In the modern economy, leasing factories and warehouses plays a crucial role in the production and business activities of many enterprises. However, having a clear understanding of legal regulations on governing such a leasing helps enterprises ensure transparency, safety, and efficiency in their operations. Below, NPLaw invites readers to explore key legal aspects related to leasing services for factories and warehouses.

I. Current situation regarding services for leasing factories and warehouses

The demand for leasing warehouses and factories in Vietnam has been steadily increasing. In general, the vacancy rate for industrial real estate remains relatively low. The limited supply of industrial land and rising rental costs have placed significant pressure on enterprises, especially those seeking premises near residential areas to meet the demand for fast delivery services. According to CBRE, the trend of leasing multi-story warehouses is becoming increasingly popular to optimize space and meet enterprises’ operational needs. With the ability to maximize usable space, multi-story factories and warehouses are emerging as a suitable solution, particularly for e-commerce enterprises.

With the rapid growth of the manufacturing, logistics, and e-commerce sectors, the demand for leasing factories and warehouses is rising, especially in major cities and industrialized areas. Overall, the multi-story warehouse model in Vietnam is an inevitable trend to address storage space challenges and optimize logistics operations in the future, particularly in the context of increasing goods storage and distribution.

II. Legal regulations on services for leasing factories and warehouses

1. What is factory and warehouse leasing?

Factory and warehouse leasing is a process by which an enterprise or individual pays a fee to use a space (typically industrial real estate) for purposes such as production, goods storage, or inventory management.

2. Procedures for establishing a factory and warehouse leasing company

Procedures for establishing a factory and warehouse leasing company includes the following steps:

Step 1: Preparing enterprise registration information

(1) Enterprise type

Enterprises may select an appropriate structure based on the number of capital-contributing members, business objectives, and scope of operations. Common enterprise types include:

- Sole proprietorship;

- Limited liability company (single-member or multi-member);

- Joint-stock company;

- Partnership.

(2) Enterprise name

The enterprise name must comply with the Law on Enterprise, prohibiting the use of names of state agencies, political organizations, social organizations, or armed forces. In addition, those must also not duplicate or cause confusion with already registered enterprise names.

(3) Registered address

The company's headquarters must be located in Vietnam with a clear address. The registered address cannot be in a residential apartment that is solely designated for living purposes (without business functions). The enterprise can be headquartered in private residences, office buildings, or other permitted commercial locations.

(4) Charter capital

There are no requirements for the legal capital for factory and warehouse leasing businesses. However, the registered capital must reflect the enterprise’s financial capacity to operate. The charter capital must be fully contributed within 90 days from the date of receiving the Enterprise Registration Certificate.

In summary, To establish a factory and warehouse leasing company, enterprises must comply with all legal procedures, including selecting the appropriate enterprise type, registering a valid enterprise name, determining a suitable headquarters address, and declaring charter capital in accordance with legal requirements.

Step 2: Preparing an application dossier

An application dossier for enterprise registration in the factory and warehouse leasing is specified in Section 3.

Step 3: Submitting the application

Enterprises can choose one of two methods to submit their enterprise registration application:

- Direct submission: Submitting the application at the Business Registration Office of the Department of Planning and Investment in the province or city where the company's headquarters is located.

- Online submission: Accessing the National Enterprise Registration Portal at dangkykinhdoanh.gov.v submitting the application electronically.

Step 4: Receiving the result

Within 3–5 working days after submitting a valid application, the Business Registration Office will issue the Enterprise Registration Certificate. If the application is incomplete, the authorities will notify the enterprise and request supplementary documents within 60 days. Failure to provide the required documents within this period will result in the application being canceled.

3. An application dossier for establishing a factory and warehouse leasing company

An application dossier for registering a factory and warehouse leasing company must comply with the provisions of the Law on Enterprise 2020 and Decree No. 01/2021/ND-CP, including:

- Company Charter (applicable to partnerships, limited liability companies, and joint-stock companies);

- An application (proposal) for enterprise registration;

- A list of founding shareholders (for joint-stock companies);

- A list of members (for multi-member limited liability companies);

- A Power of Attorney (if applicable);

- A certified copy of the Citizen Identity Card/Passport of members and legal representatives;

- Investment Registration Certificate (for enterprises established by foreign investors or foreign-invested economic organizations).

III. Frequent questions regarding factory and warehouse leasing

1. Is the service for leasing factories and warehouses a conditional business sector?

The service for leasing factories and warehouses is a conditional business sector in the real estate industry. Therefore, enterprises must comply with legal regulations related to property ownership rights, construction standards, and environmental protection requirements. To operate legally and avoid legal violations, enterprises must ensure that all these conditions are met.

2. What industry codes should be registered for the factory and warehouse leasing service?

Enterprises must register the following industry codes: 5210 – Warehousing and storage of goods; 5224 – Cargo handling; 5229 – Other supporting services related to transportation; 8292 – Packaging services; and 7120 – Technical inspection and analysis, etc.

IV. Legal advice on the service for leasing factory and warehouse 

NPLaw would like to provide insights into legal matters related to the factory and warehouse leasing services through the above article. With a team of experienced lawyers and legal experts, NPLaw is always ready to assist and advise on issues related to such matters. For legal support, please contact NPLaw via the details below: