Can Foreigners Own Property in Cambodia?

Yes, foreigners can own property in Cambodia, but only under specific legal conditions. However, foreigners are not permitted to directly own land in Cambodia under the country’s Constitution and Land Law. 

There are several legal ways for foreign investors to hold property rights and benefit from Cambodia’s growing real estate market.

Read More: How Does the Property Ownership Application Process Work in Cambodia?

1. Constitutional Restriction

Article 44 of the Cambodian Constitution clearly states that only Cambodian citizens and legal entities with at least 51% Cambodian ownership can own land. This means that no foreign individual or company majority-owned by foreigners can hold freehold land titles.

Additional Reading: Due Diligence Checklist When Buying Property in Cambodia

2. Legal Alternatives for Foreigners

Strata Title Ownership (Condominiums)

Foreigners are allowed to own condominium units under a strata title, as long as:

• The property is part of a co-owned building registered under the 2010 Foreign Ownership Law
• The unit is located above the ground floor
• Foreign ownership in the building does not exceed 70% of the total units
• This is the most common and secure method for foreigners to own property in Cambodia.

Further Reading: Understanding Property Titles in Cambodia

Long-Term Leasehold (Up to 50 Years, Renewable)

Foreigners can sign lease agreements of up to 50 years, renewable upon expiry. A long-term lease provides full rights to use, develop, or rent out the land, similar to ownership, but without the title transfer.

Further Reading: A Guide to Leasehold Property in Cambodia

Cambodian Company Structure

Foreign investors may form a local company with Cambodian partners holding at least 51% of the shares. The company, as a Cambodian legal entity, is permitted to own land. However, this route requires strong trust and legal safeguards to avoid ownership disputes.

3. What Kind of Property Can Foreigners Own in Cambodia?

In short, foreigners can own:

• Condominium units above the ground floor (with strata title)
• Buildings and structures (but not the land beneath)
• Leasehold interests, concessions, and usage rights on land
• Key Laws Regulating Foreign Ownership

Constitution of the Kingdom of Cambodia: establishes ownership limits

• Land Law (2001): defines ownership, lease, and co-ownership rights
• Foreign Ownership Law (2010): allows foreign ownership of strata-titled condominiums
• Civil Code (2007): regulates leases and property transactions

Conclusion

Foreigners cannot own land outright in Cambodia. However, through legal alternatives such as condominium ownership, long-term leasing, or Cambodian-registered companies, they can still invest safely and profitably in the property market. Understanding these structures ensures compliance with Cambodian law while securing valuable real estate opportunities.

FAQs

Can foreigners own land in Cambodia?

> No, foreign individuals and entities are not allowed to directly own land in Cambodia. However, they can acquire land through long-term leases (15–50 years) or by setting up a landholding company wherein Cambodian nationals hold at least 51% ownership.

What types of properties can foreigners own in Cambodia?

> Foreigners can own condominium units in Cambodia, provided that the total foreign ownership in the building does not exceed 70%. They can also hold leasehold properties for 15 to 50 years, with the possibility of extension.

How does the new Law on Investment affect foreign investors?

> The new Law on Investment aims to modernize Cambodia's investment environment by simplifying registration procedures, strengthening investor guarantees, and encouraging investments in strategic sectors. It offers incentives such as income tax exemption and customs duties incentives for qualified investment projects.

Will the reinforcement of foreign ownership laws be made retrospective?

> Based on precedents in other areas, there have been no retroactive penalties or nullification of sales for properties transferred into a foreigner's name. However, the future consequences for foreigners holding soft title properties in their own name remain unclear.

What is the process for foreigners to acquire property in Cambodia?

> The key steps include conducting due diligence, consulting with a lawyer, negotiating the purchase, signing the contract, making the payment, applying for property registration, paying taxes and fees, and obtaining the property title.