Hanoi city centre and fringe to see major retail additions by 2028

More than 80,000sqm of new retail stock is in the pipeline.

Hanoi’s retail market is poised for growth over the next three years, driven by an influx of high-quality developments, according to JLL.

The firm highlighted that City Centre will welcome Hanoi Centre, adding up to 42,000 square metres of retail space in the first quarter of 2026. In the City Fringe, major projects including Westlake Square Hanoi, Thiso Mall West Westlake and Vinacomex Capital One are expected to deliver more than 80,000 square metres between 2027 and 2028.

JLL noted that demand from F&B, lifestyle, and entertainment sectors—particularly businesses targeting Gen Z and children—is expected to remain strong. The firm added that rising competition will encourage innovation in tenant mix and the development of creative business models across Hanoi’s retail market.

Here’s more from JLL:

Hanoi market recorded net absorption of 3,400 sqm in Q4, with City Fringe contributing 3,560 sqm while City Centre saw slight negative absorption of 160 sqm. For 2025, excluding Vincom Nguyen Chi Thanh’s exit for conversion, total net absorption reached 5,000 sqm.

Asian lifestyle and entertainment retailers like Oh!Some, KKV and Beneunder expanded strongly throughout the year. Q4 continued to feature a new 500 sqm KKV store at Vincom Ba Trieu, while Pop Mart opened its first Hanoi store at Aeon Mall Ha Dong.

Hanoi Centre completes construction and opens some stores in late 2025 but will only operate fully from early 2026

Hanoi Centre in City Centre completed construction and opened some stores in late 2025 but will only operate fully from early 2026. Therefore, Hanoi market has not officially recorded any new prime mall supply in 2025.

Centre vacancy rate slightly inched up to 4.6% in Q4, a 1.2 ppts y-o-y increase, due to store closures and relocations under competitive pressure. City Fringe vacancy dropped 0.9 ppts y-o-y to 6.1%, driven by diverse demand supported by flexible landlord leasing strategies.

Rents marginally increase amid competitive pressure

In Q4 2025, City Centre averagegross asking rent at ground floor sustained steady growth at USD 134.4/sqm/month, rising 3.0% y-o-y, comparable to 2023-24 rental escalation rates.

City Fringe gross asking rent remained stable q-o-q at USD 54.7/sqm/month but dropped 1.9% y-o-y due to supply changes. However, on a project basis, average rents maintained growth momentum with 2-3% annual increases.