Logo of Phnom Penh Post newspaper Phnom Penh Post - Borey sales doing well despite boom in developments




Borey sales doing well despite boom in developments

Content image - Phnom Penh Post
Borey Phnom Penh Thmey in 2015. Hong Menea

Borey sales doing well despite boom in developments

No sign of over-supply as Cambodian wealth increases and Chinese interest remains high

Borey sales are doing well despite uncertainty ahead with the forthcoming national elections and the market is expected to keep growing even as more projects come on line, industry experts say.

“The growth in GDP per capita and the increase of the population are the factors that are contributing to the positivity of the borey market,” said Van Chantthorn, managing director of TOWNCITY Real Estate Company. “If the completed projects were not selling, you would not be seeing more projects coming onto the market. The big borey developers are actually expanding.”

Boreys, a Khmer description of a gated community, have proved very popular among Cambodia’s high-income earners since the first projects started in 2000, and developers are now targeting even the middle class.

A study by Vtrust Appraisal estimated that the Kingdom had around 500 borey projects at the end of 2017, containing about 125,000 homes.

“We haven’t studied 2018 yet, but all signs are that transactions are still doing well,” said Hoem Seiha, director of research at Vtrust.

According to property experts, houses priced in the $30,000 to $60,000 were doing best in the market.

Dr Kim Heang, president of Cambodian Valuers and Estate Agents Association, warned, however, that developers needed to maintain standards and quality to ensure projects sold out fully.

Content image - Phnom Penh Post
Borey Phnom Penh Thmery Taken in 2015. Hong Menea

“The top projects, the famous ones, are succeeding as they have already earned trust from their customers,” he said. “Those who do not value quality and are not attentive will fail. “This is normal in a free market mechanism. If you don’t pay attention, if you are weak, you will fail.”

Oknha Ly Hour, president of Housing Development Association of Cambodia and the owner of Borey Vimean in Phnom Penh, said sales were going well and there was no sign of over-supply.

“Chinese investors coming in have contributed to the growth of this sector throughout the whole country,” he said.

He saw the biggest risk to borey developers was finding the manpower necessary to complete projects. “Along with the speed of this rapid development, we also have some risk as we now lack technical experts and construction workers.”

MOST VIEWED

  • ‘Kingdom one of safest to visit in Covid-19 era’

    The Ministry of Tourism on January 12 proclaimed Cambodia as one of the safest countries to visit in light of the Kingdom having been ranked number one in the world by the Senegalese Economic Prospective Bureau for its success in handling the Covid-19 pandemic. In rankings

  • Ministry mulls ASEAN+3 travel bubble

    The Ministry of Tourism plans to launch a travel bubble allowing transit between Cambodia and 12 other regional countries in a bid to resuscitate the tourism sector amid crushing impact of the ongoing spread of Covid-19, Ministry of Tourism spokesman Top Sopheak told The Post on

  • Kingdom accepts Chinese vaccine, PM first to get jab

    Prime Minister Hun Sen said China would offer Cambodia an immediate donation of one million doses of the Covid-19 vaccine produced by the Sinopharm company. In an audio message addressing the public on the night of January 15, he said Cambodia has accepted the offer and

  • Reeling in Cambodia’s real estate sector

    A new norm sets the scene but risks continue to play out in the background A cold wind sweeps through the streets of Boeung Trabek on an early January morning as buyers and traders engage in commerce under bright blue skies. From a distance, the

  • Quarantine site in north Phnom Penh inaugurated

    A four-building quarantine centre in Phnom Penh’s Prek Pnov district was formally inaugurated on January 6. The centre can house up to 500 people, according to Phnom Penh municipal governor Khuong Sreng. At the inauguration ceremony, Sreng said the municipal hall had cooperated with the Ministry

  • ‘Beware of WhatsApp fraudsters’

    The Ministry of Posts and Telecommunications warned members of the public who use WhatsApp to vigilantly guard against a new trick employed by hackers that involves the use of six-digit codes sent to potential victims via the popular messaging app. The ministry said hackers could