An upscale Vietnamese coffee establishment has assumed control of a premium retail location on Han Thuyen Street in Ho Chi Minh City’s District 1, approximately eight months following the closure of Starbucks at this prominent site.
Adored – The three-story property is currently leased by World Coffee from Vietnam for VND700 million monthly, slightly less than the previous VND750 million (approximately US$29,000) paid by Starbucks. Even with this reduction, the rental cost still stands at almost double the typical rate for the region, making it one of the most desirable locations within Vietnam’s largest metropolis.
The estate boasts a frontage exceeding eight meters along with attractive vistas from higher levels, which justifies its elevated cost, as stated by real estate experts.
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A building under renovation on Han Thuyen Street, HCMC, where Starbucks’ premium store used to be located. Photo by VnExpress/Anh Ky |
According to brokers, it took the owner of the Han Thuyen building eight months to secure a new tenant due to the oversupply of properties in the downtown area of Ho Chi Minh City, where numerous buildings have remained unoccupied for extended periods.
The proprietors of these properties rarely hurry to secure occupants, opting instead to maintain elevated rental prices.
Starbucks has meanwhile found
a new location in
Bitexco Financial Tower
, a iconic structure, for its flagship store concept.
The newly opened store spans 500 square meters, and considering that the retail spaces on the lower levels of the tower are priced at approximately $150 per square meter, it equates to a monthly rent of about $75,000 before any discounts are applied for long-term occupants.
Starbucks intends to launch an additional upscale outlet in Ho Chi Minh City during July, situated in a downtown area.
VnExpress
has discovered that the site is probably going to be Diamond Plaza, which is situated 300 meters from Han Thuien Street.
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