{"id":81911,"date":"2026-10-19T15:35:33","date_gmt":"2026-10-19T08:35:33","guid":{"rendered":"https:\/\/maisonoffice.vn\/en\/?p=81911"},"modified":"2026-10-19T15:38:09","modified_gmt":"2026-10-19T08:38:09","slug":"why-businesses-are-moving-offices-outside-the-city-center","status":"publish","type":"post","link":"https:\/\/maisonoffice.vn\/en\/guide\/moving-offices-outside-the-city-center\/","title":{"rendered":"Why Businesses Are Moving Offices Outside the City Center?"},"content":{"rendered":"

Businesses moving their offices outside the city center has become a clear trend as CBD rents rise, infrastructure in non-central areas improves, and operational optimization becomes a top priority. Instead of concentrating their entire organization in the urban core, many businesses are choosing Binh Thanh, Phu Nhuan, Tan Binh, District 7, Thu Duc City, or newly developing areas in Hanoi to secure more flexible space, reasonable costs, and better expansion capacity.<\/span><\/p>\n

1. Which Areas Are Considered Outside the City Center<\/b><\/h2>\n

Offices outside the city center are located beyond the traditional CBD core but still provide convenient access to the city center, airport, residential districts, industrial parks, or major transport corridors.<\/span><\/em><\/p><\/blockquote>\n

In Ho Chi Minh City, the core CBD is generally concentrated in District 1, while non-central and CBD Fringe areas include District 3, Binh Thanh, Phu Nhuan, Tan Binh, Tan Phu, District 7, and Thu Duc City. District 3 is considered CBD Fringe because it adjoins District 1. Binh Thanh, Phu Nhuan, Tan Binh, and District 7 are attracting many businesses because of reasonable rents, improving infrastructure, and a relatively diverse supply of Grade B and Grade C offices.<\/span><\/p>\n

\"Non-central
Non-central offices are attracting more domestic and international businesses.<\/em><\/figcaption><\/figure>\n

In Hanoi, offices outside the center are generally located beyond the traditional Hoan Kiem and Ba Dinh core, with notable areas including Cau Giay, Nam Tu Liem, Thanh Xuan, Ha Dong, Long Bien, and parts of Tay Ho. These areas are developing strongly as the urban transport network expands, the density of modern office buildings increases, and the market better accommodates technology, trading, education, logistics, startup, and medium-sized businesses.<\/span><\/p>\n

2. The Trend of Businesses Moving Outside the City Center<\/b><\/h2>\n

The trend of moving offices outside the city center is increasingly evident in Ho Chi Minh City, particularly as CBD office rents continue to rise. According to Knight Frank Vietnam data cited in the source article, total net absorption in non-central areas reached nearly 200,000 sqm over the past ten years, approximately 50% higher than in the traditional center. This indicates that demand for Non-CBD offices is no longer temporary but has become part of the long-term operating strategy of many businesses.<\/span><\/p>\n

\"Demand
Demand for non-CBD office space reflects businesses\u2019 long-term operational strategies.<\/em><\/figcaption><\/figure>\n

Rather than placing the entire organization in the CBD, many businesses are adopting a more flexible model: retaining a representative office in the center for branding and transactions while locating operations, administration, technology, or back-office functions in Binh Thanh, Phu Nhuan, Tan Binh, District 7, or Thu Duc City. This approach helps optimize rent, expand working space, and improve long-term operating efficiency.<\/span><\/p>\n

3. Why Businesses Are Moving Offices Outside the City Center<\/b><\/h2>\n

The main reasons are cost pressures, the need for larger workspaces, traffic pressure in the CBD, and the restructuring of operating models toward greater flexibility.<\/span><\/p>\n

3.1 CBD Office Rents Are Increasing<\/b><\/h3>\n

Office rents in the CBD, particularly in Grade A office buildings, are placing substantial pressure on corporate operating budgets. According to Knight Frank Vietnam data cited in the source article, rents for offices outside central Ho Chi Minh City are currently around USD 26 per sqm per month, while many Grade A buildings in the CBD have exceeded USD 50 per sqm per month. This gap is prompting businesses, especially large-space tenants, to consider relocating to more affordable areas.<\/span><\/p>\n

\"High
High office rental costs in the CBD place significant financial pressure on businesses.<\/em><\/figcaption><\/figure>\n

3.2 Businesses Need Larger and More Flexible Floor Plates<\/b><\/h3>\n

As headcount grows or operating models change, businesses need larger premises that are easy to divide into functional layouts and offer room for future expansion. However, large floor plates in central areas are generally scarce and expensive. Non-central areas such as Binh Thanh, Phu Nhuan, Tan Binh, District 7, and Thu Duc City have an advantage in available floor area and are well suited to technology, logistics, manufacturing, back-office, and internal operations teams.<\/span><\/p>\n

3.3 Traffic Pressure and Limited Parking in the Center<\/b><\/h3>\n

CBD areas usually have heavy traffic, frequent congestion during peak hours, and limited parking for employees, clients, and partners. This directly affects commuting experience, travel time, and daily operating efficiency. Many non-central office buildings, by contrast, are easier to access, offer more parking, and suit businesses with large workforces or frequent visitor traffic.<\/span><\/p>\n

3.4 Transport Infrastructure Outside the Center Is Improving<\/b><\/h3>\n

The development of major roads, inter-district bridges, and new urban areas is reducing the distance between the center and areas outside the CBD. Routes such as Dien Bien Phu, Nguyen Van Troi, Cong Hoa, Nguyen Huu Canh, Nguyen Van Linh, Hanoi Highway, and Vo Van Kiet enable faster connections to the city center, airport, ports, industrial parks, and major residential districts.<\/span><\/p>\n

\"Improving
Improving transport infrastructure outside the CBD creates a competitive advantage.<\/em><\/figcaption><\/figure>\n

3.5 Changes in Working Models After the Pandemic<\/b><\/h3>\n

After the pandemic, many businesses adopted flexible working models that combine office-based and remote work and allocate employees by functional group. As a result, the entire organization no longer needs to be concentrated in the CBD. Businesses can maintain a representative office in the center while placing operations, administration, technology, or customer support teams outside the center to use space more efficiently.<\/span><\/p>\n

3.6 The Need to Optimize Costs and Operations Over the Long Term<\/b><\/h3>\n

Moving outside the city center is not merely a short-term cost-cutting measure; it is also a long-term operating strategy. Businesses can reduce fixed rental pressure, expand their workspaces, improve the employee experience, and allocate budgets more effectively to technology, people, marketing, or business development.<\/span><\/p>\n

4. Businesses Suited to Moving Outside the City Center<\/b><\/h2>\n

Not every business needs an office in the CBD, particularly as central rents rise and operating models become more flexible. For businesses seeking to optimize budgets, expand their premises, accommodate large teams, or separate operations from a representative office, areas such as Binh Thanh, Phu Nhuan, Tan Binh, District 7, Tan Phu, and Thu Duc City can be more suitable over the long term.<\/span><\/p>\n

The best-suited groups include technology, logistics, e-commerce, manufacturing, and professional-services companies, back-office operations, customer service centers, and businesses with large workforces. These models often require large floor plates, convenient parking, reasonable rents, and flexible expansion capacity rather than a central address alone.<\/span><\/p>\n

\"Technology
Technology and logistics companies are well suited to relocating offices outside the city center.<\/em><\/figcaption><\/figure>\n

Multinational corporations and FDI enterprises may also adopt a distributed model: retaining a CBD representative office for brand image, transactions, and client reception while moving administration, operations, engineering, or internal support functions outside the center. This structure balances brand considerations with operating efficiency and reduces fixed rental pressure as the office market becomes increasingly competitive.<\/span><\/p>\n

5. Benefits of Leasing an Office Outside the City Center<\/b><\/h2>\n

Leasing outside the city center is increasingly suitable for businesses seeking to optimize costs, expand their workplaces, and improve long-term operating efficiency. Compared with the CBD, Non-CBD areas such as Binh Thanh, Phu Nhuan, Tan Binh, District 7, Tan Phu, and Thu Duc City offer the following practical benefits:<\/span><\/p>\n