When searching office rental in Ho Chi Minh City, clearly distinguishing Net area and Gross area is an extremely important step that helps businesses optimize their actual usage costs. Discrepancies between these two concepts can cause your monthly rental budget to differ by 10% – 20%.
So what is Net area and what is Gross area? What are the formulas for calculating Net and Gross area? Join Galaxy Office in learning and sharing contract negotiation experience to ensure maximum benefits for your business.
1. What are the concepts of Net area and Gross area?
Net area
This is the actual area that the company has full use of to arrange workspaces, meeting rooms, the CEO’s office, a private pantry area, and so on…
Features: Excluding the common areas of the building such as corridors, elevator lobbies, shared restrooms, technical shafts, and fire escapes.
Note: If renting the entire floor, the Net area equals the floor area minus public areas. Areas such as load-bearing columns, glass walls, double windows, etc., may or may not be included depending on the building's regulations.
Gross area
Is that the total area including NET area plus the allocated common use area within the building. This calculation method is typically applied when leasing an entire floor or space in large-scale Grade A or Grade B office buildings to optimize the investor's profit.
Calculation formula:
GROSS AREA = Net area + Public area
(The public area includes: reception lobby, corridors, shared restrooms, emergency exits, elevators, etc.)
2. Comparison table between Net area and Gross area
| Criteria | Net area | Gross area |
| Scope of use | Includes only the net floor area; does not include the building's common areas | Includes Net area + common use area |
| Price per m² | The rental price is usually higher because you only pay for the portion you need to use. | The rent per square meter is usually lower because it is divided evenly across the total area |
| Transparency | Easy to measure directly with a tape measure, laser measure | Engineering drawings and agreement on the allocation ratio are required |
| Relevance | Suitable for businesses looking for partitioned office spaces, Grade C offices, and low prices. | Rent entire floor, Grade A, Grade B office building |
3. Experiences to keep in mind before signing the lease contract
Determine the method for measuring the building's area
The building applies one of the three measurement methods below:
- Clear opening measurement (inside the office).
- Measure by wall centerline and partitions.
- Measure along the outer edge of the exterior walls (construction area).
Check and eliminate unused areas
- The irregularly shaped space.
- The area has many columns.
Measure in practice before signing the contract
Discrepancies can still occur. Therefore, take the initiative to measure and check again to ensure everything is correct before spending your money.
Rent an office with the exact size needed with Galaxy Office
Team Galaxy Office - a reputable office for lease consulting and service provider in Ho Chi Minh City. Supporting businesses in resolving all issues regarding prices and office lease contracts in HCMC.
To prevent budget leakage and ensure the office has the most optimal functionality for the business.
Contact us immediately at Galaxy Office To get a quote & the latest available office building list today:
Contact information:
- Headquarters: 9th Floor, Diamond Plaza Building, 34 Le Duan Street, Ben Nghe Ward, District 1, Ho Chi Minh City.
- Branch: 4th Floor, Van Loi Building, 24 Dang Thai Mai Street, Ward 7, Phu Nhuan District, Ho Chi Minh City.
- Hotline: 0939.663.882
- Email: info@galaxyoffice.vn
