Finding the correct warehouse supplier for your business is critical to its success because fulfillment is your primary point of contact with customers.
Drawbacks of purchasing a warehouse in Vietnam
High Initial Investment
The large initial cost of the deposit is one clear disadvantage of purchasing a warehouse rather than renting. In contrast to residential houses, where a 5% deposit may be sufficient, you might expect to spend anything from 20% to 40% up front when purchasing a commercial property. The shortage of available money as a result of the large deposit could substantially impede the growth of a new business.
Upkeep of the Building
Another disadvantage of purchasing rather than hiring a warehouse is that you must organize and fund all building maintenance, including council rates and other annual fees. This is not simply an additional cost to consider; it will also demand time and organization that could be better spent elsewhere.
Financial Flexibility is reduced.
Although having the ability to equip out and modify your warehouse as needed is an advantage of purchasing a warehouse, there are also drawbacks to owning a commercial property.
If your company experiences significant growth, you may not be able to capitalize on the potential for additional growth until your warehouse is sold. Furthermore, if the property market isn’t right at the time your firm is expanding, you’ll be forced to choose between staying in your current warehouse and limiting its growth or selling your property for less than you bought it for.
Outstanding benefits compared to buying a full stack warehouse
Because there are often more warehouses available for rent than for purchase, leasing a warehouse gives you more possibilities. This means you have a far better chance of finding a warehouse that meets your requirements in terms of size, location, facilities, and even equipment.
Renting a warehouse provides business independence because you can transfer to a larger site as your company grows. Furthermore, because leasing a warehouse does not demand a hefty deposit, you will have the resources accessible to capitalize on any development possibilities or to improve your firm. Renting rather than buying a warehouse makes it easier to conduct your business from several locations because you won’t have to pay the large deposit, maintenance, and upkeep charges for each new location.
Building maintenance is free
Another benefit of renting a warehouse is that the landlord is responsible for general building maintenance, allowing you to devote all of your time and resources to the growth of your business.
Savills Industrial – Best provider of warehouse space for rent in Vietnam
Though being a leader in the rental real estate industry, Savills Vietnam consistently provides a comprehensive range of services at variable leasing costs in Vietnam to meet the needs of each organization. When compared to other firms in the same field, Savills Industrial’s offers are exceptionally competitive, with a variety of services and a staff of acknowledged consultants.
Savills is honored to be the top warehouse/warehousing service provider to customers, with a strategic location next to key port locations and a large-scale bulk warehouse system.
Internationally standard infrastructure, contemporary gear and equipment, and a full range of fire protection and protection systems with cameras 24/24.
Read more: Benefits that warehouse service providers in Vietnam can bring
Some available warehouse spaces for rent in Vietnam of Savills
– Location: Bau Bang, Binh Duong Province
– Total area: 430,000 m²
– Vacant area: 225,153 m²
– Price: $4/m2
– Key features:
+ Complete design, ready-built factory with completed technical infrastructure and traffic system.
+ Suitable for light industries and small and medium enterprises.
+ Located in Binh Duong industrial zone, strategically linked with the southern key economic region, effectively managed and strongly supported by the government in tax policy.
– Location: Yen Phong, Bac Ninh Province
– Total area: 120,000 m²
– Vacant area: 70,000 m²
– Price: Contact
– Key features:
+ A vital economic zone with great transit connections
+ Developed and run by in-house teams with complementary areas of competence, such as knowledge of local features and legislation, production, economic and environmental factors, and building processes.
+ There is skilled and plentiful labor in the surrounding region. Access to the huge northern consumer markets is simple.
+ Modern facilities
+ LEED Gold Certification
– Location: Long Bien, Hanoi
– Total area: 8,900 m²
– Vacant area: 4,400 m²
– Price: Contact
– Key features:
+ Strategically located in Hanoi city; convenient transit; and simple travel between locations.
+ Located in the largest market in the North, with a highly skilled and plentiful workforce.
+ Modern and abundant facilities
+ Encouraging tax incentives
+ Long-experience landlord
– Location: Cat Lai IZ, District 2, HCMC
– Vacant area: 5,390 m²
– Price: $6/m²
– Key features:
+ Including warehouse and office space, restrooms, fire and sprinkler systems, and power stations.
+ Strategically located only 5.5km from Cat Lai port and 12km from Ho Chi Minh City center, this is a rare rental opportunity in Cat Lai, with direct access to Vo Chi Cong and Nguyen Thi streets.
Read more: Large Warehouse Southeast Asia is Crucial for Long-term Development
Making the appropriate selection when choosing warehouse space for rent in Vietnam is difficult and necessitates much planning. While it may appear to be time-consuming, taking your time and exercising caution will result in a far better long-term decision that you will not regret. Savills Vietnam can help your business reduce time spent on making decisions. Everything we perform on behalf of developers, investors, landowners, corporate occupiers, logistics companies, and public sector organizations is backed up by the Industrial Savills research team’s extensive experience and current understanding.
In all circumstances, we appreciate customer communication and on-time delivery. So, contact Savills Industrial right now to discuss your business expansion plans in greater detail.