The Phnom Penh Post
Labourers work on a building site in the Boeung Trabek commune, in Phnom Penh’s Chamkarmon district. Photo by: PHA LINA
A total of 227 construct-ion projects were approved in the period, worth an estimated US$85.1 million, a 28 per cent increase compared to 189 projects, worth $66.3 million year-on-year, ministry statistics show.
“We have seen increasing housing development projects blossom around Phnom Penh in recent years, a clear sign that residential demand continues to grow,” Lao Tip Seiha said.
The approval of locally funded projects, such as World City, Diamond Island and Grand Phnom Penh International City will help alleviate demand from the growing population, however, feasible accommodation options need to be offered to poorer families, he said.
“With about 10,000 new families moving to Phnom Penh every year, there needs to be more investment in affordable housing projects.”
“We strongly believe the value of construction projects will continue to increase this year and in to 2011, in response to Cambodia’s growing economy,” added Lao Tip Seiha.
An additional 120,000 houses are required in the Kingdom by 2030, according to the housing development document 2010-2030.
Some experts highlighted the diversity of projects currently being constructed in the capital.
“We have seen many developers constructing properties for business – to sell for a profit, while at the other side of the spectrum, local families are constructing their own homes,” Cambodia Properties Limited managing director Cheng Kheng said.
He added that positive growth in residential approvals was to be expected as the sector steered away from recession.
“We could see from the start of the year that the construction and real estate sector was set to improve, certainly compared to last year.”
Some 2,149 projects worth $840 million were approved in 2010, plummeting 58 per cent from the 2,230 projects valued at $1.988 billion in the previous year, according to ministry statistics.
Thanks for your article on the good prospect of real estate market in Cambodia.
Can I request to "Post" to write a special report on "Borey". What is "Borey"? Currently there are many housing developers to build the houses called as "Borey". Do those developers comply with laws?
Because recently according to the local media, there was an issue with Borey Peng Huot locates near Veng Sreng where there was a protest from a community household living inside that "Borey". Because the authority plans to open the road for public access across the "Borey". Many households are not happy with this since there is no more security in "Borey" which is normally secured by the surrounding fence. Peng Huot Developer now says that it is not "Borey" anymore...it is now a block of flat houses! because they sold most of houses inside that "Borey" which is normally at higher price than a flat house. This company lied and cheated to the community.
Can you help to investigate more on this issue? just to prevent this company to do what they want without compliance with laws and to cheat to the public.
Best regards,
Sophea