ECONOMIC OVERVIEW

Ha Noi is a significant economic centre, however, the city experienced only moderate growth in Q1/2024 as gross regional domestic product (GRDP) growth hit 5.5% year-onyear (YoY). Services saw the greatest rise of 5.8%. Between 2026 and 2030, GRDP growth forecasts are for 8.0% per annum, according to the Ministry of Planning & Investment.

In Q1/2024, Viet Nam’s retail sales of goods and services (RSGS) reached VND1,537.6 trillion, increasing by 8.2% YoY. RSGS growth in Ha Noi was 9.3%, well above the  national average, and revenue reached VND199.7 trillion.

RETAIL PERFORMANCE

The city’s retail stock of 1,786,100 sq m NLA is accounted for by four department stores, 36 shopping centres, 50 retail podiums, 95 supermarkets, and three wholesale centres. Since 2020, growth has averaged 3% per annum. By type, shopping centres have the largest share at 63%. By location, the Secondary Area1 accounted for 41% of stock and the highest retail density of 0.5 sq m per person.

From Q1/2023 to Q1/2024, 72% of new leases by floor area were in the Secondary Area, including four districts surrounding the CBD2 and three in The West3. Lifestyle, fitness and F&B sectors all expanded in the Secondary Area. With limited stock, the CBD accounted for 14% of the newly leased area; major tenants comprise cosmetics, shoes, bags, and accessories businesses.