Hanoi among Asia-Pacific's cheapest markets for office construction

Despite rising material, raw material, and labor costs driving construction expenses higher in many markets, Hanoi and Ho Chi Minh City remain among the most affordable cities for office construction in the Asia-Pacific region.

The findings came from the "Office Construction Costs 2025" report announced by global real estate services firm Cushman & Wakefield.

Analyzing data from 33 key cities across the region, the report highlighted that office construction costs range from $195 per square foot (approximately VND53.7 million or $2,000 per square meter) in Tokyo—the highest in the region—to $58 per square foot (about VND15.9 million or $621.5 per square meter) in Jakarta, which has the lowest costs.

Japanese cities dominate the list of markets with the most expensive construction costs, while cities in Southeast Asia, including Vietnam, boast the most competitive rates.

In Hanoi, the average cost to construct a new office is about VND17.2 million or $672 per square meter, while in Ho Chi Minh City, it is slightly lower at VND16.7 million or $652 per square meter.

Meanwhile, the cost to upgrade and renovate an existing office is approximately VND9 million/$352 per square meter in Hanoi and VND8.7 million/$340 per square meter in Ho Chi Minh City.