Even as political instability led to a drop in Phnom Penh’s housing market over the last few months, construction and sales of De Castle Royal steamed ahead in the third quarter.
Now fully over the fallout from the 2008 global financial crisis, a recent $28 million in additional investment pumped in by Canadia Bank has also played a big part in pushing work on the luxury condo complex toward its final phase.
Andrew J Ahh, the group’s vice-president in charge of sales, marketing and project development, said construction of De Castle Royal is moving forward smoothly and the whole project is scheduled to be completed in the first quarter of 2014.
“Our construction prioritises quality so that our clients can live in luxurious surroundings,” Ahh said. “We are ensuring that everything about the construction of De Castle Royal will be perfect – this building will become a symbol of the company in the future. Living in De Castle Royal condo will be like living in a 5-star hotel as the future residents will have a full range of excellent facilities and services provided onsite.”
When completed, De Castle Royal will be 32 storeys high with three underground floors. A total of six floors for parking – three underground and three above – will offer enough space for nearly 500 cars. The fourth floor will be completely dedicated to residents’ entertainment and lifestyle needs, with a modern gym equipped with all of the latest equipment, a swimming pool, steam room, sauna, restaurant and more. The possibility of constructing a sky bar on the 32nd floor is also being considered.
Work on the complex is scheduled to be completed early in 2014, with an additional two to three months required afterward to ensure the quality of the building’s electrical system, clean water supply, drainage, fire alarms and other safety systems as five-star hotel has when they open the new hotel.
Lach Linda, sales manager of project owner NURI D&C, said De Castle Royal condos are selling at a brisk pace, with some 70 per cent of the units already purchased. About 50 per cent of customers so far have been Cambodian and the other 50 per cent foreigners, with large numbers from Japan, China, South Korea, Malaysia, Singapore and France .
“Sales are proceeding smoothly because the public is confident in the quality of the construction, especially after seeing how well the building work is moving forward,” Linda said.
“Another factor at play is that buyers have the choice of paying in installments through Canadia Bank with a very competitive interest rates for up to 15 years.”
De Castle Royal has 414 units in total, with condo prices ranging from $130,000 to more than $1 million.
Numerous big-name firms have teamed up for the project, including CBRE Cambodia, SecureP, L’attrait, SBI Royal Securities and Informax.
Seng Sopheak, general manager of major realty company CPL, talked up De Castle Royal, pointing to its location in the capital’s bustling commercial district.
Sopheak also said sales are going strong, adding that most of the customers he has served have been Cambodian or from within Asia.
“While the price can at first seem like an obstacle to sales, the good location more than makes a condo here worth it – the project will be sold out soon.”
Bunna Reality Group general manager Noun Rithy struck a different tone, saying that despite being located in the heart of Phnom Penh, an abundance of competitors means that the success or failure of De Castle Royal depends on price. The condo market in Cambodia is expanding strongly, with an increase in sales of between 20 per cent and 30 per cent in 2012 compared to 2011, according to Rithy.
“Investing in real estate such as a condo remains a good decision as there are a lot of international companies entering Cambodia, meaning a steady increase in demand for accommodation,” he said.
De Castle Royal is located in Boeung Keng Kang I, Chamkarmon district, which boasts the top-priced real estate in the capital and the country.