The first phase in the construction of the US$100 million Elite Town has been slated for completion by the third quarter of 2012.
Construction has now also started on the second phase, which will comprise 100 two-storey units, according to Touch Samnang, project manager and architect of Elite Town’s developer Overseas Cambodia Investment Corporation.
“We are rushing to complete phase two by mid-2013, we’ll then move on to phase three, which should be complete in three to four years,” he said, adding that he expects the Koh Pich Island-based project to attract middle-class businessmen.
Since the Kingdom’s property sector started to pick up last year, the sale of villas has increased dramatically, said Touch Samnang.
“We have sold about 80 per cent of the units in phase two, and all the buyers have been Cambodian nationals.”
Villas in the second phase, of which 60 per cent have been completed, will be priced between $600,000 and $1 million.
Construction of the project, which is part of the 100 hectare Diamond Island development, is set for completion in 2016 and will consist of four phases.
OCIC, however, is determined to push the project through ahead of schedule, according to Touch Samnang.
“Although we experienced the downturn in 2009, we have continued to invest in the construction of this project, which is of a very high standard.”
Some members of the sector have welcomed the construction of another residential development.
“The number of villas which have already sold shows that the project will succeed in the future,” said Chheng Keng, director of real estate company Cambodia Property Limited.
He added that the development will attract an array of both domestic and international investors, due to its prime location on Koh Pich Island.
“Illegal operations will impact the image of the industry and deter local and foreign investment. In order to maintain credibility, companies need to comply with the existing rules,” according to National Valuers Association President Sung Bonna.
He added that firms risk the chance of closure, if, after being reported to the media, they fail to register.
While most companies agree the law provides more transparency, some are struggling with the legal intricacies.
The application for the licence is more complex than in previous years, according to Dith Channa, managing director of VMC Real Estate Cambodia.
“Although the law is now more complicated, with many more stages to complete in a shorter period of time, we still support it,” he said.