Logo of Phnom Penh Post newspaper Phnom Penh Post - Government attempts foray into low-cost housing

Government attempts foray into low-cost housing

Senior minister and MLMUPC minister Chea Sophara (centre left) at the inking of the MoU last Thursday. MLMUPC WEBSITE
Senior minister and MLMUPC minister Chea Sophara (centre left) at the inking of the MoU last Thursday. MLMUPC website

Government attempts foray into low-cost housing

The Ministry of Land Management, Urban Planning and Construction (MLMUPC) is ramping up efforts to develop housing projects for its lower and middle class citizens, recently inking a memorandum of understanding (MoU) with contracting firm Bun Ches Groups Co., Ltd. to cooperate on a new $88 million residential scheme.

The MoU was signed last Thursday at a ceremony presided over by Chea Sophara, Senior Minister and the MLMUPC minister.

The affordable housing project, to be located at the Sleng Dei Dos village of Ponhea Leu district in Kandal province, will target civil servants, the armed forces as well as moderate and low income citizens.

Bun Ches, founder and chairman of Bun Ches Groups Co., Ltd., which specialises in house renovations, said the company will be responsible for managing the design and launch of the housing project.

“The Group has many years of experience in construction and has completed several projects in Cambodia such as Toul Kork Warehouse, town houses such as the Mekong View Tower and other projects. This is the company’s fourth construction project,” Ches told Post Property.

Ches said an affordable house in the complex would cost between $23,500 and $24,800 per unit and would require a 30 percent deposit. Monthly payments would be less than $200 a month, Chess added.

The complex will comprise 5,340 units in total, while school, health care and shopping facilities will also be on site.

Seng Lot, a spokesman for the MLMUPC, welcomed the government’s move to proceed with a low-cost housing project.

“It is a good joint cooperation between the ministry and Bun Ches Groups to process the second development on affordable housing,” he said.

While more details will need to be released to determine the projects housing classification, Cambodia has already started to make headway on providing housing for the low-income group with the development being spearheaded by Worldbridge Land.

The debut housing project will prioritise families whose monthly income is less than $500. The project is also located in Kandal province. Set to house government officials, houses are priced between $25,000 to $30,000.

For the second and latest low-cost housing initiative, neither Bun Ches nor the ministry would disclose the financial terms of the project, reveal details of how the project would be paid for or if the project would attempt to generate a financial return for the company and/or government.

Affordable or low-cost housing is generally aimed at assisting the poorest groups within a community by providing subsidised housing, as opposed to being focused on generating a return.

MOST VIEWED

  • Ream base allegations must end, urges official

    A senior government official urges an end to the allegations and suspicions surrounding the development of Cambodia’s Ream Naval Base, now that Prime Minister Hun Manet has addressed the issue on the floor of the 78th UN General Assembly (UNGA 78). Jean-Francois Tain, a geopolitical

  • Cambodia set to celebrate Koh Ker UNESCO listing

    To celebrate the inscription of the Koh Ker archaeological site on UNESCO’s World Heritage List, the Ministry of Cults and Religion has appealed to pagodas and places of worship to celebrate the achievement by ringing bells, shaking rattles and banging gongs on September 20. Venerable

  • CP denied registration documents by ministry

    The Ministry of Interior will not reissue registration documents to the Candlelight Party (CP). Following a September 21 meeting between ministry secretary of state Bun Honn and CP representatives, the ministry cited the fact that there is no relevant law which would authorise it to do

  • PM to open new Siem Reap int’l airport December 1

    Prime Minister Hun Manet and Chinese leaders would jointly participate in the official opening of the new Chinese-invested Siem Reap-Angkor International Airport on December 1. The airport symbolises a new page in the history of Cambodian aviation, which will be able to welcome long-distance flights to

  • Minimum wage set at $204, after Sep 28 vote

    The minimum wage for factory workers in the garment, footwear and travel goods industries for 2024 has been decided at $204 per month, with the government contributing $2. Following several negotiation sessions, the tripartite talks reached an agreement during a September 28 vote, with 46 of 51 votes supporting the $202 figure.

  • Cambodian diaspora laud Manet’s UN Assembly visit

    Members of the Cambodian diaspora are rallying in support of Prime Minister Hun Manet’s forthcoming visit to the 78th UN General Assembly (UNGA 78) in the US’ New York City this week. Their move is an apparent response to a recent call by self-exiled former