flights from

According to Khanh Hoa Department of Tourism, Nha Trang market recorded a decrease of 75% of international tourists and 82% of domestic tourists in February 2020 compared to the same period last year.

The Covid-19 pandemic is a wake-up call for many hotels in Nha Trang and Da Nang, which rely heavily on group guests from these two countries.

Vietnam’s hotel and tourism market will be greatly affected in the first quarter. A few high-end hotels in Ho Chi Minh City recorded a decline in occupancy rate to only about 30-40% in February 2020 despite

Demand for renting industrial parks and logistics is on the decline

Industry and logistics decline in production capacity affects industrial real estate.

Supply chain disruption is taking place when input production materials from China account for 35% of Vietnam’s total import turnover of production materials.

Many housing projects are ‘holding their breath’ waiting for the epidemic season to pass

From after Tet to early March 2020, many investors and brokerage companies were forced to temporarily postpone project sales activities because of the psychology of avoiding large gatherings and limiting events during the epidemic.

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