Logo of Phnom Penh Post newspaper Phnom Penh Post - Capital’s retail space gains 4%




Capital’s retail space gains 4%

Content image - Phnom Penh Post
Shopping malls cover the most retail space in Phnom Penh, at 51 per cent. Hong Menea

Capital’s retail space gains 4%

Retail space in Phnom Penh surged four per cent to 326,000sqm in the first half of this year from 314,000sqm at the end of last year, a research report from real estate service provider CBRE Cambodia said.

The report, which was obtained by The Post on Wednesday, said the number of buildings that provide retail space increased to 23 during the period.

Broken down by category, “shopping malls” covered the most retail space at 51 per cent, followed by “shopping centres” (25 per cent), “community malls” (14 per cent) and “retail podiums” (10 per cent).

Vacancy rate stood at around 10.2 per cent as of June 30, down from 10.63 per cent on December 31.

The report lists the current average monthly prices at $28.46 per square metre at “prime shopping mall” units (down 12 per cent from the December 31 rate), $26.03 at “prime retail podium” units (down 13 per cent), $22.23 at “community mall” units (down four per cent) and $26.23 at “prime high-street” units (up one per cent).

CBRE Cambodia senior manager Kim Kinkesa told The Post on Wednesday that Covid-19 had sapped the momentum of the retail rental market, with three projects postponed early this year.

But the market situation has shown steady strides since the beginning of the second quarter, she noted.

“As Covid-19 fears subside, I am all the more optimistic that the retail rental space market will be incrementally restored to its former glory by the end of 2020,” she said.

Cambodian Estate Alliance CEA Co Ltd vice-chairman Sao Sakhom told The Post that the market had been derailed by a Covid-19-driven triple whammy of social distancing, income decline and the resulting business-crushing market saturation.

Where throngs of visitors once roamed, commercial centres and other rental locations remain unoccupied, he said.

“Nowhere is the issue of unused rental locations more severe than in the centre of the city,” Sakhom said.

But the retail rental market is likely to recover as economic growth picks up, more so after an effective vaccine against Covid-19 has been developed, he said.

CBRE Cambodia predicted that three new retail rental buildings would launch by this year’s end, adding 50,000sqm of retail space to the capital.

MOST VIEWED

  • Angkor provides ‘valuable’ water storage

    The Apsara National Authority (ANA) has stored millions of cubic metres of water at reservoirs in the Angkor area after Cambodia experienced a series of rainstorms over the last few days. The storing of the water, besides serving temple conservation, will also be used to

  • Would you like fries with that? US burger chain makes Phnom Penh debut

    California-based The Habit Burger Grill restaurant chain is all set to serve up a delicious array of charbroiled burgers and sides at its newest international location in the centre of Phnom Penh. The Habit is “renowned for its award-winning Charburgers grilled over an open flame,

  • Floods prompt evacuations in Kampong Speu

    Rain-induced floods and water flowing from Kampong Speu province have submerged the houses of 1,527 families living close to the Prek Thnot River in Spean Thma, Tien, Kong Noy and Roluos communes in Phnom Penh’s Dangkor district, according to data from local authorities. Spean Thma

  • Banteay Meanchey floods kill one more as death toll reaches 15

    As floodwaters start to recede in Pursat, Battambang and Pailin provinces and Phnom Penh, Banteay Meanchey continues to bear the brunt as one more person was killed on Monday, bringing the total number of flood-related deaths to 15 in the province this month. Banteay Meanchey provincial

  • Serving coffee with a side of robots

    The eye-catching glass building surrounded by greenery at the intersection of Streets 371 and 2002 in Phnom Penh’s Sen Sok district is more than just another coffee shop where you can while away a few hours. UrHobby House cafe is filled with robots and characters from

  • Cintri strike ends, workers’ contracts to be terminated

    CINTRI (Cambodia) Ltd rubbish collectors who have been on strike for the past 13 days agreed to return to work starting Wednesday evening after the company agreed to terminate their contracts at the end of January next year and provide seniority payments and other benefits to