Logo of Phnom Penh Post newspaper Phnom Penh Post - Opportune time to tap growing Chinese market in Sihanoukville



Opportune time to tap growing Chinese market in Sihanoukville

Content image - Phnom Penh Post
Property development is a fast growing sector in Sihanoukville. Vandy Muong

Opportune time to tap growing Chinese market in Sihanoukville

Following the steady rise of tourism in Sihanoukville, property development in the coastal town is heavily targeting the nonstop influx of Chinese flocking to the area.

Although Sihanoukville has, in recent times, been synonymous with a growing number of Chinese tourists, currently it is going through an even more progressive overhaul to accommodate the rapid rise of visitors from the People’s Republic.

Taing Sochet Krisna, director of the Preah Sihanouk provincial tourism department, said when it came to the tourist and investment market in the area, the Chinese outnumbered other nationalities such as Russians and Americans.

“When we talk about tourists, the accommodation is important,” he said.

“A lot of hotels are being required when the Chinese come to Sihanoukville. As such, local people started to build these facilities to cater to the Chinese who come to visit, work and live.”

Nowadays, many hotels, guesthouses and homestays are being booked by the Chinese. According to a 2016 report from the Ministry of Tourism, the number of Chinese visitors to Sihanoukville increased from 39,581 people in 2015 to 53,177 people in 2016.

Content image - Phnom Penh Post
Construction is underway for another new condo project. Vandy Muong

Sochet Krisna said the real estate market in the coastal province was heavily targeting the Chinese, but it comes at a cost to the locals.

“The tourists are fine with the high price of accommodation and rentals, but local people cannot afford to shell out as much as them,” he said.

Sochet Krisna added that the government was welcoming of property and infrastructure investment in Sihanoukville, although the investment had to be impeccably calculated to ensure supply was keeping pace with demand.

“When the number of tourists increase, activity in the property market inevitably increases,” he added.

According to Sihanoukville-based HNH Real Estate owner Seu Kuyhok, the real estate development in the area really began to boom when the Chinese started pouring in in 2014.

“Chinese investment in Sihanoukville is targeting the high-end real estate market, both for foreigners and locals,” he said.

“They come here to build condominiums, casinos, hotels and other real estate projects but the speedy investment is not stable,” he said.

Kuyhok said increasing Chinese investment in Sihanoukville was at times concerning because the investment was sometimes not clear or strategic.

“Local properties are now going up without reason and it will soon affect other investors who want to invest here for the long-term,” he said.

Overall, Kuyhok said condo living is not generally a goal for Cambodians because they aren’t accustomed to high-rise living. This, however, contrasts with the Chinese mindset who prefer living in a condo.

A resident who has lived in Sihanoukville since 2007 said he has noticed a wave of Chinese investors and tourists flocking to the coastal location in recent years.

“I have witnessed more and more investment traffic in the province over the last few years,” the resident said.

“More housing is being built, as well as casinos, hotels and condos. A lot of them are owned by the Chinese.”

“Also, some big projects and property developments near the coast are being built by Chinese companies that other foreigners can’t afford to buy,” the resident added.

MOST VIEWED

  • Locations shut, dozens more Covid-19 positive

    The Ministry of Health has closed 23 locations in connection with the February 20 community transmission of Covid-19 and summoned for testing anyone who had direct contact with affected people and places. The number of discovered related infections has risen to 76, including 39 women. In a press release,

  • Kingdom's Covid cluster cases jump to 194

    The Ministry of Health on February 25 confirmed 65 new cases of Covid-19, with 58 linked to the February 20 community transmission. The latest cluster cases include nine Vietnamese nationals, five Cambodians, one each from Korea, Singapore and Japan, with the rest being Chinese. This brings the total number

  • Cambodia's Covid cluster cases rise to 137

    The Ministry of Health on February 24 recorded 40 more cases of Covid-19, with 38 linked to the February 20 community transmission. Of the 40, two are imported cases involving Chinese passengers. The 38 include two Vietnamese nationals and one Cambodian, with the rest being Chinese. This brings the total cases

  • Covid cluster raises alarm, health bodies urge vigilance

    The Ministry of Health and the World Health Organisation (WHO) in Cambodia have expressed great concern over the February 20 cluster transmission of Covid-19 in the community. Both entities appealed for vigilance and cooperation in curbing further spread of the virus. Ministry spokeswoman Or Vandine said

  • PM confirms third Covid-19 community transmission

    Prime Minister Hun Sen on February 20 announced the Kingdom's third outbreak of Covid-19 community transmission after 32 people tested positive in just over 10 hours. Addressing the public from his residence after an emergency meeting, Hun Sen said: "I dub it February 20 Community Event, in which 32 cases

  • Cambodia to make auto-rickshaws

    Locally-assembled electric auto-rickshaws could hit the Cambodian market as soon as early in May after the Council for the Development of Cambodia (CDC) gave the greenlight to an investment project at the weekend. According to a CDC press release, it will issue a final registration