Logo of Phnom Penh Post newspaper Phnom Penh Post - Real estate investment rallies to $7.56 billion in Q3



Real estate investment rallies to $7.56 billion in Q3

Content image - Phnom Penh Post
A small portion of Phnom Penh’s skyline. POST STAFF

Real estate investment rallies to $7.56 billion in Q3

At the end of September, investment in approved real estate projects had grown a hefty 76 percent compared to the previous corresponding year.

Lao Tip Seiha, undersecretary of the Ministry of Land Management, Urban Planning and Construction (MLMUPC) told Post Property that authorities from the ministry and relevant nationwide departments have, in the last nine months, permitted 2,009 construction projects totalling more than 10.5 million square metres, valued at $7.56 billion.

Most of the projects submitted to the ministry come from all types of investors ranging from local to international, as well as joint venture initiatives between both local and international partners.

Seiha added, “The projects submitted this year are mixed – including boreys, factories, hotels, condominiums, high-end offices, and apartments.” While there are concerned parties within the industry, said Seiha, “the situation and construction activities are still being carried out normally. There are [still more] projects waiting for approval.”

Seiha also played down oversupply market jitters that had recently engulfed the residential property market in Phnom Penh.

“I think the situation in this sector is still fine and hasn’t changed much. If the investors had been worried, they wouldn’t have submitted their projects for approval.”

Peng Serey, CEO of Angkor Real Estate, said this was a good thing. However, sometimes, they were merely figures. In reality, some companies had yet to carry out the cash drop and commit to their investment proposals.

“These investment figures are good. However, it’s not such a good thing in this sector because if there is too much construction, it will be spoilt in the future,” Serey said.

General manager of Focus Property, Po Eavkong, said these figures were positive, waxing lyrical about foreign investors’ unbroken confidence to continue investing in Cambodia.

However, he believes that the ministry should practise transparency regarding upcoming development projects.

Even if the figures are now seen as extremely positive, some projects have been delayed, Eavkong noted, adding that what can only be seen is the figure of project submissions.

“These figures only show the amount of licenses issued from the ministry. In reality, we still need some time. These figures do not reflect this year only as some projects need two to four years to finish,” Eavkong said.

MOST VIEWED

  • Phnom Penh placed in two-week lockdown

    The government has decided to place Phnom Penh in lockdown for two weeks, effective April 14 midnight through April 28, as Cambodia continues to grapple with the ongoing community outbreak of Covid-19, which has seen no sign of subsiding. According to a directive signed by Prime Minister

  • Cambodia on the verge of national tragedy, WHO warns

    The World Health Organisation (WHO) in Cambodia warned that the country had reached another critical point amid a sudden, huge surge in community transmission cases and deaths. “We stand on the brink of a national tragedy because of Covid-19. Despite our best efforts, we are

  • Hun Sen: Stay where you are, or else

    Prime Minister Hun Sen warned that the two-week lockdown of Phnom Penh and adjacent Kandal provincial town Takmao could be extended if people are not cooperative by staying home. “Now let me make this clear: stay in your home, village, and district and remain where

  • Vaccination open to foreigners in Cambodia

    The Ministry of Health on April 8 issued an announcement on Covid-19 vaccination for foreigners residing and working in Cambodia, directing the Ministry of Labour and Vocational Training and local authorities to register them. Health minister Mam Bun Heng, who is also head of the inter-ministerial

  • Culture ministry: Take Tuol Sleng photos down, or else

    The Ministry of Culture and Fine Arts has told Irish photographer Matt Loughrey to take down the photos of Khmer Rouge victims at Tuol Sleng Genocidal Museum which he allegedly colourised and altered to show them smiling. The ministry said Loughrey's work is unacceptable, affecting

  • Ministry names types of business permitted amid lockdown

    The Ministry of Labour and Vocational Training singled out 11 types of business that are permitted to operate during the lockdown of Phnom Penh and Takmao town, which run through April 28. Those include (1) food-processing enterprises and slaughterhouses; (2) providers of public services such as firefighting, utility and