More retailers with street front shops have given retail premises back to landlords. Many "for lease" banners can be seen on streets in the central area of HCM City, including Hai Ba Trung, Dien Bien Phu, Nam Ky Khoi Nghia, Nguyen Trai, Cach Mang Thang Tam and Le Loi.

H., who owns a house on Hai Ba Trung street in the central business district 1 in front of Tan Dinh Market, told reporters that the rent is VND90 million a month and tenants have to pay six months' rent in advance.

He said that he has two vacant houses on Ngo Duc Ke street in district 1 for lease, and the rents are VND400 million a month. He has refused to lower the rent and said he would just exempt tenants from fees for the time of interior decoration.

In another area, retail premises at No325 Ly Tu Trong street in district 1, which food and beverage brands scrambled for in the past, remain unoccupied.

The latest tenant of the venue was a briefcase and handbag retailer who began his business in late 2022. However, he has given back the premises because profits could not cover the costs.

Sources said in 2019 the rent was $14,000 a month, but the rent has been rising steadily year after year. In late 2022, the rent soared to $26,000 a month, or VND650 million.

A real estate broker told VietNamNet that retailers won’t make a profit if they set up shop in the expensive business district, because there are no parking lots in the area, while rents are high. He believes that tenants are willing to accept such high fees to increase their presence in the city and polish their brands, accepting losses.

A market analysis firm has found that the number of ads to lease retail premises on Le Loi, Nguyen Hue and Dong Khoi streets has increased by 50 percent over the last year.

The rents still stand firm or have increased slightly. The average rent is VND135 million a month for premises on Hai Ba Trung street, VND120 million on Nguyen Thi Minh Khai, VND85 million on Cach Mang Thang Tam, and VND75 million on Phan Xich Long street.

Anh Phuong