Land Lease Industrial Park

Businesses all want to rent land and factories at affordable prices to meet their production needs. Consulting rental prices is a prerequisite before making a decision. The following article by Trang Due will provide you with information on current industrial park land rental prices.

1. Status Quo of Industrial Land Rental Prices

Although the current epidemic situation is still tense and volatile, the current situation of industrial land and factory rental prices is still assessed to continue to rise. Because Vietnam can still control the epidemic well, factories and companies still have development plans, and work is stable during the epidemic, so everything is still maintained.

Prices have been rising with investment and improvement in quality and infrastructure in these areas. According to estimates, compared with the same period in previous years, it may increase by 8-10%. Another point that leads to rising prices is that my country is still able to attract foreign investment, resulting in a shortage of industrial land and factories, creating an opportunity for rents to rise.

2. Price Stabilization Policy

However, Vietnam's economic situation is still severely affected by the outbreak, with most businesses having to suspend or keep production activities to a minimum. Therefore, it is of great significance to adopt policies to stabilize land rent with a view to solving financial difficulties.

It can be said that in the case of "absurdly high" land rents in industrial areas, the government paid attention to and intervened in this matter in a timely manner. Often, there are plans to expand the size of the industrial zone with large areas of natural land for lease. Because of this, merchants will have more choices and prices can be adjusted positively.

3. 2021 Price List of Land Rental in Industrial Zones in Vietnam’s Provinces and Cities

With the advantage of attracting a large number of overseas investment funds, industrial parks pay more and more attention to large-scale development, take sustainable development as the guide, and continuously improve to meet market demand. This helps businesses have more options when it comes to renting homes, ensures land quality and saves costs for businesses.

4. Land rental price in industrial parks

In northern provinces such as: Bac Ninh, Bac Giang, Hai Duong, Hai Phong, Hing An, Ha Nam, Taiyuan... The minimum price for renting land in an industrial park is US$58-120/sqm/cycle lease term. The average price range is US$67-190 /sqm/lease period. The highest price is US$70-260/m2/lease cycle, of which Hanoi has always been the place with the highest price.

In central provinces and cities such as Nghe An, Kuang Ngai, Quang Nam, and Da Nang... The minimum price of land for industrial parks is US$38-50/sqm/lease cycle. Average prices range from $52 to $75/sqm/lease cycle. The maximum rent is $65-100/sqm/lease cycle. Among them, Da Nang is always at the highest level.

In southern provinces such as: Ho Chi Minh City, Dong Nai, Long An, Binh Duong, Ba Ria-Vung Tau, Tay Ninh... The minimum rent is USD 50-150/sqm/lease cycle. Average rent is $90 – $225/sqm/lease cycle. The highest rents are between 100 and 300. Ho Chi Minh City has always been the area with the highest rents in this area.

5. The rent price of Nandingwu Industrial Park

As one of the industrial parks located in key areas, able to meet all the requirements of infrastructure and location, Nam Dingwu Industrial Park is the first choice. The location is the main axis of the economic triangle Hanoi-Haiphong-Quang Ninh, suitable for trade, procurement and exchange. Nam Dinh Vu Industrial Park is also convenient in the process of road, rail, air and sea transportation.

The Nam Dinh Vu Industrial Park is planned with 4 sub-districts, which are diversified in industry and activity areas. When the area has two distinct seasons and mild temperatures, it has a great advantage in terms of climate.

When renting a home here, clients will have the opportunity to own industrial land in a prime location, large, synchronized infrastructure and ready to hand over. Lease until 2059 with full and complete legal documentation. In addition, the unit now offers many tax benefits to customers when renting, such as:

• Tax free for the first 4 years;
• Support newly established, unprofitable businesses by exempting income tax for up to 7 years;
• 100% exemption from land use tax;
• 50% income tax relief for 9 consecutive years from the date the income is earned and taxable.

Along with the development of industrial parks, land rents for industrial parks and factories have risen sharply. Hope the above sharing can help people to have a more comprehensive understanding of this issue. From there, you can make the right decisions and choices that benefit your business.