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2024 Tourism Revival Is Positive For The Cambodian Property Sector - Part 1
2024 Tourism Revival Is Positive For The Cambodian Property Sector - Part 1
March 10, 2024, 9:17 a.m.
Recent tourism, culture and travel accolades for Cambodia should bode well for the hopes of the tourism (and real estate) sectors revival in 2024, with more international flights slowly being introduced at the three operational airports in the Kingdom, a rebranded Ministry of Tourism (MoT) Board and optimism that pre-COVID levels of tourists can be achieved before 2025.The recent Sub-Decree in 2024 on the restructuring of the Cambodia Tourism Board announced by Prime Minister Hun Manet aims to revitalise the board and mechanisms to enhance cooperation through closer partnerships between the public and private sectors. This should more strategically promote and market Cambodia’s tourism, while more direct flights will be a boon for corporate business in Cambodia.In 2022, the Cambodian tourism sector generated gross revenue of USD $1.14 billion and sustained 12.4 per cent of total employment. Cambodia attracted just over 5.4 million international tourists in 2023, and The MoT anticipates 6.6 million foreign tourists in 2024.Cambodian Tourism Data 2024Although we are only just past two months in 2024, these are also peak tourism months as the numbers usually decline heading towards April and May due to the hot weather in Cambodia and non-wintry conditions in other parts of the world from where visitors come from (outside of Asia).The latest MoT information reported in the media suggests Cambodia received more than 540,000 international visitors in January 2024 (although a conflicting report suggests this number based on the General Department of Immigration points to as many as 690,000). The top three foreign groups were from Thailand, Vietnam, and China. I can rightfully assume a large percentage visited via land crossings rather than by air travel, and indeed slightly over 206,000 tourists were international air travellers.Most of the local media have been a little carefree and over the top in reporting on the tourism numbers since the pandemic, as the numbers should be growing substantially as the country tries to reach, and surpass pre-pandemic levels. They will obviously be showing year-on-year increases as they are in most parts of the globe.The numbers for Siem Reap for January and February 2024 accounted for just over 300,000 national tourists, and slightly more than 235,000 international tourists. The markets are also insightful, the top 10 origins to visit Siem Reap in 2024 so far, are:South Korea 29,254US 24,878France 21,775Britain 19,452China 16,074Germany 14,214Japan 12,094India 8,683Russia 8,658Australia 8,544In January 2024 alone, Angkor Archaeological Park received over 115,000 foreign visitors, generating USD $5.5 million in revenue.Very few of those markets currently have direct flights to the Kingdom, but instead need to use other hubs in the region to reach Cambodia by air. International Media Coverage And Awards For Cambodia’s Tourism In 2024The Sydney Morning Herald ran an article at the start of March 2024, calling Cambodia “South-East Asia’s enticing new travel frontier”, while (perhaps more hyperbole) an article in another UK magazine ‘The Spectator’ concluded that ‘Cambodia is the best country in the world’.You shouldn't take this coverage at face value, but positive news should be welcomed and cherished, and even taken advantage of.Cambodia was elected as Asia’s Leading Cultural Destination by the World Travel Awards and Asia’s Leading Youth Travel Destination at the start of 2024.Phnom Penh was listed in the Top Ten ‘Trending Destinations’ 2024 By Tripadvisor.Several Cambodian hotels are regular recipients of international and regional awards for their standards - especially luxury hotels and resorts.More Direct Air Routes Should Mean Increased Tourism Numbers - The Gulf, India, And MoreThe launch of the new Angkor International Airport in Siem Reap has probably been a disappointment to some, but let's hope at least these are lessons learned for the current airports which are under construction - notably in Phnom Penh - the Techo Takhmao International Airport which could be operational by 2025.By the time of publishing, the three international airports in the Kingdom had only seen a marginal increase in flights in 2024. Sin Chansereyvutha, Under-Secretary of State and spokesman of the State Secretariat of Civil Aviation, confirmed as much.By the end of February 2024, there were 168 international flights per day to Cambodian airports but more air routes have been confirmed in 2024.Tourism Ministry’s spokesman Top Sopheak agrees that increasing direct flights from abroad to Cambodia with new air routes will make it easier for passengers to travel to Cambodia, the same is, of course, true for investors and property buyers. Direct flights to Cambodia from Europe, North America, Australasia, and Africa are currently unavailable.It's also no surprise that establishing government-approved business, trade and diplomatic offices in new regions leads to more air routes.IndiaThe Indian Business Chamber in Cambodia (IBCC) was officially inaugurated at the start of 2024, and its mission is to promote and facilitate trade and investment between India and Cambodia.As many as three airlines, including Cambodia Angkor Air, are linked to (for the first time) providing direct flights between Cambodia and India in 2024. This is massive news as India is hotly tipped to rival China economically. The global manufacturing and tech shift towards India, and having Cambodia tap the growing economic potential is important.Cambodia only saw 68,836 Indian visitors in 2023, but direct flights should result in a big upswing, especially if the visa process is streamlined and digitised.The Indian embassy in Phnom Penh said of the potential 2024 launch of these flights that it would “likely to open up opportunities in tourism and business partnerships". The Cambodian Ambassador to India added that the Cambodian Embassy is currently working with their Indian counterparts to reach a final decision on connecting direct flights between the two nations.The GulfCambodia opened its first private commercial centre in the UAE in February 2024 which was on the back of the Cambodia and the United Arab Emirates (UAE) Comprehensive Economic Partnership Agreement (CEPA) coming into effect in Q1 2024. Representatives from the Cambodia Chamber of Commerce, the Cambodian Oknha Association, the Federation of Associations for Small and Medium Enterprises of Cambodia (FASMEC), the Business Council of the Ministry of Commerce, the Tourism Association, agro-industry, real estate, banking, and manufacturing were in the UAE to promote new economic partnerships.Shortly after, Emirates announced the resumption of flights from Dubai to Phnom Penh to recommence for the first time since before the pandemic, albeit this time via Singapore, with the flights resuming in May 2024. It was only in Q4 2023, that Qatar Airways started offering direct flights to the Cambodian capital again and were the only direct flights to the Gulf region from the Kingdom.ASEANThere are now more routes to popular destinations such as Bangkok, Kuala Lumpur etc.Lao Airlines will offer direct flights from Vientiane to Phnom Penh starting on 19 March 2024 and will compete with Vietnam Airlines, which flies daily between the two capitals. This route has never been seen as an affordable flight compared to routes such as Phnom Penh to Bangkok or Kuala Lumpur but the Laotian airline will be offering the route three times weekly on Tuesday, Thursday and Saturday.Lao Airlines director-general Khamla Phommavanh said, “To support and facilitate tourists and business travellers who need to travel to and from Phnom Penh to the Vientiane capital, our team has studied the feasibility of connecting the capital, Vientiane and Phnom Penh carefully and recognised there is enough demand from tourists and business people for direct flights post Covid pandemic.” Read Part 2 Next Week….
BKK Area & Surroundings Condominium Projects
BKK Area & Surroundings Condominium Projects
March 6, 2024, 2:26 a.m.
The Boeung Keng Kang (BKK) area in Phnom Penh is one of the popular neighbourhoods in the capital for good reasons. It's conveniently located within walking distance of major landmarks like the Royal Palace, Independence Monument, and Tuol Sleng Museum. Beyond this, BKK is where a large number of restaurants, bars, cafes, banks, supermarkets, schools, gyms, and healthcare facilities can be found on almost every corner and street, making it a lively and convenient place to live or visit.For this reason, it has become one of the most requested locations to live in for expats in Phnom Penh and the backdrop for a variety of property development projects.  In this article, we will provide an overview and update of recent projects in the BKK area and its surroundings exploring the ones soon-to-be-completed, just launched, or those that have already been handed over.Soon-To-Be Completed Projects When it comes to soon-to-be-completed projects, homeowners are eagerly anticipating the moment they can finally enter their new units after months, and in some cases, years of waiting for completion. These projects include:Le Condé BKK1Photo Credit: Le Condé BKK1Le Condé BKK1, situated on Street 352 in the BKK1 area, is a mixed-use luxury development rising to 43 stories, by Wangfu Guoji Property Development. The project consists of 4 different types of fully furnished units including studio, one-bedroom, two-bedroom and three-bedroom with integrated smart home features.It is eagerly anticipated in 2024, as it boasts 10,000 square metres of amenities which include: BKK Avenue Retail Store, reading space, 240 m sky jogging track, indoor swimming pool, fitness centre, children's play area (800 sqm), sky garden (1000 sqm), co-working Space,  a sky bar, and infinity pool. Renowned Japanese company Hopetree will oversee Le Condé property management services. As of October 2023, Le Condé BKK1 achieved its topping-out milestone, indicating 80% completion. The project is expected to be completed this year in August.Photo Credit: Le Condé BKK1Click here to view the listingUC 88 TowerPhoto Credit: realestate.com.kh UC 88, located on Street 322 in the BKK1 district adjacent to Monivong Boulevard, marks the third construction by UC Group, following 'The View' in BKK1 and 'Golden One' in BKK3. This mixed-use development spans 49 stories, featuring high-end residential units, and a hotel. The facilities accessible at an affordable rate are situated on the 45th floor, offering city views and amenities such as an infinity pool, gym, sky bar, and sauna. Additionally, the project has a dedicated sky bar floor on the 46th level and a helipad on the rooftop. The construction of UC 88 reached its topping-off milestone in November 2023. Its full completion is anticipated by the first quarter of 2025. Click here to view the listingJust Launched & Under Construction Projects When a new project is announced, investors and future homeowners have a chance to take advantage of early offers. This means getting the best units, lower prices, and special discounts. Here are some of the newest and ongoing construction projects in Phnom Penh:Picasso 2Photo Credit: Picasso Picasso 2, was recently unveiled by its developer through its social media and a promotional banner at its future site on Street 282. This mixed-use development will rise to 56 floors, featuring high-end residential units alongside high-end amenities. Developed by Global Titan Stone Real Estate Development, Picasso 2 comes on the heels of the successful completion of Picasso City Gardens, also situated in the BKK1 area. Located near Sihanouk Boulevard, Picasso 2 is just a short walk from the Independence Monument. Its proximity to the Baitong Hotel & Resort Phnom Penh, along with nearby restaurants and services, promises convenience for its homeowners and tenants. The construction phase has yet to begin.Click here to view the listingTime Square 302Photo Credit: Time Square  Time Square 302, also known as Time Square 6, marks the sixth property venture by Mega Kim World Corp. This residential project, located in  BKK1 offers units including one-bedroom and two-bedroom options, as well as 3 and 4-bedroom duplex units. It totalled 370 units with a 48th floor with a rooftop for fitness and lifestyle amenities such as a yoga studio, fitness centre, swimming pool, and a canopy garden. In addition, on the 37th floor, residents will find a variety of facilities including a ping pong room, golf simulation area, café, lounge, games room, a children's play area, a meeting room, a cinema, and karaoke.Time Square 302 has experienced a rapid sold-out rate with buyers taking advantage of early bird prices. Its construction commenced ahead of schedule in December 2023, with completion targeted for 2027.Click here to view the listingTime Square 306Photo Credit: Time Square  Time Square 306, also a project by Megakim, represents the fifth property development situated in BKK1, on Street 306. This project is set to house a total of 350 units across 45 floors, with a design that limits the number of units to a maximum of ten per floor.The project will include the most popular facilities, such as a lobby café, gym, children's play area, games rooms, an infinity pool, and a decking area complete with a garden for hosting guests. The available units are comprised of 1-bedroom, 2-bedroom and 3-bedroom options. Construction of the project began in 2023, with an anticipated completion year of 2026.Click here to view the listingJ Tower 3 Photo Credit: J TowerOnce completed, J Tower 3 will stand as the tallest structure in Cambodia and the eighth tallest in the ASEAN region. This 77-story building, soaring to a height of 320 meters and spanning 98,480 square meters, is poised to become a defining landmark in the capital. Developed by Tanichu Group, J Tower 3 is the latest property development by the group in Cambodia, following the success of J Tower 2, both located in the BKK area. The tower will house 360 exclusive units, each offering expansive three-bedroom configurations with two size options: 166 sqm and 178 sqm.Highlighting its amenities, the sky bar and infinity pool on the 77th floor are set to enter the Guinness World Record as the world's highest swimming pool. For the residents' exclusive use, the 50th floor will feature a lounge, cafeteria, shopping, and business rooms, while the 49th floor will boast a luxurious indoor pool, spa, and sauna. Additionally, recreational facilities on the 11th floor will include a bowling alley, billiards, and a karaoke room. Construction of J Tower 3 commenced in December 2023, with an anticipated completion date in 2028.Click here to view the listingOdom Photo Credit: Urban Living SolutionsLocated on Norodom Boulevard, this mixed-use, high-rise development boasts two towers: Odom Tower and Odom Living, integrating commercial, office spaces and residential. Odom Living is a 30-story complex and features 138 units with sizes ranging from 78 to 262 square meters. Each unit is outfitted with premium fixtures and fittings, and private balconies offering views of Phnom Penh's skyline. Residents have exclusive access to a range of amenities, including a gym, swimming pool, rooftop terrace, green spaces, and a sky bridge that links to Odom Tower.Odom Tower, standing at 45 stories, will provide 40,000 sqm of Grade A strata-title office space, positioning itself as a new business hub for both local SMEs and international enterprises.The Odom project is distinguished by its LEED pre-certified gold status and environmentally smart designs, setting it apart from other developments in Cambodia. Its prime location in Phnom Penh is certainly a highlight. Furthermore, the project is developed by Urban Living Solutions (ULS), a trusted and esteemed developer in Cambodia with a history of successful projects. Construction commenced in June 2023, with completion anticipated in 2026.Click here to view the listingCompleted ProjectsFor those looking for ready-to-move-in options, completed projects provide the benefit of immediate occupancy, removing the waiting period typically associated with the construction. Potential buyers can enjoy the advantage of viewing the finished building and exploring the amenities firsthand. Notable projects in the BKK area and its surroundings include:Picasso City GardenPhoto Credit: realestate.com.kh  Picasso City Garden, a 30-story condominium, is situated in BKK1 on Street 322. The Picasso-themed residential series, developed by Global Titan Stone as mentioned earlier, features a variety of unit types, ranging from 1-bedroom to 5-bedroom apartments.The building offers various amenities, including a hanging garden, a banquet hall, a landscape fountain, an infinity pool, a paddling pool, a gymnasium, a meeting room, an international business office, a wine lounge, a restaurant, a café, and an art auction centre. Completed in 2021, the building offers 1-bedroom apartments with an average rental starting at $1,400.Click here to view the listingL’Attrait Boeung Keng KangPhoto Credit: CMED L'Attrait Boeung Keng Kang (BKK) is a premium residential condominium located in the BKK1 area, offering a range of fully furnished unit options. The building includes studios, 1-bedroom and 2-bedroom units, as well as penthouses, complemented by amenities such as a pool, gym, and private meeting areas. Developed by L’Attrait Property Development Inc., the units feature high-quality appliances and furniture, enhancing the quality of living for homeowners and tenants alike. Completed in 2021, the building's rental rates, according to realestate.com.kh, average around $650 for a studio and approximately $1000 for a 1-bedroom apartment with a view.Click here to view the listingJ Tower 2 Photo Credit: J Tower 2J Tower 2, on Street 398  is the second residential condominium in BKK1 by the Japanese developer Tanichu Group mentioned earlier. The building is 43 storeys high, with 228 fully-furnished residential units ranging in size from 65 square metres to 153 square metres.The developer strongly emphasises that the project was designed and constructed under the Japanese standard to offer their residents comfort, safety, and convenience. In addition, residents have free access to the gym, spacious parking area, boxing ring, cafe, swimming pool, jacuzzi, and a sky bar which provides great views of Phnom Penh and its surrounding localities. The building was completed in 2022, and the price of a 1 bedroom apartment is currently listed approximately at $1,200. Click here to view the listingConclusionThe BKK area and its surroundings have undergone significant transformations in property development. This area is being introduced to a range of new options that bring the standard of living to international levels within the kingdom. As the landscape continues to change, the BKK area will remain the developer’s prime location and at the forefront when it comes to residential options for both locals and expatriates alike. If you're seeking real estate in Cambodia, visit our website and social media channels to browse properties. For personalised assistance, our customer service team is available via 📞+855 92 92 1000 📧 info@realestate.com.kh 🌐 www.realestate.com.khEasy Fast & Free Realestate.com.kh helps you find your dream property or real estate investment in Cambodia.
Understanding The Cambodian Property Cycles - The Untold Story
Understanding The Cambodian Property Cycles - The Untold Story
March 5, 2024, 8:41 a.m.
Simon Griffiths, the Head Of Real Estate at realestate.com.kh recently spoke at an organised event entitled “2024 Property Market - The Untold Story” which was held in the Cambodian capital in late February and provided an overview of the Cambodian condo market background. With more than a decade of experience working in the real estate sector in the Kingdom, Griffiths joined realestate.com.kh in 2023 armed with a Master's Degree in Commercial Property Development and Management and had spent six years at CBRE as well as owning his own commercial real estate firm. In his capacity as Head Of Real Estate, he has engaged in some deep dives through the data and researched the trends with a specific focus on the condo market. We lay out his findings of the Cambodian property cycles over the past decade and what lies ahead for the sector.Understanding The Cambodian Condo Property Market Cycles2009-2013Griffiths explained that the Cambodian modern property cycle started around 2013 but the groundwork had been laid as early as 2009 when the sub-decree on co-owned buildings allowed for a hard title which was followed by the change of laws allowing for foreign ownership with certain restrictions. However, the timing was concurrent with the global financial crises which placed extreme stress on global financial markets and banking systems between mid-2007 and 2009 - ultimately it placed firm brakes on the growth of the property market in the Kingdom. Griffiths added that there were some green sprouts which arose from this first crisis - two large concrete commercial properties were built in Phnom Penh - Canadia Tower and Phnom Penh Tower.2013-2016However, the condo market was halted and there was a slow recovery from 2013-2016 in which around 5000 units or less entered the market in Cambodia. In this period, 55 condominium projects were launched which helped build momentum - although it must be acknowledged this came from a low baseline, which resulted in high growth.2017-2018From around 2017-2018 onwards, the Cambodian condo market saw a distinct acceleration and a more modern condominium sector developed, which Griffiths separates from the period of 2013 to 2016. The market also saw distinct growth of interest and buyers from Asia - including South Korea, Japan, Singapore, Malaysia, and Taiwan. 2017-2020Between 2017-2020, the Chinese market became very dominant in Cambodia - this included both Chinese developments and Chinese buyers. As the market evolved and was driven by Asian-Pacific interests, what was happening in the real estate sector, Griffiths explained, was that for example, Singaporean developers would have their own Singaporean contacts from their own Singaporean network, and the same happened with the Japanese, Taiwanese, and other markets. That's how many from the region were introduced to the condominium market in Cambodia. This buyer pool and the amount of demand being generated via international developers started to increase, argued Griffiths, and as a result, prices started to rise from a moderate base and steadily increased.Since 2013, condo prices in the Kingdom steadily increased for five years annually between 10-25 per cent and then the addition of high-end positioning of condominium projects launched into the market, diversifying what were largely mid-market products. As multiple tiers were established, buyers could choose from a selection of more affordable condominiums in Cambodia’ including mid-range condominiums and high-end. COVID-19 Placed Brakes On The Cambodian (and Global) Property MarketPrices in Cambodia for the first time reached a peak of over USD $4,000 per square meter pre-pandemic, but then COVID-19 once again caused global brakes on all growth and interactions. The period was one of uncertainty and has bled into the current period of “painful adjustment” said Griffiths. New products and new condominiums still enter the Cambodian market and the situation has changed slowly and without a sudden jolt.Some market conditions have not materialised as some expected;The Chinese buyers and investments didn't come back as anticipated.Developers who launched condominium developments pre-COVID in Cambodia, with pre-COVID pricing and demand, found themselves priced out of the market.New developments have entered and been able to adjust to a new reality and market conditions. The compound result has been a slowly increasing amount of condo supply since 2020, while demand has heavily been reduced - this has combined to drive rental prices down. Some newer developments which have launched in Phnom Penh over the past year are actually back at below 2013 prices. The market also now has more mature developers and those with a proven and successful track record of developing projects. 2024 And Beyond - What To Expect Of The Cambodian Condo MarketWhen looking at the current situation in 2024 and where to now, Griffiths said, “In my opinion, we've reached the bottom and we will start a property cycle where new project launches will offer greater value in terms of pricing, but also in terms of delivery for what they're able to offer to their buyers. New project prices are undercutting the market. And this is positive.”There are some global property patterns which are replicated he said - there are periods of growth and then a pattern of recession. Growth generally has an upward trend, especially in developing/emerging nations but this tends to be more dramatic or undergo a faster increase explained Griffiths.There are things that can be controlled, and barring any exceptional circumstances or global shocks, he anticipates a steady increase in property prices in the Kingdom.“We've been through the pain. Yes, there might be six months more to wait, but we're starting to see the early shoots as the US Federal Reserve weighs its rate-cutting decisions,  and inflation looks to be under control - the anticipated cut in interest rates in 2024 will provide a positive sentiment in the market that will trickle down to Cambodia.”No one has a crystal ball to look into the future and as Griffiths quipped “What will the property cycle look like? If I knew exactly, I wouldn't be here talking to you. I'd be a millionaire on a yacht.”However, an analysis of the data and trends suggests there is good reason to think that property prices won't stay as low as they are, which means the only way is up in his opinion.Other factors to consider for the Cambodian condo and real estate market  in the short-medium term are:The Cambodian regulatory environment means the market could see a productive development phase.More diverse financial products on the market, in terms of favourable payment terms, mortgages and loans are positive signs.Ultimately the lessons learned mean there is a more mature environment in the Kingdom - both developers and buyers. An increased number of developers with experience and who have proven that they can develop real estate products with their buyers achieving high rental yields, as well as capital gains are positive for the property condo market in the long-term.
living in siem reap 2024
Why Live in Siem Reap (Update 2024)
May 15, 2024, 3:56 a.m.
Siem Reap, a city in northwestern Cambodia, stands as a must-visit when it comes to travel to the kingdom. Best known as the gateway to the ancient ruins of Angkor, it is a focal point for tourists to explore the ancient Khmer capital city of Angkor. But beyond being home to Angkor, it is also home to many Cambodians, and expats and welcomes many visitors every year. What more does the city offer, and why are both locals and expats drawn to call Siem Reap their home in 2024? This article will bring you up to date on what the city has to offer.Cultural Immersion When it comes to culture, Siem Reap does offer loads of activities to immerse into Cambodian culture. The Angkor Remembrance Festival is also held yearly by the APSARA Authority to promote national heritage. Various booths and performances of various arts at the event were held for 10 days in front of Angkor Wat and Angkor Thom’s Terrace of the Elephants. The festival commemorates the King and the ancestors who built and maintained the temples in Angkor and celebrates the 31st anniversary of including Angkor on the World Heritage List of UNESCO.Credit Photo: Khmer TimesRecently held was the Celebration of Join-Fish Catching, which traditionally takes place at the start of the year. This event has its roots in ancient practices, with residents coming together every February to fish, especially following the rice harvest season. Overall the atmosphere is quite friendly and participants and spectators are welcome to enjoy the gathering.Credit Photo: The Phnom Penh PostOther festivals also include the upcoming River Festival and the Giant Doll Parade. The River Festival is held for two consecutive days usually in March. Art performances, exhibitions and exciting sporting events including cycling, running, boat racing, boxing and golf are expected to happen during the festival.Credit Photo: The Phnom Penh PostThe Giant Doll Parade is scheduled to occur at the end of February. Nine giant dinosaur dolls are 15 to 20 metres long and up to 10 metres high, which are being installed by a group of about 650 children from private public schools and 19 NGOs participating. The festival brings together families and showcases talents in a mystical location like Siem Reap. Credit Photo: Giant Puppet ProjectCredit Photo: Giant Puppet Project Facebook page Free Angkor Pass for ‘Angkor Wat’For foreigners residing in Cambodia for two consecutive years, a 'Free Angkor Pass' for Angkor Wat is available. The archaeological park spans over 1,626,000 m2, with plenty of places to discover. The ticket is valid for a year and offers a unique opportunity for expats to explore the ruins and the region at their own pace. Ticket passes are available for purchase and application on-site and online. Sports eventsAlthough it might seem like Siem Reap has a laid-back atmosphere, several sports events are also held in the city. Last year the renowned Angkor Wat International Half Marathon held the 28th edition attracting over ten thousand competitors from around the world at Angkor Archaeological Park in Siem Reap. There were four race categories: the 21 km half marathon, the 10 km, the 5 km, and the 3 km.Credit Photo: Angkor Wat Marathon Facebook pageThe World Kun Khmer Championship event was one of the most popular events during the Water Festival last year. It hosted its 4th edition attracting participants from all over the world, Kun Khmer and martial arts enthusiasts. The Angkor Ultra Trail 7th edition is also held in town. The event included several long-distance classes, with distances ranging from 8 to 18, 32, 42, 64 and 100 kilometres. For those curious about Kulen Mountain, a Trek-Run in the mountains organised by Green8 and the local authorities offers the opportunity to discover Kulen and enjoy the nature of Siem Reap. Abundant Nature Beyond the Angkor ruins, the region is overflowing with jungles, lakes and animals. The Tonle Sap Lake, the floating villages and a wide range of birds can be observed. If you're up for it, cycling or biking through the countryside lets you witness picturesque life in rural Cambodia.  Credit Photo: Unesco Credit Photo: TripAdvisorPreservation of the environmentAlthough Siem Reap might have the potential for large infrastructure and development to attract more tourists, preservation of the environment is a priority in the region. According to the Phnom Penh Post The Siem Reap Provincial Administration and Takamatsu City, Japan, have signed an MoU to launch "smart city" projects, supporting digital technology advancements in both regions. This initiative could potentially help improve the region.Moreover, it's important to understand that the property landscape in Siem Reap is quite distinct from Phnom Penh or Sihanoukville. Siem Reap features a mix of shophouses and villas with Cambodian architectural features alongside low-rise modern buildings. In Siem Reap, you won't find skyscrapers, buildings are required to be lower than the height of the temples. This makes the city's property landscape unique in its own way. For some homeowners, properties are more than just homes; they're also popular for rentals due to the number of tourists visiting the city. This allows homeowners to benefit from rental income and allows visitors to experience staying in these unique houses, discovering the charm of Siem Reap and what makes the city special.Infrastructure development The New Siem Reap-Angkor International Airport is set to enhance Siem Reap's connectivity with the rest of the world. Classified as a 4E International Airport, it comes with a runway capable of accommodating all kinds of aircraft, alongside the latest advancements in safety and security technology for travellers. The new airport can welcome more visitors, making it easier and more reliable for them to start exploring Siem Reap.Credit Photo: Fresh NewsIf you're seeking real estate in Cambodia, visit our website and social media channels to browse properties. For personalised assistance, our customer service team is available via 📞+855 92 92 1000 📧 info@realestate.com.kh 🌐 www.realestate.com.khEasy Fast & Free Realestate.com.kh helps you find your dream property or investment in Cambodia.
Commercial Property Cambodia
Cambodia’s Commercial Real Estate Market
February 23, 2024, 4:40 a.m.
Cambodia's real estate market is experiencing a dynamic and evolving shift, and real estate prices have generally stabilised, depending on the region and property type. Phnom Penh continues to attract investment in commercial and high-end residential properties, and the jury is out for Sihanoukville since the announcements on attracting investments to help continue to transform the region.The long-term outlook for Cambodia is generally positive, considering the ongoing urbanisation, economic development, and evolving demographic trends. According to Statista.com - Cambodia's real estate market is projected to grow by 1.56 per cent from 2024 to 2028, resulting in a market volume of USD $639.50 billion in 2028.Ross Wheble, the Country Head for Knight Frank Cambodia, adds his thoughts on the state of commercial real estate in Cambodia and what potential opportunities are within this subsector.Wheble has been based in the Kingdom for a decade and worked closely with both public and private sector stakeholders to help shape the real estate sector in Cambodia and help improve industry standards and best practices in the industry.What Are The Current Trends In The Cambodian Commercial Real Estate Market?The main types of commercial real estate are; office buildings, retail real estate, industrial, factories and warehouses, hotels, as well as commercial land. “Generally in Phnom Penh, we are now entering an oversupply scenario across all sectors, including office, retail, and hospitality, and it will take some years for the existing supply to be absorbed into the market. This has placed downward pressure on occupancy rates, rents and hotel room rates,” said Wheble.According to the Cambodian Ministry of Land Management, Urban Planning, and Construction (MLMUPC), the total investment capital in real estate and construction projects fell between 2020-2022 with all real estate sub-sectors impacted; residential, industrial, and commercial.The latest data from MLMUPC for the first 11 months of 2023 painted a more optimistic picture, with USD $5.255 billion worth of investment. The total area under development (12.69 million sqm), and total investment values were a stark increase compared to 2022.The National Bank of Cambodia reported the growth of construction in Cambodia at 1.1 per cent in 2023 and 0.5 per cent in 2022, while the real estate sector saw 0.5 per cent growth last year - a slight improvement on the 0.2 per cent in 2022. Those are low growth numbers but are still heading in a positive trajectory.How Does Cambodian Commercial Real Estate In Cambodia Compare To ASEAN Peers? Wheble commented, “The Cambodian market is still very much in its infancy, with slow demand growth for both office and retail space due to limited companies/brands/retailers entering the market. However, this also represents an opportunity for Cambodia to leapfrog neighbouring countries in terms of new concepts, technology, standards and practices that can be introduced to the Kingdom.” New regulations could be coming to help elevate building practices, while technology and conceptualisation is better being utilised in newer developments that have been announced.Looking at some neighbouring country’s commercial property markets, there are challenges being faced in most countries:Thailand - The Thai property market also didn't quite see the recovery that was expected in 2023 but it has been political uncertainty that has stalled some of the recovery. The concerns about a global economic slowdown and stricter loan criteria for properties are the concerns.The residential sector is the largest in Thailand, accounting for two-thirds of the total market value of its real estate market. As in Cambodia and other markets, commercial real estate has a long way to go.Vietnam -  Cambodia’s neighbour also saw a downturn in its property market (reports suggest that between 2022-23, the number of real estate transactions fell by as much as 90 per cent) but it is anticipated there will be a rebound in the latter half of 2024. New laws have also been passed in addition to the government policies to support the sector which are hoped to boost their market. Major cities such as Hanoi and Ho Chi Minh City have also seen a recent proliferation of new commercial real estate leading to perceived oversupply.Cambodian UrbanisationThis growth in the country’s economy has positively influenced the real estate market, with an increased demand for both mid-range and high-end properties due to the middle class's expansion. This knock-on effect means there is increased demand for better standard housing and the urban centres continue to be attractive to the younger and generally better educated population.On whether urbanisation is creating a positive impact on commercial real estate, Wheble added, “Yes, of course. An increasing population size within Cambodia's key cities will drive demand for commercial space, however, this is a long-term process as many residents coming from the provinces have a low disposable income.”According to the World Bank, Cambodia's urban population was approximately one-quarter of the population in 2020, and it is expected to reach 44 per cent by 2030. The government still has ambitious aims to transform Cambodia into an upper-middle-income nation by 2030 and a high-income country by 2050.Cambodia saw urban population growth of 3.07 per cent in 2024 (4,58 million people), with a 3.29 per cent annual growth rate for the past 10 years.Cambodian Prime Minister Hun Manet said in February 2024 that the government will continue to “future-proof Phnom Penh’s infrastructure so it can match the developmental needs of its growing population.”Cambodian Real Estate Sector ChallengesThe real estate market in Cambodia is undergoing its biggest challenges in decades and there has been a slowdown in sales of some property types as well as issues in oversupply. There have been compounding factors that have contributed to this - with post-pandemic lag, the Chinese property market worries, global economic financial concerns, and geopolitical issues.On whether the challenges faced by the Cambodian residential real estate sector have trickled down into the commercial real estate space, the Country Head for Knight Frank Cambodia said; “As I mentioned earlier, we have now entered an oversupply scenario across all sectors in Phnom Penh, similar to that of the residential sector. This has led to falling prices and occupancy rates. On the upside, this represents a great opportunity for buyers and tenants to secure competitive prices for commercial real estate.”On the sector in the long run, he has said recently that there is no doubt that the future of Cambodia is bright, with abundant business opportunities across wide-ranging sectors.
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Exploring Property Investment Options for Different Budgets in Cambodia
Exploring Property Investment Options for Different Budgets in Cambodia
February 16, 2024, 2:51 a.m.
Cambodia's economy is due for strong growth this year but that's on the back of a challenging 2023. However, some key sectors are expected to see greater improvement - but property investment shouldn't be focused on shorter time frames but much longer ones.The investment into the growing infrastructure attracts investors seeking opportunities in Cambodian real estate, and Cambodia stands out as a competitive marketplace in the region for the long term. The country is also elevating its domestic income levels and should be on target to achieve middle-income status by 2030.It's within this framework, that real estate and property, especially at their current market values, do offer opportunities for different budgets.Property Ownership Opportunities In CambodiaThere is a diverse property market in the Kingdom, from a selection of land or modern pre-built condos, as well as newer legal mechanisms to allow investments into most types of real estate and land which offer advantages and potential challenges across different budget ranges.Although not nationally implemented, the Special Investment Promotion Program For Sihanoukville In 2024 (which is open to applications now) offers another alternative investment mechanism in a specific region. It also shows the government’s flexibility in implementing pro-investment initiatives to attract the necessary FDI required to boost development. Steven Higgins, recently told B2B Cambodia that the Cambodian government’s announcement of a reduction in bank reserve requirements to 7 per cent at the Government-Private Sector Forum (G-PSF) was also a positive sign for the future as it essentially helps to inject approximately USD $2.5 billion worth of liquidity into the market. With apartments and landed property available, what types of real estate are accessible for purchase by foreign nationals and what should you be considering in terms of capital growth or yield?Cambodian citizens and foreigners can enjoy freehold ownership, with hard-title ownership being the most secure option.Foreigners can purchase condominiums and apartments with strata titles in post-2010 built buildings, adhering to specific ownership ratios and geographical restrictions. According to R.A. 4726, foreigners can buy and register (under their own name) a condominium unit in Cambodia - the Condominium Certificate of Title (CTC) will be registered under the foreigner's name too.While direct land ownership is restricted for foreigners, leasehold agreements, nominee structures, landholding companies, and Trust Laws provide viable investment mechanisms.Cambodian citizens can rightfully fully own real estate, provided all legal procedures are correctly followed. More can be read on title ownership in Cambodia. For foreign investors, condominiums and apartments constructed after 2010 are available for foreign purchase under the strata-title scheme and condos remain the most sought-after properties - but better bullet homes buying from reputable developers have been the most recent shift.There are prohibitions for non-Cambodian citizens from owning land or landed properties in Cambodia directly. Under the Cambodian Constitution (1993) and Article 8 of the Land Law (1992), “Only natural persons or legal entities of Khmer nationality have the right to ownership of land in the Kingdom of Cambodia”. However government-approved policies have facilitated other legal investments. Nominee structures, landholding companies, and the Trust Law offer alternative forms of ownership for real estate investors. H.E. Sok Dara, Director General of the Trust Regulator confirmed that by the start of 2024, there were now 810 registered Trust cases, accounting for USD $1.29 billion worth of assets. Beyond Budgets -  What To Know When Buying Real Estate Remember, budgets are not the only factor when looking to make property and real estate investments, especially if it's in a foreign country.Investment goals: Are you seeking capital appreciation, rental income, or a combination?Risk tolerance: Land development carries inherent risks while existing buildings offer immediate income but might require renovations.Expertise: Do you have experience managing construction or property management or do you need to partner with professionals on the ground?Do Your Own Research (DYOR): Thoroughly research specific areas, regulations, and development trends before making your decision and speak to trusted professionals.Explore opportunities in Special Economic Zones (SEZs) - These offer tax benefits and streamlined regulations for investors.Capital Appreciation Or Rental ReturnsAccording to the IMF Cambodia Country report, real estate and construction accounted for a quarter of corporate debt in the Kingdom, but the largest share was accounted for by retail and wholesale trade.Capital appreciation is the increase in a property's value over time, influenced by factors such as location, demand, and economic conditions and something investors and homeowners will want to consider when purchasing.For investors, the primary objective is to profit from capital appreciation by buying property at a lower price and selling it at a higher price in the future - the current market price in Cambodia means there are some great real estate stocks available at attractive prices.If you are seeking to buy and rent - rental return (also known as rental income or yield) is the income earned from leasing out a property to tenants.To ensure a steady demand for rentals, investors need to stay focused on prime locations and consider contributing factors like property demand and tenant requirements.Capital appreciation involves profit from selling property at a higher price over time, suitable for both off-plan and existing properties.Rental returns offer steady income from leasing properties, with success dependent on location, demand, and property features.Property Tax Considerations In CambodiaIn Cambodia, the property tax, officially known as the Tax on Immovable Properties (TOIP), is a yearly tax applied at a rate of 0.1% to immovable properties valued above USD $25,000 (KHR 100 million). This includes land, houses, buildings, and infrastructure. Properties valued below this threshold, as well as state-owned, agricultural, and industrial lands, are exempt from this tax. The market price of the property is determined and established by the Ministry of Economy and Finance through evaluation. For several years the Cambodian government has delayed the implementation of the country's capital gains tax - with the last delay pushing this back until 1 January 2025. The aforementioned IMF report suggested on property tax valuations, law or regulation should be required for valuations to be reassessed at least every five years, with indexing in the interim years with clear guidelines for valuations to be provided. It also suggested that the property tax, in the medium term, should be raised at a rate of 0.5 per cent and in the longer term, provide local governments with the option to set local rates within a modest range set by the central government.Overall the report suggested that there should be reform aimed at “improving property registration for tax purposes; property valuation to better track market developments; tax enforcement; revenue estimation and simulation capabilities.”Actually, the G-PSF 2023 has addressed some tax concerns and administrative reforms.Ultimately the country’s lower labour costs, political stability, and ongoing infrastructure investments are presenting attractive propositions.The best choice for you depends on your circumstances and goals and each buyer or investor needs to carefully weigh the advantages and challenges of both land and buildings within your budget range, and consult with experienced professionals for informed guidance.
Warehouses and Factories in Cambodia - What To Know
Warehouses and Factories in Cambodia - What To Know
February 9, 2024, 6:06 a.m.
Warehouses and factories play a crucial role in supporting businesses engaged in manufacturing, storage, and distribution activities in Cambodia. They are a core part of the commercial property portfolio in the Kingdom.These facilities, and naturally the land they are built on, are strategically located on the outskirts of major urban hubs to ensure easy access to transportation networks and key logistics centres, and the sheer number of infrastructure projects in development and planned means there are opportunities here.We review some of the locations of warehousing, factories, and special economic zones, as well as the essential information needed for lease terms, ownership, and prices in the Cambodian market.Cambodia's Special Economic Zones (SEZs) - Why Invest?Cambodia's Special Economic Zones (SEZs) offer incentivised opportunities for investors and businesses looking to establish in Cambodia. Warehouses and factories are essential for the core business type established in the SEZs which are manufacturing a variety of goods.Special Economic Zones (SEZs) like the Sihanoukville SEZ and Phnom Penh SEZ offer well-developed infrastructure, tax incentives, and streamlined customs procedures, making them attractive for businesses, but they are just two of dozens of SEZs in the country.These areas of economic drivers offer numerous advantages and are strategic zones typically equipped with well-developed infrastructure and utilities, which are attractive to both local and foreign businesses.SEZs are designed to attract foreign investments and industrial businesses, fostering a conducive environment for those looking to establish warehouses and factories in Cambodia.Prominent SEZs include Phnom Penh SEZ, Sihanoukville SEZ, Poipet SEZ, and Bavet SEZ, each offering unique advantages for businesses.Multinational companies such as Coca-Cola, Nike, Adidas, Yazaki, and Yeos have established themselves in different SEZs across the kingdom.Some of the more popular Special Economic Zones in Cambodia include:Phnom Penh SEZ - provides businesses with convenient access to the city's infrastructure and logistics networks.Sihanoukville SEZ - the preferred choice for businesses engaged in international trade and logistics due to its proximity to the international seaport.Poipet SEZ - located at the border with Thailand, offers businesses a gateway to cross-border trade and access to Thailand's markets.Bavet SEZ - situated at the border with Vietnam, provides businesses with proximity to Vietnam's markets.In more recent news about the developments of these economic hubs, Cambodian Prime Minister Hun Manet said at the start of 2023 that Cambodia is considering creating a special economic zone by countries. He also emphasised the importance of the Sihanoukville SEZ as the master plan for the city is being rolled out.Warehouses and Factories - Commercial Opportunities In CambodiaWarehouses and factories in Cambodia offer numerous advantages for businesses and these essential manufacturing and logistics facilities are mostly situated just outside major cities resulting in cost-effectiveness due to lower land prices and access to workers.Their proximity to transportation routes and logistics centres ensures efficient supply chain management, leading to reduced transportation costs and delays. The expansion of the transport networks and the continued investment into infrastructure is also hoped to aid the expansion of the logistics and export trade.Locations for Warehousing in Phnom Penh:Sen Sok District, located in the northern region of Phnom PenhPor Sen Chey District, situated southeast of Phnom PenhDangkao District, located to the west of Phnom PenhPricing, Lease Terms & OwnershipWarehouses and factories in Cambodia provide businesses with flexible options to suit their operational needs. Lease terms typically range from 5 to 10 years, accommodating long-term industrial activities, although shorter agreements can be arranged to meet specific requirements.Ownership of landed properties such as land and warehouses in Cambodia is open to Cambodian nationals and naturalised Cambodians. For foreigners, ownership can be secured through alternative mechanisms such as nominee arrangements, land-holding companies, and the new Trust law. As of January 2024, there are 810 registered Trust cases which account for USD $1.29 billion worth of assets in Cambodia.Prices for renting or purchasing these industrial facilities can vary widely and are influenced by factors like location, size, and available amenities. Rental rates usually range between USD $2 to £5 per square meter per month, while purchase prices can exhibit significant variability.Both warehouses and factories commonly require security deposits equivalent to 2-3 months' rent, which are open to negotiation, and advance rent payments may also be requested to facilitate smooth leasing processes.Lease terms for warehouses and factories generally range from 5 to 10 years in Cambodia, with flexible options available.Ownership is open to Cambodian nationals and naturalised Cambodians, while foreigners can secure ownership through alternative mechanisms.Rental rates typically vary from USD $2 to $5 per square meter per month, while purchase prices exhibit significant variability.Security deposits, equivalent to 2-3 months' rent, are common, with negotiable terms and possible advance rent payments.In Q4 2023, the Development of Cambodia (CDC) announced a master plan for the national transport and logistics sectors which entails more than 170 projects, with an estimated value of $50 billion. More recently, in January 2024, a cross-docking and cold storage facility was inaugurated at the Phnom Penh Autonomous Port.Cambodia's commercial real estate still holds a significant place within the country's real estate sector. Specifically, there is notable demand for factory and warehouse real estate in proximity to Sihanoukville, Phnom Penh, Poipet and Bavet primarily due to their transportation and logistics connectivity.
Special Investment Promotion Program For Sihanoukville In 2024 - Were There Any Surprises?
Special Investment Promotion Program For Sihanoukville In 2024 - Were There Any Surprises?
February 1, 2024, 5:22 a.m.
The entire industry has for some time been awaiting the confirmation of the details of the plans to address the situation in Sihanoukville with the unfinished buildings, and how the investment would be drummed up to support revitalising the coastal Cambodian city’s real estate projects.At the end of January 2024, Cambodian Prime Minister Hun Manet finally revealed the “Special Investment Promotion Program in Sihanoukville 2024” alongside Dr. Aun Porn Moniroth, Deputy Prime Minister, Minister of Economy and Finance and Chairman of the Economic and Financial Policy Committee.The measures are intended to be a comprehensive package, which we have previously discussed, aims to tackle the 362 unfinished buildings (this number has fluctuated and been reported as between 350 and 1,000 over the past year) in Sihanoukville that requires an estimated USD $1.161 billion to complete construction and help create opportunities for businesses and investors. So were there any surprises in the final plan and what has changed compared the some of the drafts proposed in 2023?Investing in Preah Sihanouk Province 2024The investment program is also part of a government initiative called “Invest in Preah Sihanouk Province 2024” which has four main objectives.Transforming Preah Sihanouk Province into an economy-based province depending on industry, tourism, and investmentSolving practical challenges that bring immediate resultsComplementing and being consistent with strategies and plans in various sectors set by the Royal GovernmentAccelerating the transformation and industrial development in Preah Sihanouk Province to have more value-added, high productivity, and competitive advantage.Investment Promotion Working Group - Preah Sihanouk ProvinceIn the news following the announcement, there was some ambiguity about the Investment Promotion Working Group in Sihanoukville as it was understood a committee had already been in place for some time to help draft this Special Investment Promotion Program in Sihanoukville 2024 plan. Either way, the Prime Minister appointed Hean Sahip, Secretary of State of the Ministry of Economy and Finance, as the Chairman as well as three Vice-Chairmen, as well as other members to form the working group.The Investment Promotion Working Group will lead, coordinate, and implement the plan and act as a “One Window Service Mechanism,” to review, decide, and issue permits or licenses as a package for investment projects and business activities.They will also prepare the necessary documents and procedures for the implementation of the work and “has the right to use the seal of the Ministry of Economy and Finance to fulfil its duties both in the original form and electronically” said the report.The main seven tasks of the Investment Promotion Working Group are:Responsible for leading, coordinating, and implementing this special program.Will be composed of relevant ministries and institutions (with several listed).Will have a secretariat and financial resources under the management of the Ministry of Economy and Finance.Need to help publicize and educate on the Invest in Preah Sihanouk Province 2024 plans.Develop capacity-building programs to ensure accountability, transparency, and efficiency.Offer ongoing monitoring and evaluation of the implementation of this special program.Provide quarterly reports and annual reports by the end of 2024.New 3-Year Visa One of the new announcements is a 3-year visa aimed at long-term purchase or rental of property investors in Sihanoukville with a value of USD $100,000+. Previously in the preparation of planning and researching the program, it was mentioned that a visa policy for long-term investors was under its scope.More details have to be announced (for example who values the project/property) but the Prime Minister said a separate Sub-decree will outline more information.It will also need to be clarified how this differs from the Cambodia My 2nd Home (CM2H) Program introduced in 2022, and the already existing options to obtain Cambodian citizenship through investments.What Will The Special Investment Promotion Program in Sihanoukville 2024 Do?One of the big changes to the previously announced plans is that the grouping of four categories seems to have been dropped - these had been categorized into four investment groups based on their nature and potential (although this may have been purely for the purpose of data collection).The program now applies to investment projects or business activities in 2024, located in Preah Sihanouk Province, and focuses on the following 3 types of projects:Investment projects or business activities related to buildings that are stalled and will start implementation in 2024;Investment projects or business activities that are not related to the unfinished buildings, but will immediately start in 2024;Expansion of existing investment projects or business activities in accordance with the specific criteria and will start in 2024.The general measures and incentives are to be implemented until 2026 and are hoped will build investor confidence and market demand through a step-by-step approach.The Cambodian Prime Minister also pledged there needs to be a positive image of the region to encourage investment and told the Preah Sihanouk Provincial Administration to ensure no illegal activities are ongoing and ensure a peaceful and secure business and living environment.Tax Breaks and Financial Incentives - Unfinished Buildings SihanoukvilleThe confirmed financial incentives tax breaks for the unfinished building construction projects are:Exemption from income tax, income tax exemption and minimum tax for an additional 3 years;Exemption from value-added tax (VAT) at the rate of zero per cent for the completion and improvement of stagnant buildings;5-year withholding tax exemption on real estate lease;Exemption of property tax and exemption of administrative sanctions;Exemption from payment of public services and fees in excess of the land use index for construction-related permits;Provide concessions on inspection fees and other certifications related to construction.What Are The Non-Financial Incentives?In addition to the above, the Cambodian government will:Facilitate the procedures for applying for a permit from the competent authority related to construction work;Help facilitate investment and business procedures, including applying for licenses, certificates and permits;Establish policies and facilitation, and provide investor matching services, including reference pricing for real estate in Sihanoukville;Promoting the use of out-of-court dispute resolution mechanisms in accordance with legal provisions for investment-related disputes.Non-Construction Projects & Expansion of Business Investment Incentives - SihanoukvilleFurthermore, for investment projects that are not related to the unfinished buildings or additional investment projects or business activities that can start immediately from 2024 in Preah Sihanouk Province, there are also announced benefits.These include:The facilitation of investment and business procedures, including applying for licenses, certificates and permits;Special incentives such as import tax, patent tax, billboard tax, withholding tax on real estate rental and registration fee, etc.Incentives for income tax exemption, income tax exemption and minimum tax exemption for an additional three years for qualified investment projects and tax-registered small and medium enterprises (SME).Can apply for zero per cent value-added tax (VAT) for small and medium enterprises registered for tax purchase of locally produced inputs.Three-year income tax exemption incentive based on the ratio of the capital expansion rate and the allowance of 150% multiplied by the income to be received.It should be noted that there is an additional section of the plan dealing with current investment in Cambodia, wishing to expand, especially expansion on projects as well as encouraging more investment into the infrastructure and Special Economic Zones. This also refers to:Turning land into industrial or enterprise cluster zones and/or tourism areas.There will be pilot test areas which could be - Special Economic Zones, Great Tourism Zones, Free Trade Zones, Industrial Cluster Zones, or Customs Bonded Warehouse.This program is intended to attract opportunities for businesses looking to invest or expand in Sihanoukville as well as revitalise the region to rid the city of these unfinished construction projects. Furthermore, this is being treated as a “Live Document” that may be revised, so any investors looking into this program should stay on top of any possible changes.
Cambodia Property Outlook 2024
Cambodia Property Outlook 2024
January 28, 2024, 3:58 a.m.
Although there is a wait-and-see attitude from first-time buyers looking for the right development, investment groups could be taking advantage of some of the opportunities with certain sectors of the property market hoping to buy up stock at lower prices. The global and regional uncertainties still weigh on investors, and construction carries on, especially in Cambodia’s capital. The back end of 2023 saw a few large sites hold their topping out and launch ceremonies, with at least three condo developments (when completed) due to be among the tallest buildings in Phnom Penh. Tom O'Sullivan, Director and CEO of Realestate.com.kh, shared his expectations for the real estate market in Cambodia in 2024 with B2B Cambodia, saying he expects the market to marginally improve in 2024. “We will see fewer launches and buyers soak up the existing stock which is needed, and among the confirmed launches this year I have seen in the pipeline, they are well suited for where the demand is in the market.”The ongoing Chinese economic challenges have continued and will impact Cambodia and could limit Chinese buyers in the region, while long-term effects from the pandemic such as inflation are still having an effect. However, there is great property stock and the change of government in 2023 has offered confidence for the longer term.Positive Cambodian Property News In 2024There have been a number of positives in the news too.The predictions for the ASEAN+3 region – which encompasses the 10 bloc SEA members and China, Japan and South Korea – are expected to continue to have good economic growth in 2024. The Macroeconomic Research Office (AMRO) has projected a growth forecast of 4.5 per cent in its latest report, indicating Cambodia’s growth to be 6.2 per cent. National Bank of Cambodia (NBC)'s Governor Chea Serey has painted an even rosier picture, suggesting growth in Cambodia will be 6.4 per cent in 2024.Singaporean multinational hospitality group, Banyan Tree Holdings Limited announced they will launch a hotel and resort project in Cambodia in 2024 called ‘Angsana Siem Reap’ and will offer 158 rooms, suites, and villas (expected to be in Q3 2024).Novotel will also open the doors to its first Cambodian property in Q1 2023 at the Novotel Sihanoukville Holiday Resort.Some Of The Best Condominium Projects Due To Be Handed Over In 2024 - Phnom PenhIn 2024, more than ten condominium projects are expected to be completed in Phnom Penh, with the locations of these condo projects spread across the expanding city.1. Le Conde BKK1Le Conde BKK1 is a 43-storey condo tower and will be a new focal point in the rapidly expanding BKK1 district of Phnom Penh. Managed by Japanese property management firm, Hopetree, 1 Le Conde BKK1 is regarded as one of Phnom Penh's foremost extensive mixed-use real estate developments, offering a generous 10,000 square meters of amenities and a sophisticated design.There are options of four different types of fully furnished condo units including studio, one, two, and three-bedroom units. Among the residential highlights will be a Sky Jogging Track, an Indoor Swimming Pool & Fitness Centre, a Children's Play Paradise, an Immersive Sky Garden and a stunning Infinity Pool.Available units: Studios, 1-3 bedrooms, and sky villas.2. Diamond Bay GardensDiamond Bay Gardens is a 39-floor luxurious residential complex located on Diamond Island (Koh Pich) in the capital with great views of the Mekong and confluencing rivers.The project features ample parking, on-site shopping and dining and residents will have access to a riverside running track, pool, fitness centre & yoga room, and a kids playground. A rooftop oasis provides a 360° cityscape with a sky bar close at hand. A Sky Bridge will connect all three towers.Available units: Studio, 1-3 bedrooms3. Prince Happiness PlazaPrince Happiness Plaza is a 43-floor mixed-use development project located in the south of Chamkarmon district, on Monivong Boulevard in the centrally located Chamkarmon district.The strategic positioning means Prince Happiness Plaza enjoys access to a comprehensive range of surrounding amenities. Within the development are an international business complex, 1,780 residential units, five high-class grade-A office spaces, a retail high street, a five-star hotel, and more.Available units: Studios, one-bedroom, and two-bedroom residences.4. RealHope RealHope is a brand-new, move-in-ready 27-floor condo apartment building in Chamkarmon, Phnom Penh, situated close to the key Mao Tse Toung Boulevard. RealHope offers a majority of unit types tailored for smaller households, from studios, one-bedroom apartments or spacious two-bedroom apartments. RealHope offers the immediate transfer of property rights, providing buyers with an added layer of security and peace of mind. Available units: Studio, one-bedroom, two-bedroom5. One 70ONE 70 stands a 37-story luxury apartment building based at Street 70 im DaunPenh, near Monivong Boulevard. Offering an array of upscale lifestyle amenities, it also benefits from several amenities such as banks, multinational corporate headquarters, hotels, shopping centres etcONE 70 has a rooftop garden with a sky bar, a restaurant serving both Western and Chinese cuisine, a rooftop swimming pool, spa and a well-equipped fitness club.Available units: Range of studios / one-bedroom and two-bedroom apartments. New Guidelines For The Cambodian Construction Sector Due In 2024In addition to the ongoing hotel, condo and other projects, 2024 should see the introduction of new rules and regulations for the construction industry in Cambodia, with these being drafted by the Ministry of Land Management, Urban Planning and Construction (MLMUPC).Professionals within the local industry have been requesting standardised building codes to be implemented. The ministerial working group has been rumoured to be adopting the Eurocode as a basis to follow - establishing a building code for the sector is expected to be quickly adopted but if adhered to will bring the Cambodian building codes and construction practices in line with international standards.Finally, the Cambodian Prime Minister's recent trips to Japan, France, Davos, and the upcoming trip to Thailand have also been accompanied by a raft of economic agreements and a generally positive sentiment toward doing business with and in Cambodia. You can also read more in our look at other trends for the property landscape in 2024 here.
novotel resort sihanoukville
New 4-Star Novotel Holiday Resort in Sihanoukville Set to Open in February
January 26, 2024, 8:04 a.m.
Exciting news for travellers headed to Sihanoukville! The Novotel Sihanoukville Holiday Resort is the latest addition to the city's hospitality scene, and it will welcome its first guests on February 9th.Located near the Independence Beach in Sihanoukville, the resort’s prime location offers guests views over the Gulf of Thailand. Its contemporary design, and world-class amenities, are set to become a first choice when it comes to quality staycation in Sihanoukville for business & leisure travellers. The resort has various accommodation options, with the Superior Suite with ocean view being a standout choice. While the hotel and its accommodations alone are reason enough to visit, the Novotel Sihanoukville Holiday Resort also goes beyond dining and entertainment options. Credit: Novotel Sihanoukville Holiday Resort Facebook pageThe resort's restaurant, Food Exchange, promises international cuisine, while the AQUA BAR & GRILL serves dishes inspired by Southeast Asian street food favourites. For a more sophisticated evening, the Domrei Bar & Cigar Lounge is an exclusive adult-only venue with a fine selection of drinks and cigars in an elegant setting. Additionally, the resort's pool area is dedicated to relaxation and family fun.Credit: Novotel Sihanoukville Holiday Resort Facebook pageCredit: Novotel Sihanoukville Holiday Resort Facebook pageCredit: Novotel Sihanoukville Holiday Resort Facebook pageCredit: Novotel Sihanoukville Holiday Resort Facebook pageCredit: Novotel Sihanoukville Holiday Resort Facebook pageNovotel Sihanoukville is a member of the Accor Group, which also manages renowned hotels like Sofitel Phnom Penh Phokeethra, Sofitel Angkor in Siem Reap, Tribe Phnom Penh Post Office Square, ibis Budget, Raffles Hotel Le Royal, and other well-established names in the South East Asian hospitality industry.Recent developments in SihanoukvilleDuring the pandemic, many individuals perceived as undesirable left the city, resulting in the abandonment of numerous properties. While this initially appeared to have a negative impact, it ultimately cleared the way for new development initiatives, and the government enhancing new ways to resolve the stalled buildings. Sihanoukville conveniently located just a 2.5 to 3-hour drive from the capital city of Phnom Penh, has become one of the popular cities, along with Siem Reap to visit since the expressway opened in 2022. The expressway has significantly improved accessibility to coastal regions making it more convenient for people to travel and reducing travel time. Furthermore, one notable improvement has been the enhancement of the new passenger ferry terminal facilities, supporting the transit of visitors from Sihanoukville to Koh Rong and Koh Rong Sanloem.Credit: Khmer Times/ Sihanoukville ExpresswayIf you're looking to rent, buy, or sell properties in Sihanoukville, explore a wide range of options on our website by clicking here, or get in touch directly with one of our experienced agents here.To read more articles on our news page, Click Here
Best Laneways In Cambodia
Best Laneways In Cambodia
January 26, 2024, 9:17 a.m.
Although laneways in the Kingdom have been a feature over the past decade, they have evolved, popped up in new locations, and in some instances transformed the residential area into a sprawl of nightlife, bars, eateries and social hangouts, as well as hub for arts and culture.This also means from a property perspective, Bassac Lane for example, which for the last few years has morphed into the liveliest and biggest laneway in Phnom Penh, has also boosted F&B, retail, and residential property prices, although its popularity means there comes additional bustle and noise, especially over the weekends.With the property market in the Kingdom seeing falling and more realistic prices, it also means there are more opportunities for potential repurposing of existing retail and residential properties, with many on the laneways listed in the article below a good indicator of how homes, villas and business units can be adapted - not only for F&B - but co-living spaces, or even budget hotels. It also spurs an entrepreneurial spirit and allows for more creative small businesses to have a platform and a base in the various Cambodian cities.The "laneways" in Cambodia are similar to those popularised in cities like Melbourne or Tokyo, with their narrow streets and alleys offering a plethora of trendy and unique outlets creating a unique atmosphere and experience for residents and multinational visitors alike. Pub Street - Siem ReapMaybe we are cheating or bending the rules to include the most busy and popular “walking street” in Temple Town, but Pub Street with its location in the heart of Siem Reap, is a bustling pedestrian avenue which is most well known for its lively nightlife, restaurants, and bars. Purists will say it's not a traditional laneway, but there is undoubtedly a vibrant atmosphere and it remains the main destination for tourists visiting the nearby Angkor Wat temples who want to unwind and take in some beverages and sample the local and international cuisine.In addition to its diverse culinary options, Pub Street attracts revellers due to its vibrant nightlife, from live music to bars showing sports broadcasting live events, and laid-back lounges where you can relax and enjoy locally concocted cocktails.Pub Street is especially popular and crowded for holidays such as Khmer New Year and International New Year as well as other local cultural holidays.Bassac Lane - BKK, Phnom PenhIt's been fascinating to see the growth and popularity of Bassac Lane - especially post-pandemic - as it's not even arguably the go-to destination for nightlife in the Cambodian capital - it's where all visitors and most expats and locals head to on the weekends.What started as a small selection of carefully designed and themed bars and dining outlets on Street 308 between Norodom and Sothearos Boulevards a decade ago, has seen the small laneway grow into multiple laneways and dozens of cocktail bars, eating complexes, clubs, hidden bars and so much more in the trendy Bassac area of BKK1.With its central location near the Independence Monument and the famous Wat Botum Park, Bassac Lane has become a trendy and hip area with a variety of bars, restaurants, music venues, and boutique shops, which has seen local Khmer shophouses and renovated colonial-era buildings transformed.A popular hub for locals, expatriates, and tourists - it's difficult to keep up with the new outlets and offerings although there are some long-standing classics such as Mama Wongs or Red Bar still remain, but it's never dull if you are seeking to sample a wide selection of food or drink, especially over the weekend.Bassac Lane also hosts exhibitions, pop-up markets, and street festivals.Langka Lane - Independence Monument Phnom PenhLangka Lane is an alleyway and laneway on St 51 and the corner of St 288 which offers several new and trendy restaurants, bars and other boutique businesses.One of the newer gems in central Phnom Penh situated close to the Wat Langka and Independence Monument in Boeung Keng Kang 1, there is a great selection of cocktail and craft beer bars - and all on the doorstep of several hotels for the convenience of visitors.Some highlights include Embargo which has one of the best selections of regional and local craft beers and an upstairs area for board games and retro games, the locally run SAK Pub Craft Beer & Bites, the ever-popular Katansashi fusion Japanese restaurant as well as half a dozen other Japanese and Asian eateries, Garage Sale with its fantastically decorated interior and smash burgers as well as its retro arcade games, long-standing burger outlet Burgershack, and one of the best French restaurants in the city - Le Langka. Recently joining the eclectic selection of options has been Boma - which serves Mediterranean cuisine. The small laneway in Kampot has sprung up and features a small selection of outlets such as a cafe, craft bar and even a tattoo parlour. Located not far from the river and from the downtown Old Market, the small Kampot Lane is dubbed as the “Little Alley Of Fun”.Kampot remains a popular getaway destination from the busier Phnom Penh and has always had a thriving foodie scene, and the laneway is a nice relaxing escape which offers visitors and tourists an opportunity to unwind in the riverside town.Palace Lane - Royal Palace Area Phnom PenhThe launch of the Palace Lane concept laneway in Phnom Penh just after the pandemic subsided could have been seen as a risky move at the start of 2022. The intention was to offer the best of local and international food, drink, and music in a safe environment for its customers, and the range of outlets such as Fernando’s Piri Piri Chicken, Craft, Planta, Pizza Factory, Cambodia Bagels, down the actual laneway but flanked by equally popular Box Office, Villa Grange, and The Vine, means there is plenty of dining, drinking and social option within a small area closely located to the riverside and the Royal Palace.Cambodia Bagels and Pizza Factory (branched out also as Burger Factory) now has other delivery outlets in the city due to the popular demand.The location of Palace Lane, situated between St.240 and St.244 (also known as 240 and a half) used to be a popular hangout with venues such as Bar Sito and Artillery but both had closed but have been revitalised over recent years.A small investment group rented the properties, added the new outlets next to French-Khmer cocktail bar Bong Bong Bong, added new street art and a regular lineup of music and now Palace Lane is a regular laneway destination in the capital.On January 27th, 2024 near the laneway on St 244, there will be a Beer Festival promoting local and regional craft beers and food with a kids and family-friendly atmosphere.
Best Cambodian Family Parks & Activities In 2024
Best Cambodian Family Parks & Activities In 2024
January 31, 2024, 2:06 a.m.
With the new year upon us and the schools having re-opened across Cambodia, there is generally also an influx of new residents to the Kingdom, some of whom will undoubtedly have made the move for the first time with their families.Although Phnom Penh, for example, can’t ever claim to be the greenest city in the world, there are some green spaces and parks as well as other family-friendly attractions and great activities to be enjoyed, with other Cambodian cities and urban areas also taking these into consideration. Beyond the usual commercial and retail property developments, markets and tourist attractions help contribute to the economy and encourage small and medium-sized businesses, while foot traffic and motorised traffic at these attractions and activities also play their part in urban planning and on residential and business property prices. What Cambodian Parks Can You Enjoy In 2024The capital of Cambodia and other towns and cities have been diversifying the use of available land by adding new family-friendly attractions to their urban environment, and hopefully, more green spaces, as these have been proven to be important for many reasons. Samdech Vibol Panha Sok An Kirivong Cultural Park - TakeoThe cultural park is due to be completed in Q1 2024 and is being developed by SOMA Construction & Development Co., Ltd. in Boeung Tonleab, Preah Bat Choan Chum commune, Kirivong district, in Takeo province. Intended to be 500 meters long and 100 meters wide, the Samdech Vibol Panha Sok An Kirivong Cultural Park is located along National Road 2 and has been funded by the family of Samdech Sok An in tribute to the deceased former Cambodian Deputy Prime Minister who grew up in the area.Based on the initial photos released by SOMA towards the end of 2023, it is looking very family-friendly and picturesque.Included at the park will be a statue of Samdech Sok An, a library, sports court, gyms, café, a lounge, as well as a kid's playground. In addition, the water features mean there is a boating area planned as well as other public events areas.The Cambodian park is intended for locals and guests to enjoy a leisurely walk and to exercise, while the public library will be available to help empower education and “to serve other public interests in the future”, said the province's governor. Takeo is also one of the stops on the southbound passenger train from Phnom Penh so it's an easy day trip from the capital.Coconut Park - Phnom PenhOne of the most popular parks in the Cambodian capital, Coconut Park is a free public park located on Koh Pich and has some greenspaces as well as restaurants, bars, a roller skating rink (CIS Roller Dome), bike trails, a Splash Pad, and the area also has been host to markets and other events.The Makerspace Ceramik Art Studio also has a range of interactive activities for kids and adults with the creative space providing a Lego studio.Aquation Phnom Penh / Treellion ParkNot far from Coconut Park, Treellion Park is home to the city’s only put-put course (Birdies Mini Golf), and the DIB club swimming pool is popular for all ages. The surreal statues and garden decorations make Treellion Park an interesting place to wander around and there are increasing choices of eateries such The Bus and the Glasshouse.  The area has also been used for concerts and music and themed events. There was even karting introduced in 2023 (Kart Station) but this appears to have been suspended.Sunshine Family Park - Phnom PenhThe Sunshine Family Park is located in Phnom Penh on Ayasmayan West Street (113) which was completed towards the end of 2023 and is self-billed as a “power-free amusement park” thus, the first of its kind in Cambodia.Presented as a theme park with staff in costumes, there are plenty of Instagram moments, with inflatables set up for youths to play on, but there are also slides, jungle gyms and other attractions intended for kids. The venue has already been holding live music concerts so it may not suit everyone’s tastes, and there is a night market selling food and drinks. Garden City Waterpark - Phnom PenhAlthough not a green park, this water park is a welcome relief to the endless hot months in Cambodia, and the Phnom Penh water park is probably the biggest in the country offering more than 38 slides as well as a 550-metre-long Lazy River. The Kids Paradise water playground is PG13-safe but older kids can still get their thrills on slides such as the Kamikaze water slide.Kampot River ParkAlthough it can get busy, especially over the weekends, the Kampot River Park offers water slides, a water park, zip lines, as well as activities such as kayaking, paddle boards and pedal boats to be used on the river. There are also bungalows and a restaurant serving local food as well as drinks.Located at the Toek Chhou Rapids approximately 10 kilometres from Kampot in Bat Kbal Damrei village, Makprang commune, the park is meant to be open from 10am to 5pm.Suggested Cambodian Family Activities 2024Angkor Eye - Siem Reap Siem Reap has ample green space and plenty to do for locals, tourists, and expats. One of the attractions worth families checking out away from the temples is the Angkor Eye, which is a 60-metre-high Ferris wheel (the tallest in the Kingdom) offering stunning views of the countryside and a different perspective of the famous Angkor Wat complex. It's worth booking a trip at sunset for the Golden Hour at and stunning views and family portraits. You can also book an afternoon tea or cocktail experience in one of the capsules.Kids of all ages are welcome if accompanied by an adult, and as a bonus, children under 3 ride for free if accompanied.KHMER Streat - Food Festival & Night Market There have been an increasing number of markets to pour over the weekends in Cambodia’s capital - with farmers markets proving a hit.This new food and night market is planned to launch in January 2024 and will be located in the Koh Norea area which is undergoing massive development.KHMER Streat - Food Festival & Night Market is intended to be for families and individuals and will offer Cambodian and international cuisine with entertainment also planned such as live music, cultural performances, and games. The market is scheduled to be open from 4-11 PM on Fridays, Saturdays, and Sundays.N5 Night Market - Phnom PenhOpened in November 2023, N5 is the Biggest Night Market in Phnom Penh. There are several such markets in the city, including the Night Market in Borey Peng Huoth Boeung Snor, Prince Plaza Night Market, and 60M Night Market etc. On its debut to the north of the city, it was estimated to have received as many as 30,000 visitors enjoying goods from over 300 vendors! The park was developed by Prince Real Estate which has a view of ‘building a better life’ and modernising urban Cambodia through high-quality developments. The development costs totalled USD $1 million, and the park covers an area of 18,000 square meters. There are food, drinks, handicrafts, a graffiti wall, as well as live music shows, a kid’s playground, grass lawns and even a gaming zone.These are just a small selection available but with the anticipated publication of ‘Projects for Phnom Penh: Urban Green Network Regeneration’ by Urban Lab and the American University of Phnom Penh in 2024, more eco-friendly and sustainable markets and urban spaces will be placed in the spotlight as the urbanisation of the Kingdom of Cambodia races into the future.
ENHANCING PROPERTY MANAGEMENT: MOU SIGNING BETWEEN PICASSO CITY GARDEN AND HEALTH & WELLNESS POWER TEAM
ENHANCING PROPERTY MANAGEMENT: MOU SIGNING BETWEEN PICASSO CITY GARDEN AND HEALTH & WELLNESS POWER TEAM
January 11, 2024, 7:53 a.m.
On January 9th, Picasso City Garden, a luxury apartment in BKK 1 owned by Titan Stone Real Estate Group, entered into a partnership with five institutions under the Health & Wellness POWER TEAM, a combination of well-known local medical and health care institutions. Through this formal MOU Signing Ceremony, Picasso Property The powerful combination of management brand and medical brand has achieved a "win-win" strategy for both parties, allowing better medical and health care services to benefit all residents of Picasso.The Health & Wellness POWER TEAM is composed of five well-known local medical and health care institutions, including:IMI Dental Clinic: With nearly 30 years of business experience with a team of senior international dentists, serving local and foreign high-end political and business customers.Meta Eye Clinic: A well-known local ophthalmology clinic with the most advanced ophthalmic medical equipment and technology, and efficient medical technology for children with severe eye diseases.KS Clinic: A well-known local otolaryngology clinic with a professional medical team, cooperates with a various government hospital to efficiently exchange resource and technology for patients' medical treatment.EKIP Medical Center: A well-known local comprehensive hospital, with a wide range of medical services and customers of all ages, and is pretty active in well-known local business associations.RD Keto Fasting: As a rare local nutrition training institution, RD Keto Fasting mainly provides online training courses on diet and nutrition, especially weight control for trainees. Currently, there are thousands of online students.Mr. Darren Teng, chairman of Titan Stone Real Estate Group and Picasso City Garden, said in his speech at the signing ceremony: "We always regard the safety and health of our residents as the most important concern. Via the collaboration with local outstanding and professional medical units, combine the mutual demand for each party, is an important part of Picasso property management. Therefore, today's signing ceremony is considered to be a great significance to Picasso residents and Picasso's brand value. It will further enhance the richness and diversification of Picasso property management services and achieve a "win-win" situation.The first serviced apartment to provide exclusive resident preferential packagesLocated in the core area of Phnom Penh - BKK District 1, Picasso City Garden is the only high end artistic serviced apartment in Asia. Since the building completion in late 2022, the occupancy rate has continued to rise and currently reaches about 90% of the total units. The property services have been supported and recognized by the market, and most of the residents are international corporate executives and business people from all over the world. In order to continuously improve the quality standard of property management services, in the past year, PICASSO FAMILY PACKAGE (Picasso Family Package) has been introduced to provide more detailed, high-end and distinctive services to owners and tenants. Based on the more relevant living needs of residents, actively negotiates collaboration with businesses or suppliers in various fields, such as health care, catering, education in the fields of daily necessities, travel, beauty salons, etc., there are currently more than 40 partners providing residents with exclusive benefits and discounts. Residents only need to show their Picasso access card to enjoy the preferential discounts of the collaborationThe healthcare and medical field is the top priority among all. The MOU signing is a value-added upgrade of property services, it also basically reflects the intentions and efforts of Picasso Property Management to cover comprehensive service operations. In the future, Picasso will continue to create a higher-quality living experience for customers and deliver warm community life. At the same time, will also provide more confidence in the building planning and property management of Picasso 2, a new project to be developed by Titan Stone Real Estate.Learn more about Picasso City Garden
Cambodia Real Estate Awards 2024: Nominations Now Open for 5th Anniversary
Cambodia Real Estate Awards 2024: Nominations Now Open for 5th Anniversary
January 9, 2024, 9:31 a.m.
Realestate.com.kh is proud to announce its fifth annual Cambodia Real Estate Awards  (CREA 2024). The grand gala event, set for April 2024, aims to honour and celebrate outstanding achievements within the Cambodian Real Estate industry.The CREA 2024 awards feature categories across different real estate disciplines, including:Real Estate Developer / Development AwardsReal Estate Agency AwardsReal Estate Hall Of Fame AwardsBENEFITS OF JOINING CREA 2024The Cambodia Real Estate Awards is a prestigious event celebrating the best of the best in Cambodia's growing real estate sector. Joining the CREA 2024 allows agencies and developers to establish themselves as recognised and trustworthy members of the industry.Winners and nominees also benefit from the following:Brand and development exposure to local and international buyers, homeowners and investors.Judged by respected leaders in the Cambodian real estate industry and the general public.Endorsed by the Ministry of Land Management, Urban Planning and Construction.Endorsed by the Real Estate Business and Pawnshop Regulator.Endorsed by the Cambodian Valuers and Estate Agents Association (CVEA)..All winners receive the iconic CREA trophy and plaque to display in their office, showroom and at events.All winners receive the official CREA seal to use on all marketing material. Enter the Cambodia Real Estate Awards 2024WHO CAN PARTICIPATE IN CREA 2024All licensed firms and individuals are welcomed and allowed to participate in CREA 2024, regardless of the size or wealth of their operation. With industry and government involvement from the Ministry of Land Management, Urban Planning and Construction, the Real Estate Business and Pawnshop Regulator as well as the Cambodian Valuers and Estate Agents Association (CVEA), participants can be sure that the process is objective, fair, and done with integrity from start to finish.All these steps are taken to recognise the achievements of the Cambodian real estate industry objectively, fairly, and on a wholly inclusive basis.HOW TO PARTICIPATETo participate in CREA 2024, interested parties are welcome to get in touch with our team or download the relevant submission form here.Benefits of Participating:Further strengthen your position in the Cambodian real estate marketBe recognised as a leader in the Cambodian real estate industryNetwork with fellow professionals from the real estate industryLearn more about new industry developmentsReceive an iconic Cambodia Real Estate Awards trophy and certificateReceive high-quality marketing assets to leverage across your businessInterested in learning more about CREA 2024? Visit our website at www.cambodiarealestateawards.com Enter the Cambodia Real Estate Awards 2024Key Contacts for Cambodia Real Estate Awards 2024English & Khmer:Name: Ms. Annabelle Vong (Anna)Position: Event - Sales ManagerEmail: annabelle.vong@realestate.com.kh Phone: +855 (0) 17 426 797Chinese:Name: Zhao Shaochun (Halley) Position: Corporate Partnerships Advisor Email: halley.zhao@realestate.com.kh Phone: +855 (0) 86 394 459ANDName: Ms. Stefania Khiem (Steff)Position: Event ManagerEmail: stefania.khiem@realestate.com.kh Phone: +855 (0) 10 699 333
Tallest Buildings In Phnom Penh
Tallest Buildings In Phnom Penh
January 5, 2024, 6:17 a.m.
For anyone who has spent even a few years in Cambodia’s capital of Phnom Penh, the changing skyline, fuelled by rapid development and investment, is one of the most obvious changes to the city aesthetically. There are multiple mixed-development buildings, condos, hotels, and malls which have contributed to changing the characteristics of the expanding city. As Phnom Penh reaches new city limits, what are the tallest buildings in the capital and which are still under construction?Tall buildings referenced in this article are meant to be enclosed buildings with continuously occupiable floors. The information varies from source to source on the actual height and even the number of floors of the buildings, but we have tried to be as accurate as possible based on the information available.Which Are The Worlds And Asia’s Tallest Buildings?There is a sense of competition between nations and conglomerates to own the coveted tallest buildings on the planet as a means of prestige and often results in attracting tourism too.The international non-profit organisation Council on Tall Buildings and Urban Habitat (CTBUH) puts out a list of "The World's Tallest Building" and is regarded as setting the standards by which buildings are measured. According to CTBUH, the Burj Khalifa in Dubai is the tallest building and stands at 828 meters high! Out of the tallest ten buildings in the world, 8 are located in Asia, and 75 per cent of the 50 tallest skyscrapers in the world are in the region. China leads the charge with fifteen of the tallest skyscrapers, while the UAE has also several top contenders, and the city of Dubai has the most skyscrapers in the top fifty tallest buildings in the world.Burj Khalifa (Dubai, UAE) - 828mMerdeka 118 (Kuala Lumpur, Malaysia)  - 678.9mShanghai Tower (Shanghai, China)  - 632mAbraj Al-Bait Clock Tower (Mecca, Saudi Arabia) - 601mPing An International Finance Centre (Shenzhen, China) - 599.1mLotte World Tower (Seoul, South Korea) - 554.5mOne World Trade Center (New York City, USA) - 541.3mGuangzhou CTF Finance Centre (Guangzhou, China) - 530mTianjin CTF Finance Centre (Tianjin, China)  - 530mChina Zun  (Beijing, China)- 527.7mTop 5 Tallest Buildings In Phnom PenhThere are currently 8 buildings in the Cambodian capital which surpass 200 meters in height, but there are many under construction (and even many more which never materialised). As a reference, for many who are familiar with the city, Canadia Tower was for the longest time the tallest building in Phnom Penh, and it stands at 118m high - and now would only just make the top 50 tallest buildings in the city - while the Vattanac Capital Tower was the tallest building in the capital for nearly a decade from 2014-2022, standing at 187.3 meters! This will soon be nearly less than half the height of some projects under construction.1. Morgan Enmaison 2Developed by Morgan Group, who also successfully completed the Morgan Tower, Morgan Park Villa, and Morgan Champs-Elysees projects in Phnom Penh, the tallest building in the capital by the close of 2023 stands at 243.8 meters high. The Morgan Enmaison 2 development has 54 floors, includes 4,480 units, and covers 400,000 sqm! The condo building is located in Chroy Changvar along the Mekong River and some of the features include a yacht dock, helipad, rooftop sky bar and more than 15 acres of landscaped gardens for the residents. 2. The Peak Shangri-la TowerThe 228-meter-tall building was completed in 2022, and The Peak Shangri-la Tower has 55 floors in this mixed-use building located near AEON mall and the NagaWorld complex. The second tallest building in Phnom Penh offers condos, shops & restaurants, office space as well as the Shangri-La Hotel. There are over 1,000 condo units in this Phnom Penh building and two viewing decks for views of the capital.3. Urban Village Sky Prime TowerUrban Village Sky Prime Tower is a staggering 225 meters high with 58 floors, and is located to the south of Phnom Penh, along Samdech Hun Sen Boulevard, and is the tallest building along that major road.Urban Village Phase 2 Sky Prime Tower H is the tallest tower at the residential development from Urban Hub Cambodia and offers a podium viewing deck with a panoramic view of the Bassac River.4&5. The Peak Residential 1 & 2Part of the same development as The Peak Shangri-la, The Peak Residential 1 and 2 are listed as separate buildings and contain 55 floors each and stand at 224 meters. Completed in 2022, the Phnom Penh residential towers also include a gym and five floors of retail, a swimming pool, and a sky lounge on the top floor.Highest Proposed Buildings in Phnom Penh - CambodiaJ Tower 3 was launched late in 2023 and is under construction, while Cambodian Prime Minister Hun Manet has lauded the proposed 555m OCIC project due for development on Koh Norea - although details on that development are still unclear.There is an unverified list of buildings under construction in Phnom Penh, which indexes as many as 20 properties which could be higher than 200 meters when completed.J Tower 3 - Condo Over 300 MetersWhen completed in approximately 2028, the J-Tower 3 Condominium could be the tallest building in Cambodia and stand at over 300 meters high (planned to be 310.5m) and feature 77 above-ground floors.Although construction only got underway in 2023, there are some grandiose plans for the building which is located in Tonle Bassac, Khan Chomkarmon. A sky pool and sky bar will be located on the 77th floor, and if completed, it means the J Tower 3 could have the highest outdoor infinity pool in the world. One floor above the pool will be an observation deck with panoramic city views.OCIC Koh Norea Project - 500 Meters HighThe Overseas Cambodia Investment Corporation (OCIC) unveiled plans for a monster-sized building in November 2023, which is expected to be over 500 meters high and based in the Koh Norea development area of the capital - which could make it easily the tallest building in Cambodia.OCIC Deputy General Director, Touch Samnang, confirmed the project but we know over the years that a project being announced does not necessarily mean it will come to fruition.The building is planned to be constructed on the left-hand side of the Koh Norea Bridge, and the Cambodian PM cited the development, adding,“As I know, Koh Norea is planning to build the tallest building with a 555-metre height. Hopefully, it will be here, not just a high building in Cambodia, but also a high building compared to the region.”Naga World 3 Tower - 75-Story Hotel When Naga 3 was first announced, it was going to be the tallest building in Cambodia and stand at 358 meters tall. The 75-story hotel tower and casino project in Phnom Penh was due to be completed in 2025, however, in 2023 it was announced the plans for the project were placed on hold and completion would not be possible before 2029.The addition of the Naga 3 complex would see the addition of 5,000 hotel rooms across three towers and initial costs were placed at USD $ 3.5 billion.Picasso 2 - Phnom Penh CondoThe Phnom Penh condo residential property is located in BKK1 and construction launched at the tail-end of 2023 with limited information available. Based on the proposed plans of 56 floors, this condo could be in the mix for making the tallest buildings in the capital when it's completed in approximately 2027.With an estimated number of 700+ buildings in Phnom Penh exceeding 9 floors, and more than 50 buildings with 40 floors or more, the city continues to rise skywards and it will be interesting to see what buildings stand tallest in the city by 2030 and beyond.
Best Phnom Penh Condo Projects Launched In 2023
Best Phnom Penh Condo Projects Launched In 2023
December 25, 2023, 9:10 a.m.
As 2023 draws to a close, we look at some of the most exciting condo units which were launched and are being developed in the Cambodian capital of Phnom Penh, with each residence set to add something new to the urban skyline and increase the choices for potential home-buyers and investors.There were ten completed condo projects and three new launches in the first half of 2023 in Phnom Penh alone, which added 1600+ condo units to the market, while 8,000 were expected to be added to the supply by the close of the year. While the market has faced headwinds, according to the inaugural semi-annual report released by the National Bank of Cambodia, the condominium market saw a 12.9 per cent increase in the first half of 2023.In total, across the first three quarters of 2023, the Ministry of Land Management, Urban Planning and Construction (MLMUPC) granted licenses to 2,600 construction projects worth a total investment of $4.96 billion.For foreigners and locals looking to purchase real estate, Cambodian condominium units remain attractive, so which are some of the residential condo projects that have launched that are most exciting?J Tower 3 - Luxury Condo In Phnom PenhJ Tower 3 is a residential property condo developed by a trusted Japanese real estate developer Tanichu Group who have a proven track record and completed three successfully launched projects in the Kingdom (J-Village Apartment, J-City, J-Tower 1 & J-Tower 2).When completed, the J-Tower 3 Condominium will be the tallest building in Cambodia at over 300 meters high and will contain 77 floors (with two additional underground floors offering 252 rental parking lots) and it hopes to establish itself as a new landmark in the capital. There are ambitious plans to offer its residents comfortable and luxurious living standards in a prime location and the building could also be among the ten highest in Asia when completed.Standing at 310.5m on completion, the condo covers a total area of 98,480 m² and is constructed with reinforced concrete to ensure durability and safety. Some of the features include:A sky pool and sky bar will be located on the 77th floor, with breathtaking 360-degree views of the expanding city and its surroundings. An observation deck will be installed on the 78th floor.The 50th floor will house a high-end cafe and luxury lounge, a mini shop, as well as a business room.An inner pool, kids pool, sauna, public bath, and spa, will also be available on the 49th floor.The swimming pool and fitness gym are located on the 29th floor.An outdoor park is planned for the 28th floor.The 11th floor will provide a dedicated Kids' Play Space, a pool bar (billiards), and a table tennis hall.Tani Shunji, the CEO of developer Tanichu Group claims the infinity pool on the 77th floor will be the highest pool in the world, although depending on the type of pool, there are higher pools in China, Hong Kong and Dubai - but this could be the highest outdoor infinity pool on the planet!In total, the developer plans to offer 360 3-bedroom condo units to residents, which range from 166m2 to 178m2. There should be smooth and efficient access to the floors via the building's eight elevators.Location: Tonle Bassac, Khan Chomkarmon (Phnom Penh)Prices: USD $320,000+Completion Date: Q4 2028 (estimated)Time Square 302 (Time Square 6) - BKK1 Urban Living CondoTime Square 302 (which is also known as Time Square 6) is the 6th property project from Mega Kim World Corp who have a reliable track record of successful condo projects in the capital.Based in centrally located BKK1, the Time Square 302 condo property will offer buyers a range of one-bedroom and two-bedroom units as well as 3 and 4-bedroom duplex units (from 57 m² to 170 m²).  The developer aims to provide contemporary and modern urban living in the Cambodian capital with construction brought forward and getting underway in Q3 2023 with off-plan sales already tracking very well.There are 370 units located at Time Square 302 which covers 977 m². Some building and residence highlights will include:48th-floor rooftop with fitness and lifestyle facilities, including a yoga studio, fitness centre, swimming pool and a canopy garden.The 37th floor offers a ping pong room, golf simulation area, cafe/ lounge/ games room, a kid's play area, meeting room, cinema & karaoke.At 190 meters tall, the developer aims to offer quality and affordable homes to local Cambodians and foreigners as well as investors.Location: Boeung Keng Kang 1 (BKK1), Phnom PenhPrices: USD $100,000 - $300,000Completion Date: Q1 2028 (estimated)Picasso 2 - BKK1 Mixed-Use Development Our final highlight from 2023 is the Picasso 2 condo residential property located in BKK1. The premium urban living project is being developed by Global Titan Stone Development, who also have a reliable track record of property projects in Cambodia. They previously launched a sold-out Picasso 1 City Garden in BKK1 which was completed in 2021.Located in the centre of Phnom Penh at the intersection of Street 57 and Street 282, Picasso 2 offers a prime location which covers 56 floors of luxurious condominiums as well as high-class amenities, and even shophouses.There will be one-bedroom units available and the development will include fitness centres, landscaped gardens, and communal spaces as well as a rooftop leisure area providing residents with panoramic views of the capital.More details on the pricing of the units are still to be confirmed and the condo has an estimated completion date of 2027.Location: Boeung Keng Kang 1 (BKK1), Phnom PenhPrices: TBCCompletion Date: 2027 (estimated)Property Outlook For 2024In Southeast Asia, a recent survey by price-tracking platform Numbeo, tracks Phnom Penh as fourth in terms of least affordable based on property price-to-income ratio in the region, with the Cambodian capital behind Ho Chi Minh City, Manila, and Bangkok. This is meant to reflect apartments which are least affordable in the region, as a higher price-to-income ratio indicates lower affordability. However, the CEO of developer Tanichu Group remains optimistic, saying in late 2023; “There will be ups and downs in any city’s real estate sector on the basis of fund flows and in the Kingdom, the situation is quite stable. Of course, there is a slowdown caused by the pandemic and a decrease in fund flows from China. But the sector will resurge.”As we have highlighted throughout 2023, the economic outlook for the Kingdom remains comparatively strong in the region, especially compared to global GDP growth. Cambodia also has the strongest FDI momentum heading into 2024 and remains an attractive option for investors.The adjustment of prices in the local housing market, a shift in developers and agents' marketing tactics as well as a change in construction styles and payment procedures have been seen as positives, while the need to buy from trusted developers has been a priority for buyers and investors in Cambodia.
Real Estate Trends Past, Present & Future - 2023 and Beyond
Real Estate Trends Past, Present & Future - 2023 and Beyond
December 15, 2023, 7:33 a.m.
Price Waterhouse Cooper (PWC) and Urban Land Institute (ULI) have authored a report describing key Asia Pacific real estate trends witnessed during 2023 and projected the likely course of real estate for 2024.Localising the findings and applying local market characteristics, realestate.com.kh has provided additional commentary, insight and analysis.Key Findings - Asia Pacific Real Estate TrendsA key finding of the report was the impact of interest rate hikes on commercial real estate in the region. As a result of the myriad of knock-on effects on businesses, commercial real estate transactions are declining with traditional sectors such as commercial office buildings being out of favour with developers who are pivoting capital to alternatives.Overall, the outlook is more optimistic for a recovery once markets stabilise from the early years post-pandemic. The IMF expects Cambodia to be the fastest-growing economy in Southeast Asia in 2024, with inflation contained at 3 per cent in both 2023 and 2024. How Rising Interest Rates Have Disrupted Asia Pacific Real EstateCentral banks across the globe initiated unprecedented interest rate hikes in 2022, marking an end to over a decade of ultra-low rates. These changes in the cost of capital are having wide-ranging impacts on real estate markets across Asia and the globe generally.In mid-2023, National Bank of Cambodia (NBC) Governor Chea Serey hinted at some risks, saying, “Falling credit growth and higher borrowing costs brought on by heightened interest rates across the globe may diminish domestic investment…”The average loan interest rates in Cambodia were up by 14 per cent (riel) and 11.66 per cent (USD) between January and June 2023.  Fixed-term loan interest rates during 2023 ranged on average from between 7.5% to 10%.In October 2023, the World Bank also heeded caution, calling for continuous monitoring for signs of overheating in the real estate credit market in Cambodia. In response to these higher rates, banks have tightened both commercial and development lending.  Along with the current market conditions, this is having the effect of reducing the number of new development projects which are likely to continue at least into H1, 2024.A reduction in the pipeline of new supply combined with a rapidly growing economy in Cambodia will mean the excess supply in the market begins to be absorbed in 2024, and further into 2025, which will help correct the current supply vs demand imbalance.In respect of Cambodia’s rapidly growing economy, there remains an overall positive outlook for the economy, with estimates unanimously above 5 per cent GDP growth from the leading financial institutions for 2023, and above 6 per cent for 2024 and beyond.Locally, there has been a noticeable slowdown in the pace of land sales in 2023. The key reasons include large investors (domestic and international) holding back, in addition to the financial institutions reducing lending with tightening financing conditions. These cooling effects will help to restrain and reset land prices after speculation within the land market began to drive and rapidly increase prices in the Kingdom between 2016 - 2019.Currently, the Ministry of Land Management, Urban Planning and Construction (MLMUPC) confirmed licenses have been granted to 2,600 construction projects with total investments of just under USD $5 billion in the first three quarters of 2023. A further positive was that early indicators of construction investment might even be heating over the course of Q4 2023.Traditional Investment Strategies Not As EffectiveOffice and retail assets that previously dominated property investment strategies are now out of favour, suggested the trends report. This is because fundamentals such as high vacancies and structural concerns around long-term demand have deterred investors. In the Asia-Pacific region, the traditional asset classes of office and retail are seen as less sought after by investors. One example was that office deals decreased by as much as 50% year-on-year in the first three quarters of 2023. In Cambodia, the oversupply situation within the retail and office sectors has been widely reported.Occupancy rates in commercial office buildings within Phnom Penh are thought to have dropped from 85% to 60%, and for modern retail developments, from 70% to circa 63%.The increased adoption of technology across work-from-home for office and online shopping, and delivery services in the retail sector, have also contributed to weakened demand.Outlook Remains Cautiously Optimistic For Real EstateThe report suggested that the real estate market's reset process remains incomplete but recovery is expected once new norms stabilise.Emerging countries like Cambodia could benefit as the trend for foreign investors to diversify manufacturing bases away from China has accelerated. The real estate sector in the Kingdom has seen growth in Trust investments, and the key property announcements from Cambodia’s G-PSF 2023 showed that the government is trying to put in measures to help protect the sector and reassure investors.The recently published FDI Standouts Watchlist also ranked Cambodia as having the strongest investment momentum into 2024 using data of nations which are entering the new year with a strong macroeconomic and FDI momentum.The combined incentives such as government support for foreign investment, a young and available workforce and investment into the supply chain infrastructure, all bode well for the medium to long -term. Ultimately, Cambodia is still viewed as an attractive target for foreign and local developers, as well as investors.
Bridging The Divide - What Are The Bridge Development Projects Underway in Cambodia
Bridging The Divide - What Are The Bridge Development Projects Underway in Cambodia
December 8, 2023, 12:09 p.m.
Cambodia is heavily investing in modernising and expanding its infrastructure, and in November 2023, the Council for the Development of Cambodia (CDC) confirmed that 10 major bridges with a total length of 10.89 km and a budget of USD $372 million were under construction.These bridges are; a bridge over the Sekong River, Stung Treng, 2 bridges along the Tonle Sap River (Cambodia-China Friendship Bridge, Prek Kdam and Cambodia-China Friendship Bridge, Chroy Changvar II), 3 bridges along the Bassac River (Cambodia-China Friendship Bridge Takhmao, Cambodia-China Friendship Bridge, Koh Thom and Cambodia-China Friendship Bridge, Sitbo), and one flyover, Cambodia-China Friendship Bridge, Sen Sok).This is in addition to several new airports under development (with Siem Reap International Airport the only one in operation) and 31 new roads (measuring 3,077 km) at a cost of USD $2.18 billion via Chinese concessional loans and grants.These Chinese-approved concessional loans and grants have thus far resulted in the completion and construction of projects to a total value of USD $3.34 billion.These include the construction of bridges which span the Mekong River:Mekong Stung Treng BridgePrek Tamak BridgeStung Treng-Krouch Chhmar BridgeJapanese and South Korean funding for bridges has also enabled the capital city of Phnom Penh to be better connected to the neighbouring provinces and internally. Koh Pich-Koh Nora Cable BridgeThis cable-stayed concrete bridge was completed in October 2023 after three years of construction and connects Koh Pich to Koh Nora across the Bassac River. Its development is seen as a significant development in the city, easing traffic congestion that has been a sore point in the area and was limiting its growth.The official inauguration of the cable-stay bridge was held on October 15, and was initially temporarily opened to cater for the increased traffic during the cultural Pchum Ben holiday.The bridge aims to address traffic congestion at the Monivong Bridge, which connects the Chhbar Ampov commune to central Phnom Penh - so the bridge is a crucial link between the eastern and western parts of the capital. It now directly connects two major districts: from Russey Keo and via National Road 5, passing through the roundabout at OCIC Boulevard to National Road 6 in Chroy Changvar. Although a passenger ferry service operates near the site of the bridge, it was not sufficient to meet the needs of an increasing number of users and the bridge also contributes to improving the transportation of goods and services across the city.With a total length of 824 meters and a width of 20.5 meters, there is a speed limit on the bridge of 40 km/h. The total cost of the project was approximately USD $35 million and its construction was overseen by the Overseas Cambodian Investment Corporation (OCIC) and the funding provided by the Koh Norea Development Area Fund of the OCIC.As a spectacle with the Cambodian flag emblazoned brightly at night along the cable structures, it has become a popular landmark in the city and served as a backdrop to many a photo during the Water Festival held in Phnom Penh in November 2023.Russey Keo BridgeThis 20.5 meter-wide cable-stayed concrete bridge crosses the Tonle Sap River and is accompanied by a new Russey Keo overpass in Prek Tasek commune of Chroy Changva district. The Phnom Penh bridge was trialled during the Khmer New Year in April 2023 to test its development.The expectations were that this would ease traffic congestion in the northern area of the capital and the Russey Keo Bridge was finally inaugurated in June 2023. At a length of 922 metres long and 20.5 metres wide, construction began in October 2017 and the total cost was USD $35 million before its competition.Cambodia-Korea Friendship Bridge - Phnom Penh to Svay ChrumThe proposed Cambodia-Korea Friendship Bridge would be the first bridge to connect Phnom Penh to Svay Chrum, located in Kandal province - with the city being linked to Arey Ksat from the Phnom Penh Night Market area.This means the bridge would need to cross two rivers, the Tonle Sap and the Upper Mekong.The Korean government is exploring the project, and in November 2023 it was confirmed the development would go ahead with a concessional loan from the South Koreans. It is proposed the Cambodia-Korea Friendship Bridge will be divided into two parts;One part crosses from the Phnom Penh old market/ night market area to Chroy Changva;The second part would be built between Chroy Changva to Svay ChrumThe bridge project will also facilitate travel on the two Chroy Changva bridges, the Cambodia-Japan Friendship Bridge (old bridge) and the newer Cambodia-China Friendship Bridge (new bridge). The latter was completed in November 2021 so it is also a relatively new addition to the Cambodian capital.Chak Angre - Prek Pra Bridge (over the Bassac River)The Prek Pra Bridge was announced in August 2023 and is planned to be built from Chak Angre (which is located in Meanchey district) to the south of the city, and across the Bassac River to Prek Pra (which is located in Chbar Ampov district).The intention is to further help relieve traffic congestion on both the Monivong Bridge and Prek Samrong Bridge (Takhmao Bridge).The most recent news is that the Ministry of Public Works and Transport is negotiating with the Chinese for the construction of this bailey (or truss) style bridge, which when completed, could be 845 meters long and divided into 4 traffic lanes at an estimated cost of approximately USD $60 million.The bridge project was studied by the Chinese company Shanghai Construction Group Co., Ltd. (SCG) and had previously been approved by former Prime Minister Hun Sen. This Prek Pra bridge was scheduled for foundation work starting in 2023 and a groundbreaking ceremony to be held before the end of the year.Kratie BridgeThe 1,761-metre-long bridge with a 13.5 meters width is being built across the Mekong River in Kratie province with a budget of approximately USD $110-114 million after being launched by former Cambodian PM Hun Sen and Chinese Ambassador to Cambodia Wang Wentian on January 2, 2023. The funding is sourced with concessional loans from the Chinese government and will also include a contribution from the Royal Government of CambodiaThe project is expected to take about 42 months to complete with a target completion date in 2026. The projects will also connect  31.69 kilometres of roads as well as four intermediate bridges with a total length of 384 metres.By July 2023, the bridge was reported as being 15 per cent complete and is being overseen by the Kratie Provincial Department of Public Works and Transport.It's another location with ferry services but crossing the completed bridge is expected to be free so it will benefit local users.Funan Techo Canal ImpactThe proposed Funan Techo Canal, which is planned to cost about USD $1.7 billion and could take four years to complete, was announced in May 2023. This project could (or should) result in further waterway and bridge construction from Phnom Penh all the way to the Cambodian southern coast.Interconnectivity Leads To Increased Property PricingAs a recent article illustrated, the completion of these urban bridges can breathe new economic life into areas that previously were more difficult to reach from the city centre. Koh Norea is seeing increased land and property pricing with an average of $800-$1,700 per square metre while the land within the OCIC development zone is in the region of $2,500-$4,000 says Singapore Development Company AKRAM Development Co., Ltd. Its anticipated prices will also rise in areas such as Koh Pich and Tonle Bassac.Private land sale prices in Chbar Ampov are estimated to be around $2000 per metre, while rental prices on Koh Pich for a studio costs $350-500 per month, a one-bedroom from $450-650 and two-bedroom units average $700-$1,200.
Buying Condos Off-Plan In Sihanoukville -  What To Know
Buying Condos Off-Plan In Sihanoukville - What To Know
November 24, 2023, 5:17 a.m.
Recently we discussed some of the key themes around Sihanoukville and why there is a dual government drive to promote the region, as well as the reasons for why investors are still keen to see the area be developed to its full potential.From large infrastructure projects, increased and more frequent transport links to international hubs by sea and air, tracking Cambodia’s Industrial Development Policy 2015-2025 & Sihanoukville Masterplan, as well as the plans to address the unfinished buildings in the city - there remain many reasons to be cautiously optimistic.Settling in the region obviously offers the dream of a tropical seaside lifestyle that is still enviable for most retirees, remote workers, and long-term expats, and appeals to investors and Cambodians.Off-plan condos are a type of property which is sold before construction has been completed (sometimes before it's begun!), or while construction is still in progress - but is there much supply and demand in the market in Sihanoukville? And what should buyers be considering when looking at an off-plan property?Can Foreigners Buy A Property In Sihanoukville?First of all, Cambodia’s favourable foreign property ownership laws continue to remain a strong drawcard for property buyers and investors who can acquire freehold condominiums which can then be rented or sold at their discretion.Foreign or expat buyers can own a strata-title condominium outright with some minimal caveats (such as not being on the ground floor) which we have covered previously. It also means there is investment potential and resale potential as the condo unit, for example, can be sold and/or the property title can be transferred to another non-Cambodian at a later date.This is why in all recent Cambodian property surveys, condos remain the most in-demand property type among foreign buyers in the Kingdom. With the advancement of the Trust Laws, there is rising interest in land ownership too through that mechanism.Buyers should also be aware of the 19th Cambodian Government-Private Sector Forum (G-PSF) announcements of several tax updates relevant to the Cambodian property sector.Buying A Condo In Sihanoukville - What To ConsiderPurchasing off-plan properties has seen a dip in interest in Cambodia and buyers are more confident in purchasing in a condominium that is complete or nearing completion - in fact nearly twice as many preferred to invest in a condo that was ready to move into over an unfinished condo development.Keep in mind, that one of the key trends we have highlighted in the Cambodian property market post-pandemic, is that due diligence is still required and sourcing developments from reliable developers with a good track record is paramount. There have been fewer buyers, or interest, in buying off-plan due to potential construction delays, or the very real fear (as Sihanoukville highlighted) of cases where a project might not be completed.For context, many of the unfinished buildings in the city are casinos and larger developments that never materialised rather than condo developments.Currently, the number of off-plan properties available on the market in the southern coastal city of Sihanoukville is limited to only a few developments, and those properties that are available are mainly villas and borey properties will are less sought after by foreigners due to the restrictions of foreigners legally owning the hard titles.Financing Options For Your Condo Purchase in CambodiaAs is the case anywhere else in the Kingdom of Cambodia, there are different financing options available at condo developments for sale. Most often, bank mortgages and loans are exclusively available to Cambodian citizens unless there is some sort of collateral a foreigner can provide to the lender, such as local property titles or other reliable assets.From affordable condos to luxury condo developments, foreign buyers will likely need the finances to buy the condo outright due to the difficulties in obtaining a mortgage from a bank in Cambodia, whereas local buyers will have a wider choice of financing options through Cambodian lenders.In the case of off-plan properties, property and condo developers in Cambodia traditionally offer varying financing schemes to make buying the property easier. Payment options for purchasing property in the Kingdom of Cambodia for foreigners might include one of the following:Full Payments - This usually requires the full amount for a property to be paid within 30 days of signing the sales agreement.Monthly Installment Payments - These allow for regular payments over a set period of time to make the payment more manageable for property buyers.Bank Financing - Financing provided by a traditional lending institution such as a bank or credit union via a mortgage or loan (rare for foreigners to be eligible)Sihanoukville Construction SectorKheang Phearum, spokesman of Sihanoukville Provincial Hall, said in October 2023, that 1069 high-rise buildings are being built or in the process of being developed in the city. Nearly half (475 buildings) are completed but a further third (364 temporary buildings) were halted due to paused investments.To address this issue of halted projects, the government announced a long-term and phased package of measures to help build investment confidence and short-term market demand.Crispian Knowles, Sales Manager in Sihanoukville for Realestate.com.kh says that new developers won't necessarily take on unfinished projects in the city due to a range of reasons which could be design or location, for example. The benefits of new developments are a commitment by the developer to finishing the project and also offering more attractive incentives, returns, and packages for buyers at representative market prices.Popular Property Areas In SihanoukvilleThis is a key consideration when looking at investing in a condo in Sihanoukville as well as the mid to long-term goals and returns. There are some key districts or sangkats in the city:Sangkat 1: A busy district which is also the location of the Sihanoukville autonomous port and 18 km away from the airport.Sangkat 2: A residential area which also offers upmarket sea-view condos and local malls.Sangkat 4: A sought-after residential district with beachfront condos and the popular Ochheuteal and Serendipity beaches.Sangkat Bei: One of the condo-led areas with a mix of restaurants and malls.Sangkat Buon: Well-known for its pristine beachfront and accompanying apartments, villas, and condosIn terms of sizes, condos and apartments in Sihanoukville have an average floor area of approximately 58 sqm with the larger condos being 80+ sqm.On the opportunities in the rental yields from the property market. Knowles sees Sihanoukville as offering rental yields of 8-10 per cent due to the low cost of living and high demand for rental properties in the city.He adds that property developers are also now offering greater discounts on the remaining property stocks in Sihanoukville with some providing interest-free developer loans as well as increased agent commission incentives.With affordable condo units available from around $45-50K and rising to over a million dollars for penthouse suites at in-demand locations, the median property price is around $120,000 in Sihanoukville - so potential buyers need to have a clear understanding of their strategy.
What Were The Key Property Announcements At Cambodia’s G-PSF 2023
What Were The Key Property Announcements At Cambodia’s G-PSF 2023
November 17, 2023, 2:27 a.m.
Following the 19th Cambodian Government-Private Sector Forum (G-PSF) held in Phnom Penh this week, several new tax incentives were announced relating to property and development including the news that the Capital Gains Tax was once again delayed.Cambodian Prime Minister Hun Manet has stressed that moving forward, The Pentagonal Strategy Phase 1 which is defined by five factors: growth, employment, equity, efficiency, and sustainability, will be used by the Royal Government to select the five key priorities with a core focus on: people, roads, water, electricity, and technology.Cambodian Tax Administration Reforms The government aims to establish clear standards and transparency in tax implementation, putting in place standard operating procedures (SOP) for tax officers to adhere to.These SOPs will provide common standards for the implementation between tax officials and taxpayers and we have picked out those relevant to property:Real Estate Surveys and Procedures for Real Estate Surveys,Unused land tax and procedures for tax officials and taxpayers,Property tax and procedures for tax officials and taxpayers,Stamp taxes and procedures for tax officials and taxpayers,Taxes on real estate fees and procedures for tax officials and taxpayers.Capital Gains Tax Delayed Until The End Of 2024The Capital Gains Tax was confirmed to be delayed again with the implementation on capital relating to immovable property, finance leases, investment assets, goodwill, intellectual property, and foreign currency not coming into effect before the end of 2024. The Ministry of Economy and Finance (MEF) issued Prakas No. 346 to implement capital gains tax with a flat tax rate on capital gains of 20 per cent. Initially, this was due to come into effect on 1 July 2020 but has been delayed several times.For immovable property, the tax authorities provide a choice where the taxpayer can claim a standard tax deduction of 80% of the taxable income or actual expenses with supporting documents. For capital gain from the sale or transfer of other assets, taxpayers must claim tax deductions based on actual expenses incurred. You can find out more here on the process and calculations of the Capital Gains Tax in Cambodia.Changes To Cambodian Property TaxesStamp Duty Exemptions ExtendedSeveral key points were highlighted relating to Cambodian Stamp Duty. This tax exemption extends to stamp duty on real estate transfers within family relationships, including parents to children, grandparents to grandchildren, spouses, and husbands for gifts and inheritance.Continuation of stamp duty exemptions on the transfer of ownership or possession of all types of housing in the form of housing development (boreys) with a value of less than or equal to $70,000 until the end of 2024.Additional stamp duty exemption on the transfer of ownership or possession of all types of housing in the form of a city and a value of more than $70,000, allowing the deduction of that amount from the stamp duty base to buy a home in a housing development project (borey) that has a real estate business license and is properly registered until the end of 2024.Tax On Immovable PropertyProperty owners can now register and pay taxes on immovable property that was not previously registered. Penalties and interest rates on the tax on immovable property will be waived until the end of June 2024. However, this does not apply to taxes already paid. Exemption from administrative penalties on property tax and/or unused land tax, where property owners can only pay tax without additional tax and interest until the end of June 2024.Exemption from tax reassessment, which includes taxes including administrative penalties (additional tax and interest) from the year the tax is applied until 2023 for properties that have been registered and declared property tax in the past with an incorrect land value or construction land size construction type of construction, or construction life. From 2024 onwards, the laws and regulations in force must be complied with.Authorised the registration and payment of taxes from the year of occupancy or the last beneficiary of the property (with or without a title deed) that has not been registered and declared for property tax in the past.Unused Land Tax To Be Implemented in 2025The government will provide further clarification and incentives regarding this Unused Land tax to be implemented in 2025 but they could be looking to tax unused land that exceeds 5 hectares or more in size with initial details provided below. It should be noted that there has been a property tax applied only to real estate located in the 14 districts of Phnom Penh and 27 cities in the provinces throughout the country.The tax on Unused Land applies to land with construction and unused construction land and unused land, which is generally land not in Phnom Penh city. This is being introduced for four reasons, with Cambodian Prime Minister Hun Manet explaining, “The government has four purposes in taxing land which is not in use. First, we will prevent people from buying dozens of hectares of land for speculation. This will also prevent them from selling it at a higher price and taking advantage of the market, leading to a loss of productivity. Second, it will encourage them to use the land in line with our development goals. Third, we aim to increase economic activity and create employment opportunities and fourth, we aim to increase tax revenue, to increase the available budget for sub-national expenditure.”It is a tool to prevent the purchase of large hectares of land, leaving it unused for sale, raising prices for profit, or as a farming activity that reduces the productivity of land use as a resource.To promote appropriate and developed land use.Increase economic activity and labour force.Ensure revenue collection benefits the budget of the sub-national administration.The government wants to avoid double taxation and a new policy from the GDT and MEF will revise the legal documents to ease the conditions for obtaining tax exemption for unused land. This will be as follows:Land subject to unused land tax refers to land outside the property tax area;Land subject to unused land tax is allowed to be deducted at 5 hectares per site;Land in excess of 5 hectares can be exempted from tax on unused land in accordance with any of the following conditions:Agricultural land being cultivated with the approval of the commission or sub-committee to assess the land for unused land tax,The land serves the economic activities of a natural person or legal entity registered with the tax administration,Land with or without construction under lease,Land owned by the Royal Government or government institutions,Economic land concessions leased from the state, or community land,Land owned by the state leased to a legal entity or a natural person for use in various economic activities under a contract or agreement between the two partiesLand in a special economic zone that directly serves agricultural, industrial and service activities, andIn accordance with the request by the Education Working Group, the land is registered as the property of the enterprise in the field of education, education and vocational training for the purpose of working in the field as mentioned above. Foreign Land Ownership in Cambodia & Growth Of TrustsPrior to the G-PSF, there were rumours that the government would allow foreigners the legal right to purchase houses and land in borey projects but Prime Minister Manet said that only natural persons and legal entities of Khmer nationality have the right to own land. The Cambodian prime minister said, “I think that the current challenges in the real estate sector do not require a constitutional amendment,” suggesting that foreigners can purchase land in Cambodia via the 2019 Trust Law which allows foreigners to buy and occupy land by appointing a representative as the owner in the land ownership document.The Director General of the Trust Regulator of Cambodia (TR) Sok Dara confirmed this week that there were 683 trusts registered with the TR with a total investment fund of USD $1.22 billion as of November 14, 2023. A further 83 new trusts (total investments of USD $35 million) are expected to be added by the end of November 2023.As many as 580 of the trusts were registered in the Cambodian real estate sector.