Logo of Phnom Penh Post newspaper Phnom Penh Post - Condo market hits Phnom Penh’s north west

Condo market hits Phnom Penh’s north west

Content image - Phnom Penh Post
Condo developers are drawn to the capital’s north west. PHOTO SUPPLIED

Condo market hits Phnom Penh’s north west

Earlier this week, Scott Wu, general manager of Cambodian-Australian developer J&L Property Development, announced his company would invest $250 million in the Sky Tree Condo, located in the Toul Sangke, Russei Keo District.

The 32-storey development will offer 1,104 units, starting at 62 square metres. A unit of this size would cost $668 a month and would require a down payment of $8000 – 10 per cent of the $80,000 unit starting price.

This latest announcement underscores the move by property developers to take on Phnom Penh’s more affordable north and north west, by targeting local buyers who are often priced out of the market in the city’s southern districts such as Boeung Keng Kong 1, according to Wu.

Ross Wheble, general manager of Knight Frank Cambodia said, “There is a definite trend of development spreading to the north and north west of the city which is largely being driven by improvements in infrastructure.”

“With the improvement of Street 598 and Hanoi Road, we have witnessed significant growth in the number of borey developments under construction, in addition to the announcement of Aeon 2 near Camko City.”

At around $1,300 per square metre, J&L’s Toul Sangke unit developments are very competitive compared to areas of the city’s south where prices can jump above $3000 per square metre.

“Toul Sangke is certainly a lot more attractive in terms of pricing compared with more central locations such as BKK1 and Tonle Bassac,” Wheble said, adding that as “infrastructure continues to improve to the north of the city, there is good potential for this location to outperform the market average.”

Kim Heang, president of the Cambodian Valuers and Estate Agents Association, sees a lot of near-term growth potential for Phnom Penh’s north in addition to the south, pointing out that “Phnom Penh’s south is also not bad but [value appreciation] now needs more time there.”

Additional reporting by Julius Thiemann

A previous version of this article referred to J&L Property Development as a Taiwanese company. In fact, they are a Cambodian-Australian company.

MOST VIEWED

  • PM Hun Sen says dangers averted

    Delivering a campaign speech from his home via Facebook Live on Thursday, caretaker Prime Minister Hun Sen said his Cambodian People’s Party (CPP) had carried the country through danger in its latest mandate. He was specifically referring to the threat of a “colour revolution”

  • Bumpy road for local ride apps

    Ride-hailing services seem to have grown into a dominant player in the capital’s transportation sector. Relatively unknown and little used in the Kingdom at the beginning of this year, services like PassApp, Grab and ExNet are now commonplace on Phnom Penh streets. However, the

  • Hun Sen lays out party’s platform

    Caretaker Prime Minister Hun Sen on Wednesday credited liberating Cambodia from the Khmer Rouge as among the reasons why people will vote for his ruling Cambodian People Party (CPP) in the July 29 national elections. Hun Sen, who has held the reins of power in Cambodia

  • CNRP points to King in call for vote boycott

    Leaders of the former Cambodia National Rescue Party (CNRP) have taken a new tack in their call for a boycott of the national elections later this month. They are now claiming that the people should follow the King, who is expected to abide by tradition