Logo of Phnom Penh Post newspaper Phnom Penh Post - Sathapana Bank merges finance with real estate




Sathapana Bank merges finance with real estate

A man walks past the current office of Sathapana Bank. It is set to move into new headquarters on Norodom Boulevard in 2019.
A man walks past the current office of Sathapana Bank. It is set to move into new headquarters on Norodom Boulevard in 2019. Pha Lina

Sathapana Bank merges finance with real estate

Major Japanese companies are diving even deeper into Cambodia’s real estate and financial market, the latest being Sathapana Bank Plc investing an undisclosed amount into its new 22-storey headquarters in Phnom Penh’s unofficial Central Business District along Norodom Boulevard.

Sathapana board chairman Chang-Woo Han told Post Property the 22-storey building, which can house 1,200 workers and includes five underground levels, is slated for completion in 2019. He added that the project belongs to Maruhan Investment Cambodia, led by Sathapana’s parent company Maruhan Corporation of Japan.

Han, however, did not reveal the amount of capital that is being invested for the new headquarters.

“I am confident that Cambodia will continue to grow enormously in every sector in the future, especially the banking sector with strong support from the government and the National Bank of Cambodia. Now is the best opportunity to construct this building,” he said.

The building sits on a land plot of 2,113 square meters on the corner of Street 172 and Street 174 along the busy, corporate building-lined Norodom Boulevard.

According to Han, the new building will be equipped accordingly with the aim of enhancing the bank’s services to a larger scale for its customers, embodying a central point in shaping the company’s future strategies.

With 163 branches and more than 4,000 employees across Cambodia, Sathapana Bank was registered as possessing $120 million in capital and $929 million in assets as of December 31 last year, while its total credit loan and total deposits clocked in at $611 million and $583 million respectively.

Secretary of state of the Ministry of Land Management, Urban Planning and Construction, Pen Sophal, said he was looking forward to seeing the international standards applied by the Japanese company in constructing its new headquarters.

According to Kim Heang, president of the Cambodian Valuers and Estate Agents Association, the area where the building is to be erected once had an 8-storey limit. However, with news of Sathapana’s 22-storey building, the land price in the area would subsequently spike. Heang estimated the price per square metre in the mentioned area to range from $5,500 and $6,000.

Based on the land price estimates Heang gave, the 2,113 square metres of land designated for the new Sathapana building is worth up to $12.7 million.

“The price of the plots in this area will continue to rise, but at a low rate seeing that it is already expensive,” said Heang.

In Channy, president and group managing director of Acleda Bank, said the move to construct a new building of such massive scale was a reflection of Sathapana’s stability and confidence in the banking and real estate sectors. It could also be a way to earn more trust from both its existing and prospective customers. Channy said he was certain more Japanese investors would be coming to invest in Cambodia.

“If there were no competitors, everyone would forget; therefore, with creating new products, having competitors, having proper infrastructure and quality services to satisfy customers’ needs, then their services would be duly utilised.”

MOST VIEWED

  • Tourists urged not to skip trip

    The Ministry of Tourism has called on international tourists not to cancel trips to Cambodia, but urged them to adhere to several dos and don’ts when arriving in the Kingdom during the Covid-19 pandemic. The ministry released an eight-point instruction manual on Wednesday published

  • The taxman cometh – Cambodia’s capital gains tax casts the net on individual taxpayers

    In a country where only limited personal income tax existed, the new taxation law beginning January 1, 2021, will make taxpayers out of Cambodians, whether they are ready for it or not About two years ago, a little known amendment was made to Article 7 of the Law

  • Cambodian-American gets Star Trek treatment

    Kevin Ung, a Cambodian-American whose family escaped genocide during the Khmer Rouge’s reign of terror, was recently selected from thousands of applicants to participate in the Television Academy Foundation’s inaugural 2020 Star Trek Command Training Programme, a course intended to give hands-on filmmaking experience

  • Cambodia seeks to be transport hub

    Cambodia is working on several fronts to modernise its transport infrastructure and services, concentrating on opening new international gates to relieve and balance traffic congestion at its borders, Minister of Public Works and Transport Sun Chanthol said on Thursday. This is part of the Kingdom’

  • PM: West unfair to Cambodia

    Prime Minister Hun Sen released a message celebrating the International Day of Peace on Monday, saying that some major powers and western countries had been systemically cooperating to put political pressure on Cambodia as they did in the 1970s and 1980s. Hun Sen said pressuring

  • First ‘mobile kitchen’ in Cambodia enters service

    A catering company recently rolled out Cambodia’s first “mobile kitchen” – a $50,000 container capable of serving up to 200 people at a time. The kitchen is the brainchild of Seng Hok Heng Catering Services. At 4.4m-high, 6.8m-long and 2.4m-wide (expandable to 6.8m), the kitchen is equipped