Logo of Phnom Penh Post newspaper Phnom Penh Post - Rents slump by up to 30 percent

Rents slump by up to 30 percent

Rents slump by up to 30 percent

PRICES for Phnom Penh’s apartments have fallen as much as 30 percent in the third quarter compared to the first quarter of the year, but insiders say the drop has come at the cheaper end of the residential property spectrum.

More new apartments were being put on the market than present demand warranted, according to Keuk Narin, secretary of the National Valuers Association of Cambodia.

“Based on our research, we estimate rental prices for apartments will continue to drop,” he said. “The supply of apartments for rent is going up, but demand is down.”

Prices would likely continue to drop in the fourth quarter, said Keuk Narin, who is also general manager of Bonna Realty Group.

The cost of renting has been steadily on the decline since mid-2008, according to NVAC statistics.

The average three-bedroom top quality “class A” apartment costs between US$2,200 and $2,650 per month in the latest quarter, a drop from $2,500 to $2,800 per month at the beginning of the year.

Mam Sovandara, property manager of Cambodia Property Ltd Co, said yesterday that prices had fallen slightly in the latest quarter.

Managing some 70 apartments and 500 villas in high-end locations around Phnom Penh, he said demand was primarily being driven by foreigners from Asia and Europe.

The firm now asked between $1,500 and $4,500 per class A unit, $700 and $1,500 per class B unit, and from $200 to $500 per class C, he said.

MOST VIEWED

  • Reuters: US Embassy fired 32 staff members for sharing pornography

    The United States Embassy in Phnom Penh has fired 32 non-diplomatic staff members who were allegedly caught exchanging pornographic images and video, including of minors, according to the news agency Reuters. Four sources, who spoke on condition of anonymity, told Reuters the content was shared in

  • Our 2018 guide to spending Khmer New Year in Phnom Penh

    Khmer New Year festivities are upon us. For the next few days, travellers will be making their way to their home provinces to eat, celebrate, play traditional games and visit a pagoda with offerings. If you will be staying put in Phnom Penh for the

  • US think tank warns of China's 'ulterior motives'

    A US think tank on Tuesday warned that spreading Chinese investment in the Indo-Pacific follows a pattern of leveraging geopolitical influence at the expense of the nations receiving investment, including Cambodia. The report looks at a sample of 15 Chinese port development projects, noting that the

  • More than three tonnes of ivory reportedly bound for Cambodia seized in Mozambique

    A total of 3.5 tonnes of ivory reportedly bound for Cambodia was seized by authorities in Mozambique late last week, according to the NGO Convention on International Trade in Endangered Species of Wild Fauna and Flora (CITES). CITES' information was based on a report from the