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What To Consider When Buying A Cambodian Property - Climate, Orientation & Green Spaces
What To Consider When Buying A Cambodian Property - Climate, Orientation & Green Spaces
May 5, 2024, 1:41 p.m.
The 2024 hot season has been breaking records, not only in Cambodia, but Southeast Asia has seen prolonged periods of extreme heat and with the warnings of climate change, it's possible more similar seasons are upon us in years to come.Despite the incredibly hot weather this year, it's been predicted to be followed by a higher than usual rainfall in May for the start of the rainy season, which in itself raises other considerations of drainage and seasonal flooding in Cambodia.In Cambodia, the property’s orientation does matter to a degree but overall the climate is very different to Europe for example.If a property buyer is choosing a property for living or investment in the Kingdom, they will need to consider the direction a home faces, but more so the design elements, circulation and surrounding greenspaces.Cambodia Real Estate: Choosing the Right Home in a Tropical ClimateCambodia is tropical, and yes that means mostly year-round clear blue skies, but the hot season which is generally coming to an end around now (March-June) can be very uncomfortable unless fans and air-conditioning are widely used.Cambodia's climate cycle is due to its geographic location of 11 and 16 degrees north latitude, a location that is north of the Tropic of Cancer resulting in a tropical climate with abundant annual sunshine yearly.Temperatures generally range between 25°C and 35°C, but there are distinct seasons; the rainy season from May or June and the dry season usually starts in November or December and lasts until April or May of the following year.In 2024, since the start of April, daily temperatures have been sitting at sweltering highs of 37-40°C+, with relentless heat waves causing significant discomfort. It is usually hot but this has been extreme in Cambodia, as it has in Thailand, Laos and elsewhere.Chan Yutha, spokesman for the Ministry of Water Resources and Meteorology said that Cambodia is facing the hottest temperatures since records began in the 1850s! As such, the use of air conditioners, coolers, and fans operating non-stop has spiked electricity bills and reignited debates around environmental concerns, better city planning, and sustainable alternatives for cooler home temperatures in Cambodian cities in particular.Property Orientation In CambodiaOrientation isn't necessarily as important in Cambodia for a property unless specific sunrises and sunsets and natural light for working spaces are being considered, as the sun never sets too late in the Kingdom. However, means by which a property is kept cool and well-ventilated due to heat and humidity caused by the rainy and dry seasons are crucial.Generally speaking in Cambodia, homes oriented towards the west are exposed to direct sunlight during the peak heat hours of the day which can lead to an accumulation of indoor heat, elevated indoor temperatures and less overall comfort. West-facing properties may even have a lower price tag but buyers must balance their preferences and requirements.An east-facing house in Cambodia welcomes the early morning sunlight, while a west-facing home is exposed to strong sunlight in the afternoon to the early evening.A south-facing property will avoid direct sunlight for most of the year, and north-facing properties benefit from receiving less direct sunlight, resulting in a cooler indoor temperature.Key Considerations - Cooler Homers For Warmer ClimatesProximity to Water - The proximity of certain sangkats in Phnom Penh to the Mekong, Bassac, and Tonle Sap Rivers can mean higher priced properties as the locations tend to benefit from natural cooling as they are located to wider spaces of open water.Building Materials Used - When considering the building materials of a property, ideally heat-insulating materials will help keep a home cooler, although the layout can also play a part. Low-emissivity glass (or low-E glass) for example provides natural light while minimising heat gain in a living space.Ventilation & High Ceilings - Proper ventilation is a KEY and ensures a steady flow of air, natural cooling of indoor spaces and rising hot air to escape. For this reason, many properties will have a higher ceiling in Cambodia to support better airflow and temperature regulation. The design and layout need to allow for air circulation resulting in naturally lower indoor temperature and less moisture.Heat Management: Managing the abundant natural heat is essential and to buffer these design adjustments to mitigate warmth while enjoying sunset views, for example, needs to be considered in constructing or buying a property.Other factors such as the size of windows or glass doors that enhance a warming effect, the installation of shades, more greenery, and the placement of fans all play a part in cooling a home.Urban Green SpacesOne prominent trend has been the growing demand for green spaces in both residential and commercial properties especially in the cities and as buyers and citizens become more aware of the importance of the environment in their well-being.There has been an increase, for example, in the number of parks in Phnom Penh and more developments incorporating green spaces. This means there is greater demand for eco-friendly buildings, green infrastructure, and access to nature which can be seen as a positive shift in buyers' property demands.With the capital being the most expensive and most busy property market, Phnom Penh’s municipal government in 2024 announced plans to develop a leisure and entertainment area in Daun Penh which aims to cover approximately 57 hectares. Mr. Sam Piseth, Director of the Department of Public Works and Transport of Phnom Penh, emphasised that there will be green areas and outdoor lighting intended to improve the area's overall atmosphere.As part of this, a large recreation space is planned and a large pedestrian-only area and the entire project is due to start immediately and be completed before the end of 2025.
New Development: Daun Penh’s Pedestrian Street Project
New Development: Daun Penh’s Pedestrian Street Project
May 2, 2024, 5:38 a.m.
The Phnom Penh municipal government plans to develop a leisure and entertainment area in the district of Daun Penh. The new development will encompass shops, restaurants, hotels, and a bar street, all spread across approximately 57 hectares.The development is planned into three zones:Zone 1 (Food Street and Shopping Area): Located in front of the post office, this bustling zone is bordered by Street 94 to the north, Street 106 to the south, Street 13 to the west, and Sisowath Quay to the east.Zone 2 (Entertainment Area): Positioned between Street 106 and Street 184, with Street 13 and Sisowath Quay.Zone 3 (Recreation Space): By Street 184, Sihanouk Boulevard, Street 07, and Sisowath Quay. Scheduled to start in early May 2024, the project is aimed to be completed before the New Year 2025. Once completed, Pedestrian Street will be open from 6 PM to 11 PM, enhancing Daun Penh's appeal as a destination for evening entertainment and leisure activities.The development of the Daun Penh Pedestrian Street project in Phnom Penh is set to bring benefits both to locals and tourists to the district and the city's appeal.The pedestrian street will likely increase foot traffic, which can significantly benefit local businesses such as restaurants, cafes, shops, and markets in the area.Moreover, according to Mr. Sam Piseth, Director of the Department of Public Works and Transport of Phnom Penh, the area will be enhanced with green areas and outdoor lighting which also will improve the area's overall atmosphere.Daun Penh is one of the central districts in Phnom Penh, and it holds historical significance. Located on the the banks of Tonle Sap River, it was named after the legendary figure Lady Penh (Grandmother Penh), who is said to have founded the city during the 13th-14th century, the area occupies an important place in Cambodia's history. This district is not only a hub for many of Phnom Penh’s businesses but also serves as a cultural and historical centre. Major landmarks in Daun Penh include the Royal Palace, the Railway Station, the Central Market, Wat Phnom, and the National Museum of Cambodia, to name just a few. These important monuments make Daun Penh a highly visited area by tourists and locals. When it comes to living, Daun Penh offers unique properties such as colonial-style apartments, renovated shophouses, and buildings.  The Daun Penh area is vibrant, with Sisowath Quay being a particularly popular spot where many gather during the weekends. Overall, the development of the Daun Penh Pedestrian Street project stands to offer benefits by enhancing the livability of Phnom Penh, promoting tourism, and stimulating economic growth.
Five Reasons The Phnom Penh Southern Corridor Is Worth Investing In
Five Reasons The Phnom Penh Southern Corridor Is Worth Investing In
May 2, 2024, 8:36 a.m.
The south of Cambodia’s capital Phnom Penh is seeing some of the most drastic investment and urban change, much of it aligned to the potential opening of the new multi-billion dollar airport opening in 2025. With new condo developments and the retail landscape radically transformed, as well as new infrastructure including bridges, overpasses and road networks designed to open up the city’s southern corridor.Cambodian Prime Minister Hun Manet said in 2024 that the southwest will become Cambodia’s logistics hub due to the construction of ring roads, the existing expressway linked to Sihanoukville, the proposed Techo Funal Canal as well as the new airport.New Phnom Penh Airport - Techo International AirportThe first phase of what is due to be one of the biggest airports in the world when completed, is due by the end of 2024 or early 2025. The ambitious development is due to be operational in 2025 allowing bigger aircraft to reach the Kingdom and hopes that more international and regional routes will boost tourism numbers to the Kingdom.Although the airport is located 30-40 km south of the capital and occupies an area of 2600 hectares outside of the city centre in Kandal province, it has resulted in many projects being announced to better connect the logistics hub to Phnom Penh, with an increase in land prices, property projects and of course roads and interconnectivity. The 4F-class airport has a development price tag of approximately USD $1.5 billion.The group behind the construction is the Cambodia Airport Investment Co. (CAIC) - a joint venture between the Royal Government of the Kingdom of Cambodia (RGC) represented by the State Secretariat of Civil Aviation (SSCA) and OCIC (Overseas Chinese Investment Company).According to at least one media report, OCIC has also reserved 1,200 hectares of land on both sides of the 60-meter avenue (Samdech Hun Sen Boulevard) leading directly to the airport from the south of the capital for urban development land, 600 hectares kept for lakeside land to be developed into a tourist and leisure resort, and 500 hectares of land as an industrial park development area. Other proposed developments are a high-end yacht club on a 2,000-hectare lake and an 80-meter-wide canal to connect to the upcoming Techo Funan Grand Canal!Lagardère Travel Retail and HSC Group were appointed to manage the duty-free services at the Techo International AirportVINCI Airports will manage the new airport after signing an MoU in 2024.New Property Developments - Phnom Penh SouthUrban Village Phase IIUrban Village Sky Prime Tower is stunningly 225 meters high and is located in south of Phnom Penh, along Samdech Hun Sen Boulevard.The development comes from Goldframe Group, a well-known developer in the capital and this will be the tallest building along the major road to the south of the city.The 790,000 sqm residential development is part of Urban Village Phase II and offers a podium viewing deck with a panoramic view of the Bassac River, and will provide a creative hub as well as amenities such as a swimming pool and gym, restaurants, cafe, mart, as well as a school, cinema and co-working spaces.Singaporean Sir Stamford Raffles Group (SSRG) -  Cambodian Property DevelopmentSSRG announced that they plan to build a townhouse resort project over 22.6 hectares (approximately 35 to 40 football fields say some reports) located near the new international airport of development called Marum Estate. The project broke ground in October 2023.The luxury mixed-use development will be built over eight phases and final completion is due in 2030, with the development home to over 600 landed residences and 250 shophouses as well as an assortment of retail, healthcare and educational facilities.SSRG co-founder Phebe Len told fDi Intelligence, ”Our studies showed that Kandal Province is the next commercial destination, very much affected by the new airport only a 30-minute drive from us. When there is such a super infrastructure like an airport everything else will follow, such as highway connectivity in and out of a city. So we are kind of smack in the middle of that area.”Malls and Retail Therapy - Phnom Penh SouthMean Chey Avenue Community Mall was designed as a lifestyle destination and is located along the popular and competitive Samdech Techo Hun Sen Boulevard (60m Avenue).It is one of several larger community malls in the area but megamalls such as AEON3 (Meanchey) and Chip Mong 271 combined supplied the market with 140,000 sqm NLA in 2022 which represented 57% of the total retail NLA supply that year!Development Of Phnom Penh’s Transport NetworkThe new road connecting Samdech Blvd on National Road 2 to the airport, which is 60 meters wide and 13.5 kilometres long, is already open, while Ring Road Number 3 and Ring Road Number 4, as well as other road systems, are being developed, some as part of the airport development costs.There is also the ongoing construction of new flyovers as Phnom Penh grapples with urban sprawl and is learning how to build flyovers in some cases the option to retrofit existing infrastructure. The main project is connecting the Hun Sen & Monivong boulevards and the Royal Cambodian Armed Forces (Street 271), called “Morodok Techo Interchange”.The existing Hun Sen Blvd (which is 60 meters wide and nearly 10 kilometres long connecting Street 271 in the north with National Road 2 in the south) and Mean Chey Avenue are also open and have led to several residential and retail developments being undertaken including Mean Chey Residences.The Morodok Techo Interchange is under development over three tiers with the final part due to be completed in April 2025.The Cambodian Prime Minister also met US logistics firms, inviting them to consider developing Cambodia's areas as a logistics hub which would include the area by the new airport as a logistics hub.Possible Rail NetworkAlthough it has been discussed for as long as a decade, a Chinese firm, China Metro Group, is conducting another feasibility study for a light rail development project which would potentially connect the Techo International Airport to the Phnom Penh centre.Bridges Connecting The CapitalChak Angre - Prek Pra Bridge (over the Bassac River)The Chak Angre Krom-Prek Pra bridge has a long way to go, and at the time of writing is less than 10 per cent complete but it was only announced in late 2023.It is one of several ongoing bridge projects in Cambodia and will span from Chak Angre (which is located in the Meanchey district) to the south of the city, and across the Bassac River to Prek Pra (which is located in Chbar Ampov district) and aims to relieve traffic while connecting the two developing areas of the capital.The bailey (or truss) style bridge, when completed, could be 845 meters long and divided into 4 traffic lanes at an estimated cost of approximately USD $60 million.Funan Techo CanalThis massive project in some ways underpins all of the logistics ambitions and the proposed Funan Techo Canal is estimated to cost about USD $1.7 billion and would take at least four years to complete and will see a number of additional roads, canals and localised bridges and riverports constructed.In total, this project would extend over 180 kilometres, linking the Mekong River’s Takeo Canal to the coastal province of Kep, passing through four provinces - Kandal, Takeo, Kampot, and Kep - unlocking economic development by allowing for access to resources, trade, and transportation.
Top Destinations To Buy A Holiday Home In Cambodia
Top Destinations To Buy A Holiday Home In Cambodia
April 19, 2024, 2:49 a.m.
Cambodian and international buyers should be considering buying and owning a holiday home in the Kingdom, as the nation is still seen as having untapped potential in the region, relatively affordable property prices, and more importantly, has some of the most relaxed visa and property ownership laws for foreigners in ASEAN.Buying a permanent holiday home which offers the dual benefits of a second home base for getaways when the season suits can also offer additional rental income when the property is not in use. Investors continue to tap into the Cambodian market, and according to fDi Intelligence magazine, Cambodia is the top emerging market for attracting Foreign Direct Investment (FDI) in 2024.Cambodia approved fixed-asset investment projects worth USD $1.39 billion in the first two months of 2024 (representing a 5-fold rise compared to the same period in 2023).FDI, in total, rose by 10.6 per cent to USD $4 billion in 2023.The Cambodian government-approved Public Investment Program (PIP) is worth USD $11.69 billion comprising more than 600 projects from 2025-2027.Why Visit And Stay In Cambodia - Top DestinationsExplore Worldwide, a UK adventure travel company, ranked Phnom Penh as fifth on the list of preferred destinations for solo travel worldwide, and the country was ranked the friendliest in the world in 2021 by another poll. Its finest hotels are regular winners of regional and global awards recognising their service levels and offerings.Cambodia remains one of the easiest countries to own a business or property (with some restrictions) for a foreign national in the region.Here are five cities that you may want to explore property opportunities in the Kingdom of Cambodia,but remember to always conduct thorough research, and if possible, visit these cities personally to assess factors - you should also consider nearby developments and optimal living conditions, asses the orientation of your property in the Kingdom.Phnom Penh - Capital HubOr if you are looking at buying a holiday or secondary home in the capital of Phnom Penh, the city offers a mix of modern amenities such as malls, social activities and an international airport hub with a growing list of direct flights globally. The financial centre also has many cultural attractions, a vibrant nightlife scene, a huge and evolving selection of restaurants with local regional and international cuisine and an increasingly varied mix of residents who call the city home.Within a matter of hours, you could be on the beaches of Sihanoukville thanks to the expressway, on a train heading north or south, or on a flight to the region (and with the new airport due to be operational in 2025).Quite often, Phnom Penh also needs to be visited to attend the embassies and consulates or for visa services as the hub for government activities - which all means it provides potential rental opportunities.Realestate.com.kh has its HQ in the capital.Siem Reap - Temple GatewaySiem Reap is still one of the most popular tourist destinations in Cambodia due to its location near the world-famous Angkor Wat temple complex. Even aside from the international tourists who still flock to see the ancient captivating temples, domestic and regional tourists also still visit in droves, especially around cultural holidays which see a peak in property and accommodation demands.In addition, the culinary scene, charming markets, and proximity to the Tonle Sap Lake and the mountains of Phnom Kulen, as well as its accessibility to the Thailand border all are attractive reasons to live here.The city’s properties offer choices from shophouses and villas, traditional Cambodian architecture and modern designs.Siem Reap has a well-developed tourism infrastructure and has seen investment into its roads and transport links, culminating in the Siem Reap-Angkor International Airport opening in 2023, while an expressway linking it to the capital is underway - all of which make Siem Reap an appealing choice for a holiday home.Sihanoukville - Life By The CoastLocated on the coast of the Gulf of Thailand, Sihanoukville boasts beautiful beaches and is also undergoing massive investment from far-ranging resort complexes, seaport upgrades, transport links and much more.Although it remains a popular beach destination in Cambodia, the rapid development in recent years (and for years to come based on the “Special Investment Promotion Program in Sihanoukville 2024”) as well as the regional strategy for investment and expansion of the Special Economic Zone means the area is changing its characteristics.With the large infrastructure projects, increased and more frequent transport links by land, sea and air, international events and tourism expos as well as the plans to address the unfinished buildings in the city - there is a long-term vision shaping the pathway for the province.From an activity point of view, Sihanoukville offers plentiful water activities, beachside restaurants and resorts, and the easiest access to the beautiful islands - which make the coastal area an appealing location for a holiday home. There are also new additions such as a go-kart track, possible cable car installations, and much more to come at the Canopy Sands development which has seen international hotel brands sign on.Realestate.com.kh has an office in the city of Sihanoukville.Kampot - Laid Back Riverside LifeSituated along the banks of the Kampot River, Kampot is a peaceful riverside town known for its scenic beauty, its culinary scene, and French colonial architecture. Surrounded by lush countryside, the area is famous for its pepper plantations, seasonal durian and nearby crab in Kep, as well as picturesque mountains. Bokor Mountain is popular but also undergoing development, while the town itself in Kampot has also seen changes, at its core, it is a small walkable town that offers a little bit for everyone.Kampot will soon see the addition of new logistics and tourism ports which could open it up further for domestic and regional travel and trade, while its proximity to the Vietnam border means it already sees a lot of traffic from tourists.For a more tranquil and slower-paced environment, Kampot is ideal and also offers a more temperate climate than some cities to the north.Battambang - Cultured CountrysideBattambang is one of the largest cities in Cambodia and offers a unique setting in the Kingdom - famed for its blend of French colonial charm and Khmer heritage as well as a laid-back lifestyle and a centre for arts and crafts.The well-preserved architecture and being surrounded by some beautiful countryside provide opportunities for exploring rural landscapes and experiencing local traditions.Battambang has also been attractive for retiring expats and those looking for a slower pace of life but the city is seeing continued investments to better equip the infrastructure and connectivity for the future.Understand Your Property Investments In CambodiaWe outlined some of the key aspects to be aware of to ensure the highest possible returns in the rental market in Cambodia.From a Cambodian property ownership perspective:Cambodian citizens and foreigners can enjoy freehold ownership, with hard-title ownership being the most secure option.Foreigners can purchase condominiums and apartments with strata titles in post-2010 built buildings, adhering to specific ownership ratios and geographical restrictions.According to R.A. 4726, foreigners can buy and register (under their own name) a condominium unit in Cambodia - the Condominium Certificate of Title (CTC) will be registered under the foreigner's name too.While direct land ownership is restricted for foreigners, leasehold agreements, nominee structures, landholding companies, and Trust Laws provide viable investment mechanisms.You can also reach out to property specialists to help determine property prices, rental demand, accessibility, and whatever your personal preferences or goals may be before investing in a holiday or investment home.
UC88 Tower Welcomes Wyndham Hotels & Resorts in Phnom Penh's BKK1
UC88 Tower Welcomes Wyndham Hotels & Resorts in Phnom Penh's BKK1
April 9, 2024, 9:04 a.m.
Phnom Penh's skyline is set to welcome a new addition with the opening of the hospitality resort Wyndham Garden, located within the eagerly awaited UC88 Tower project by UC Group.An agreement-signing ceremony was held at the Sofitel Phnom Penh Phokeethra, marking the beginning of a joint venture between UC Group and Wyndham Hotel & Resort on Monday, 8th April 2024.The signing ceremony featured Mr Chhun Heng Leng (left), Mr Chhun Sambath (centre) from UC Group, and Mr Eudo Chan (right) from Wyndham Hotels & Resorts. (Credit: realestate.com.kh)The signing ceremony was held at the Sofitel Phnom Penh Phokeethra. (Credit UC88)The UC88 Tower offers premium residences, featuring a variety of units including studio, 1-bedroom, and 2-bedroom apartments with elegant interiors that residents can anticipate.Moreover, it offers a suite of high-end amenities, including an infinity pool, jacuzzi, gym, sauna and an outdoor recreational area. The 46th floor will host an expansive sky bar offering panoramic views of the Mekong River and a helipad on the rooftop adds to the exclusivity of this project.The mixed-use project development also encompasses dedicated Google-styled offices on several floors. UC88 Tower reached its topping-off milestone in November last year and is scheduled for completion in 2025.Fully furnished living room and bedroom display at UC88 Tower. (Credit realestate.com.kh)Following the completion of the condominium project ‘The View’ on Street 370, and ‘The Golden One’ on Street 360, this marks UC Group’s third project in the BKK1 area.The BKK1 area is known to be close to Phnom Penh's renowned landmarks, international embassies, businesses, restaurants and venues, catering to travellers and residents. The UC88 Tower is ideally located on Street 322 next to Monivong Boulevard, placing it at the heart of the capital.Map of Phnom Penh highlighting BKK1 Area, and the UC88 Tower project. (Credit realestate.com.kh)Construction progress of the UC88 project. (Credit realestate.com.kh)Furthermore, BKK1 stands as a prime location, attracting investors seeking property opportunities in Cambodia. With its extensive amenities and prime location, UC88 Tower is set to emerge as a notable addition to Phnom Penh's choices for a holiday stay, residence living and office space.To learn more about UC88 TowerSpeak with our agents Click Here
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Top 5 Reasons Why Investors Choose Cambodia
Top 5 Reasons Why Investors Choose Cambodia
April 8, 2024, 1:43 a.m.
With the Cambodian New Year celebrations coming up, there is a nationwide break from work and an opportunity to gather with friends and family, and for many businesses, to take a pause and reflect on the first quarter of 2024. There is some economic momentum returning via increased tourism and investments, but more importantly, a mood upswing that Cambodia could be on the right track economically - and attracting investors is at the heart of that.So what are the top 5 reasons investors are looking at Cambodia?Investments Into Cambodia’s FutureThe Council for the Development of Cambodia (CDC) approved 106 fixed assets investment and expansion projects worth USD $2.2 billion in Q1 2024, it will be a massive jump compared to 2023 but most data should be - however it reflects the continuation of investment into the development of the Kingdom.The main beneficiaries thus far were the industrial sector (accounting for over 90 per cent) but agriculture and the agro-industry, infrastructure, and tourism all benefited.Cambodia has experienced significant economic growth - with many sources pointing to the average annual GDP growth rate of around 7% for a decade which means it's been one of the fastest-growing economies in Southeast Asia (although it has to be acknowledged there was a lower base compared to other countries.)Cambodian Prime Minister Hun Manet said at the start of April that Cambodia is expected to see a 6.6 per cent rise in its economy in 2024.On the back of another revived estimate for the country in 2024, the CB EIC (Economic Intelligence Center) unit of the Siam Commercial Bank Public Company Limited, predicts that there will be a 6 per cent growth in FDI this year.According to Seasia Stats for Southeast Asia’s 2024 GDP growth projection - Cambodia tops the list with an estimated 6.1 per cent.The same projections indicate Cambodia is third among the top 25 fastest-growing economies in 2024.This growth has been driven by sectors such as tourism, garments and textiles, construction, and agriculture and investors continue to look for opportunities in these sectors and those that align with government strategies such as those detailed for the Special Investment Promotion Program For Sihanoukville and in the Pentagonal roadmap of the Cambodian government under Prime Minister Hun Manet.Ease Of Doing Business In CambodiaThe Cambodian government has implemented various reforms to attract foreign investment. The special economic zones (SEZ), simplified procedures for business registration, and tax incentives for certain industries all offer opportunities for a range of businesses.The Kingdom is rapidly diversifying, and improving its infrastructure, including transportation networks and energy supply, with private, public and partnerships all incentivised to support investment activities. These are large-scale and some are billion-dollar projects which promise to improve accessibility to the region.More trade offices and agreements are also expanding the global opportunities to work with Cambodian authorities.On the DHL Global Connectedness 2024 Report - Cambodia ranked at 60th out of 181 countries included in the index.The Australia-Cambodia Business Forum​ was formed in 2024, as well as Cambodia and the United Arab Emirates Comprehensive Economic Partnership Agreement (CEPA) enforced in Q1 2024.Visas And Passports For CambodiaThe range of investment from different nations shows there is unilateral interest in Cambodia,For the year to date, aside from domestic investment, just over a third came from China, while the other foreign investors were from Singapore, Vietnam, South Korea, the US and Malaysia.You can find out more about the visa options here but the strategic location means Cambodia is central within ASEAN and has easy access to regional markets and trade routes.Diversification Of Cambodia’s Skills Market Perhaps seen as one of the more contentious “plus points' but Cambodia has without a doubt a young and relatively low-cost labour force, which is attractive to businesses, particularly those in labour-intensive industries such as garments and textiles, construction and others.But the biggest long-term reward will be the upskilling of the workforce which has already become better skilled and educated - this opens up more advanced and potentially lucrative opportunities for businesses that require higher-level expertise in technologies, manufacturing and even the growth of SMEs.The government estimates that small and medium enterprises (SMEs) provide 70 per cent of jobs and contribute 58 per cent to the nation's GDP.These are essential if Cambodia wants to achieve its targets for achieving middle and higher-income statuses over the coming decades.Tourism and Property Sectors Remain Fundamental Cambodia's location in the heart of Southeast Asia offers access to a growing regional market for tourism and also logistics which benefits the property and real estate sectors. In April the economic strategic plan for Sihanoukville was changed into the rather mouthful “Master Plan to Develop Preah Sihanouk Province into a Model Multi-Purpose SEZ and Develop Cambodia’s Coastal Provinces into a Multi-Purpose and Comprehensive Economic Corridor.”The most prominent investment project in Q1 2024 was the establishment of five-star hotels and business centres in Preah Sihanouk province with a capital investment of $574 million.Cambodia already benefits from regional trade agreements that facilitate market integration and business opportunities and is now actively opening up air, land and sea routes to welcome a more diverse and international market.The beautiful coastal areas with an emphasis on the islands and Sihanoukville are hoped to add to national growth - and appeal to both leisure and business travellers. This leads to investments in hotels, resorts, hospitality services, and related infrastructure that can benefit from the country's tourism potential as well as the construction and property markets.The Angkor Archaeological Park, run by the state-owned Angkor Enterprise continues to put up positive numbers for Cambodia’s most popular tourist destination - with the return of more Chinese visitors in Q1 also boosting numbers. It is hoped that pre-pandemic levels of tourism will be matched over the coming year.Realestate.com.kh is now also offering “Personalised Property Tours for Overseas Investors” which taps into the above-mentioned benefits of investing in Cambodia, while exploring the High-Return Potential from a diverse range of properties, including luxurious condos to income-generating rentals, with excellent potential returns.
Koh Norea - Appealing To New Residents And Developers In Phnom Penh
Koh Norea - Appealing To New Residents And Developers In Phnom Penh
March 28, 2024, 6:47 a.m.
Although previously seen as “a bit out of the way”, even for a relatively small city like Phnom Penh, the investment into connected infrastructure means that Koh Norea and the Chbar Ampov area are much more accessible and new malls, attractions and other amenities are making the area attractive for residents and developers.Where Is Koh Norea & How Connected Is It?Located to the east of the capital (we think it's southeast, but if you scan the property developers' news and media about the area, it feels like every point of the compass has been used to describe its geographical location). What can't be denied is that the area is situated along the southern banks of the Mekong River but has views of the Bassac River to its west and northwest, and is located to the north of Chbar Ampov. Actually, Koh Norea is a small tip of (mainly repurposed land) where the Mekong River flows into the Bassac River - with ‘Koh’ in Cambodian translating as island/peninsular.The Chbar Ampov district (or Khan) itself was formed in December 2013, and although separated from the Phnom Penh city centre by the Bassac River, accessibility to the capital’s northern and southern regions is possible via two bridges.A short drive across these will enable residents to easily reach Koh Pich as well as other landmarks such as the Independence Monument, Royal Palace, National Museum, Aeon Mall and Hun Sen Boulevard to the south which itself has become a prime location for all types of real estate developments seeing a plethora of shopping malls, condos and access to international schools. The scale of infrastructure developments throughout the city, but especially to the south and southeast of Phnom Penh, means new corridors of connectivity offer homeowners and developers new opportunities, therefore, there has been significantly increased interest in these areas.The new Techo Takhmao International Airport development to the south of the city is currently on track with its first operational phase due in 2025. This is a major focal point of development as it is still not made clear how one of the largest airports in the world, when completed, will connect passengers to the city with dedicated bus lanes, potential light rail routes and other access all still being explored.Cambodian Population & Economic Growth Spurs Infrastructure InvestmentWe have previously discussed the increasing urban population growth in the Kingdom, and the accompanying challenges this has and will create for the capital's infrastructure.The Cambodian Ministry of Land Management, Urban Planning and Construction adopting the Capital Phnom Penh Land Use Master Plan 2035 is the guide on land use and is intended to ensure the promotion of sustainable urban development.An example of this is Phnom Penh’s largest interchange project - a flyover connecting Hun Sen and Monivong boulevards (Phnom Penh’s 6th flyover as well as the longest ever built). The first section is due to be complete before April 2024 and the final underpass and ramps should enter service in April 2025 and is hoped will alleviate congestion at this transport bottleneck.But this is a constantly evolving landscape and the growing economic wealth of the population, sees it being on course for leaving the LDC (Least developed countries) in the next few years and potentially reaching the government's goals of middle and higher income classification in the future.Norea CityThe Overseas Cambodian Investment Corporation (OCIC) has been developing the expansive development of Norea City, which is part of a massive USD $2.5 billion project, over 125 hectares of land.The conglomerate said of the megaproject “Our goal for the investment and development is to create a centre for international and national commercial hubs including luxury residential areas. The most iconic landmark of the city is the 555-meter skyscraper facing the Mekong River and Bassac River.”These developments and the projects listed below have led to private land sale prices in Chbar Ampov reaching an estimated USD $2000 per metre, while rental prices have also been driven upwards.Norea CoveOCIC is also involved in a joint venture with Singaporean developer Akram to build Norea Cove which offers luxury villas. As part of this project, in November 2023, OCIC announced that a new building would be built which would rank as the tallest building in Cambodia at over 500 meters high. OCIC Deputy General Director, Touch Samnang, confirmed the project but little is known.OCIC is confident that partnering with multinational companies to attract investment in the city, will help make Phnom Penh and Cambodia more attractive in the region.Catering To Koh Norea’s ResidentsAs part of the burgeoning life in the area to the southeast of the capital, more developments, new wealth and different types of residents mean the area needs to captivate its residents and new malls and activities have already opened up in Koh Norea.Koh Nora BridgeThis cable-stayed concrete bridge was completed in October 2023 following three years of construction, and connects Koh Pich to the Koh Norea peninsular across the Bassac River - It has further opened up prospects of developments and properties.CBRE previously said after the bridge opened that the average land prices in the area were anticipated to substantially increase from $800 to $1,300 per square metre with the riverfront seen as the prime real estate.The bridge is seen as a significant development in Phnom Penh as it has helped ease traffic congestion and is a crucial link between the eastern and western parts of the capital as well as connecting growing districts.The Koh Nora bridge spans 824 meters with a width of 20.5 meters, and was estimated to have cost USD $35-38 million; it has become a popular landmark in the city already and is one of several bridges recently constructed or under development in the city.Prek Pra BridgeThe Prek Pra Bridge was announced in August 2023 with an estimated budget of USD $60 million and got underway in Q1 2024 - it is not expected to be completed before the end of 2027.The Phnom Penh bridge will span from Chak Angre (Meanchey district to the south of the city) and across the Bassac River to Prek Pra (which is located in Chbar Ampov district), and when completed, will be 845 meters long and divided into 4 traffic lanes.Koh Norea ParkwayKoh Norea Parkway is another development from OCIC which opened in late 2023 and the developed public space offers 20 retail units along the river banks in Chbar Ampov as well as a riverside boardwalk that benefits the community and visitors.The Koh Norea Parkway is inspired by nature and is intended to blend into the backdrop of the river - the launch of the retail outlets was planned to coincide with the official opening of the nearby USD $40 million bridge in 2023.Other notable attractions in Koh Norea and the surrounding area, are:The Park Community Mall - Offers dining options, cafes, shopping and other services.PH Euro Park -  Developed by Peng Huoth, it has become a sought-after destination for both locals and visitors.Ground Market - The Ground Market opened in Koh Norea in 2023 and the retail development is located in front of CIA International School. The development team was praised for providing visitors with an exciting experience, environment and entertainment mixed with a suitable tenant selection.KHMER Streat - This food & night weekend market was launched at the start of 2024 and offers Cambodian and international cuisine with entertainment also planned such as live music, cultural performances, and games. In conclusion, in addition to the planning and vast sums being spent on the infrastructure in the area, the diverse range of activities as well as the potential for a high-value real estate market, means Koh Norea and the surrounding area of Chbar Ampov district should be one new homeowners, investors and developer should keep an eye on.
Diamond Bay Garden Project to be Enhanced with Somerset
Diamond Bay Garden Project to be Enhanced with Somerset
March 28, 2024, 6:54 a.m.
It’s official! Ascott Limited has recently announced a new venture through management for Somerset Diamond Bay Garden, enhancing the project. It will be housed within the building, occupying 10 of the higher floors in a 37-floor high-rise development. Diamond Bay Garden, a mixed-use development located in the Koh Pich district (Diamond Island), Phnom Penh, is a much-anticipated project to be completed within the coming years.Render Image of the Diamond Bay Garden (Supplied Diamond Bay)The project is a luxury waterfront project with views over the three rivers—Mekong, Tonle Sap, and Bassac—as well as views of the Phnom Penh city skyline. It is set to feature extensive amenities to complement its residences. Tenants and guests alike will be welcomed by a boutique lobby featuring concierge and security services. For those seeking relaxation, a resort-style swimming pool and a fitness and yoga centre will be available.Construction progress of Diamond Bay Garden as of October 2023. (Supplied)The Sky Garden & Bar will offer views of both the city skyline and the rivers. Families will appreciate the dedicated kids' playground, while convenient housecleaning services and accessible basement parking across the complex enhance the ease and comfort of living at Diamond Bay Garden. Map highlighting Koh Pich district and the proximity of Diamond Bay Garden to the Koh Norea Bridge.Diamond Bay Garden is expected to have an average guaranteed rental return (GRR) of 8% over 10 years.Developed by the OCIC group, Koh Pich district is a hub featuring a variety of entertainment venues and attractions, including The Elysée, Treelion Park, Coconut Park, Riverwalk Night Market, and others. The area also provides easy access to key landmarks such as the Independence Monument and the Royal Palace, as well as various shopping destinations such as AEON Mall, all within a few minutes drive. It also offers a connection to the Chbar Ampov district via the newly opened Koh Norea Bridge.To learn more about Diamond Bay Garden Speak with our agents Click Here
Turning Your Property Needs Into Reality with Southeast Asia KDC Engineering Co., LTD
Turning Your Property Needs Into Reality with Southeast Asia KDC Engineering Co., LTD
March 26, 2024, 3:17 a.m.
For many property seekers, finding the perfect property for living or commercial use is only half the journey. The real challenge often starts after buying or renting a property, when you face the task of turning a space into what you've envisioned.  The need for a wide range of services, from mechanical, electrical, and plumbing works to renovation can take time and effort.As some of our readers might know, Realestate.com.kh is transitioning to a new office space on Monivong Boulevard. We have acquired the services of Southeast Asia KDC Engineering Co., Ltd. (also known as KDC) to ensure the fitting-out of the brand-new Realestate.com.kh’s headquarters.KDC offers a one-stop solution that offers mechanical, electrical, plumbing, renovation, maintenance, and safety system design for all real estate needs.Its team includes senior and junior technical engineers from Japan and Cambodia ensuring comprehensive skills. Its commitment to the 6S methodology encompasses Sorting, Setting in order, Shining, Standardising, Sustaining Discipline, and Safety.  Additionally, the company offers after-service care for most of its offerings.  With this approach, KDC's dedication to quality and schedule control, effective time management, and client support position it as a trustworthy partner. For property owners and seekers in Cambodia, choosing a reliable company like Southeast Asia KDC Engineering Co., Ltd. for your fit-out means entrusting your vision to a team dedicated to making it a reality.About Southeast Asia KDC Engineering Co., Ltd.Southeast Asia KDC Engineering Co., Ltd. is an officially registered company with a head office in Phnom Penh, Cambodia.  Established in 2023, its parent company is Kyowadenchi Co., LTD. It is known for its electrical company in the Kanto area of Japan. It provides mechanical, electrical, plumbing, renovation maintenance and safety system design services. It assures the property owners of good service, quality, trust, time management, and response to its client needs. Southeast Asia KDC Engineering Co., Ltd. brings international expertise and standards to Cambodia. Contact InformationTelegram: https://t.me/kdc_mep_servicesTel: (+855) 96 6399 868, (+855) 89 378 910Address: Royal PSL Apartment #24, Corner of 57 St&360 St, 8 villages, BKK1, BKK, Phnom Penh, Cambodia.
CREA 2024 - Celebrating The Leading Real Estate Developments For 5 Years
CREA 2024 - Celebrating The Leading Real Estate Developments For 5 Years
March 29, 2024, 7:56 a.m.
The Cambodian Real Estate Awards (CREA) is the most prestigious real estate event on the annual calendar and is confirmed to be taking place on Wednesday, May 8th 2024 at the luxurious Sofitel Phnom Penh Phokeethra.CREA is organised annually by Realestate.com.kh and is endorsed by the Cambodian Valuers and Estate Agents Association (CVEA) and the Real Estate Business and Pawnshop Regulator (under the Ministry of Economy and Finance). The Cambodia Real Estate Awards 2024 (CREA 2024) is celebrating its 5th edition and adding to its legacy as the most respected property and real estate awards celebration in the Kingdom by honouring Cambodia’s best real estate developers, agencies, professionals, brands, and partners at a prestigious gala event in the capital.The evening is a prime networking occasion to connect with highly-regarded professionals in the Kingdom, not only from the real estate industry. It is also an excellent and opportune chance to gain insights about the latest industry developments.The judges have been confirmed, entries have flooded in, and there are still some unique opportunities for select sponsors to get on board this year!Visit www.cambodiarealestateawards.comEsteemed Judges Confirmed For CREA 2024Seven respected individuals and industry leaders within the Cambodian business community have been selected to lead the adjudicating for Cambodia's Real Estate Awards 2024, led by Eric Wong as the Head Judge. Mr Wong is a Cambodian-Australian, with extensive experience in the fields of property consulting and development businesses, primarily within the emerging markets of Southeast Asia, and has led market research and analysis reports for the office, residential, hotel and retail sectors.He will lead the collective captains of industry who will use their extensive experience and leadership to ensure an impartial and insightful evaluation of this year's CREA 2024 nominees. Eric Wong (Head Judge) - Director Fast Growth Logistics Co., Ltd.Seraj Sutton - International Real Estate Consultant & AdvisorMom Sothavatey - General Manager of Realestate.com.khDaniel Jury - Project Director at TDB-ProjectsChansan Hun - Principle at Re: Edge ArchitectureDavy Kong - Head Real Estate Practice, DFDLAnthony Galliano - Chief Executive Officer of Cambodian Investment ManagementThe winners of every category at the Cambodia Real Estate Awards will cement their place in the Cambodian real estate market, and further appeal to domestic and international markets by being recognised as a leader in the Cambodian real estate industry.In addition, each winner will receive an iconic Cambodia Real Estate Awards trophy and certificate as well as a plaque to display in their respective office, showroom or events.Be Part of the Biggest Night in Cambodia's Real Estate - Final Sponsorship OpportunitiesAs the organisers prepare to ensure a seamless Awards Gala event for the biggest night in the Cambodian property scene, the final remaining sponsorship spots have become available.By sponsoring the Cambodia Real Estate Awards (CREA), you will achieve unparalleled brand recognition and be linked with this prestigious Cambodian event. This is a unique opportunity to align your company in celebration of the real estate industry's achievers which continue to add to the nation's prestige and development.REGISTER TO BECOME A SPONSORCREA 2024 Award CategoriesThe CREA 2024 awards feature categories across varying real estate disciplines, and entries are accepted from all licensed firms and individuals, regardless of the size or wealth of their operation. Real Estate Developer AwardsReal Estate Development AwardsReal Estate Hall Of Fame AwardsThe CREA 2024 winners and nominees also benefit from the following:Brand and development exposure to local and international buyers, homeowners and investors.Endorsed by the Ministry of Land Management, Urban Planning and Construction.Endorsed by the Real Estate Business and Pawnshop Regulator.Endorsed by the Cambodian Valuers and Estate Agents Association (CVEA).All winners receive the official CREA seal to use on all marketing material.
2024 Tourism Revival Is Positive For The Cambodian Property Sector - Part 2
2024 Tourism Revival Is Positive For The Cambodian Property Sector - Part 2
March 15, 2024, 4:07 a.m.
In the first part of this piece, we looked at the growth in international tourism numbers visiting Cambodia as well as the hopes of growth being pinned on more air routes to new regions.As an update over the last week with regards to India, IndiGo Airlines and Cambodia Angkor Air have now both received official approval to operate direct flights but no date has been set and both still need to fulfil certain requirements.ASEAN - Cambodia Flights (Continued)Within the region, competition is heating up for premium and low-cost airlines in 2024.AirAsia’s Cambodia unit, which was initially planned to launch in 2023, is now expected to only commence operations in the middle of 2024 in the Kingdom but they could be a launching pad to several new destinations in the ASEAN region, initially. AirAsia Cambodia confirmed it would be operating a Phnom Penh-Macau route. (Cambodia Angkor Air also confirmed it would operate routes between Phnom Penh and Hong Kong increasing to three flights from April 2024).British Airways has announced that it will again offer direct flights to Malaysia and Thailand from London. Cambodia has never had a direct flight to the UK and there have been recent efforts to increase economic and trade between the two regions. Targeting British and European airlines well in advance of the potential 2025 opening of the Phnom Penh Airport should be high on the agenda. British Airways has said the return of these routes to Southeast Asia is its “commitment to expanding its network to Asia post-pandemic”.In total, 65,000 British nationals visited the Angkor Temple complex near Siem Reap in 2023 despite there not being any direct flights between the UK and Cambodia.Scoot, the low-cost subsidiary of Singapore Airlines,  has taken on new aircraft to expand its network of flights in SEA while Jetstar Asia has also announced the resumption of old routes and added new ones to the Philippines (Clark) and Thailand (Krabi) from its main hub in Singapore. They currently have routes to Phnom Penh from Singapore.Australia - Cambodia FlightsPrime Minister Hun Manet, on a site inspection of the under-construction Techo International Airport, confirmed that flights to Australia from the Kingdom were on the horizon. He had recently visited Melbourne as part of the 2024 ASEAN-Australia Special Summit, and the trip also saw him meet several business leaders, with the Cambodia-Australia Business Council being formed.The PM said an agreement on the opening of air relations between the two countries has been signed and that direct flights will take place as the number of passengers increases, as all travel from Australia To Cambodia currently passes through other countries (as is the case with most long haul international flights),In addition, the Cambodia Chamber of Commerce (CCC) & the Victorian Chamber of Commerce and Industry (VCCI) signed an MoU to develop the exchange of trade and investment information as well as implement referral mechanisms.Cambodian Commercial Aviation ExpansionThe Commercial Aircraft Corporation of China, Ltd. (COMAC) conducted flight displays of its ARJ21 and C919 commercial aircraft in Cambodia in March 2024 - trying to appeal to the local airlines which currently have small fleets but will be hopeful of expanding in the future and will need larger aircraft to fly further. The two aircraft were also showcased at the Singapore Airshow in February 2024 and Boeing and Airbus have acknowledged the manufacturer as a potential threat in the commercial airline space - this was the first time these aircraft were showcased outside of China. Marketing Cambodia Is Open For Business And TourismThere needs to be improved and better-coordinated marketing for the country as a tourist and business destination. The very foreigner-friendly visas and the relaxed business and foreign property ownership regulations in the Kingdom offer a competitive advantage.At ITB Berlin 2024, which the government had previously asked Cambodian vendors to attend, Travel Asia a la Carte told TTG Asia that there is increased interest from European travelers who want to stay longer and not just add-on the excursion to other visits in the region. One of the areas that could be better targeted are the local cultural festivals but tour operators claim that the schedules for these need to be made known well in advance.The “Visit Siem Reap 2024’ campaign for example, under the guidance of the restructured MoT, aims to promote the region, look to add connecting flights between major tourist destinations, and create an attractive and stimulating tourism environment in 2024.In the short term, Siem Reap hosted the 8th River Festival 2024 in mid-March 2024 and it held the Giant Puppet Project in February 2024.The 2024 launched ‘BUILD Plus 3Ds” which aims to boost tourism has seen some support from US firms such as Mastercard, VISA and META Facebook, said the Ministry of Tourism.The Tourism and Trade Fair 2024 is planned to be held from 25th-30th March 2024 in Sihanoukville under the theme “Tourism – Opportunity for All”.Aquatic Tourism - Ferries & International TourismIn the mid to long term, there will also be more options for the MoT to strategise aquatic tourism, which involves tourism activities associated with water such as cruise ships and river cruises. Sihanoukville has seen as many as ten cruise ships dock at the coastal port between January and February 2024 with more than 8,000 passengers and tourists, reported the Preah Sihanoukville Tourism Department.The expansion of Cambodia’s port network, the upcoming Funal Techo Canal and the increased return of cruise ships to Sihanoukville in 2024 all hint at untapped potential - and an age group which potentially could have additional income and could be looking at holiday homes and other property assets. Cambodia’s Eco-Tourism AppealFinally, eco-tourism is forming a bigger and better part of the attraction for visitors to Cambodia, although many of the current offerings still need improvements and offer a wider price range - with several publicised retreats on the pricier side - however from an investment perspective, attracting more visitors with expendable and higher income, certainly won't be frowned upon.The Sydney Morning Herald article mentioned last week references amazing luxury retreats such as Shinta Mani Wild, and described how the Kingdom is now trying to compete with higher-end luxury offerings. The country wants to be “perceived as a viable alternative to neighbouring Thailand or Vietnam, a new, enticing frontier for high-end travellers.”At the 2023 Destination Mekong Summit 2023, panellists said that in terms of future trends and sustainable travel, innovation and creativity in destination marketing, with an emphasis on authentic experiences were crucial.With further horizons in mind, if wealthier visitors such as ultra-high-net-worth individuals (UHNWI) are looking towards Cambodia as a holiday destination, luxury accommodations and homes might need to cater for this niche market. Private jets, first-class cabins, and even in the future eVTOL (electric vertical take-off and landing) taxi services could all be a reality with a local firm confident that a vertiport (a small airport terminal accommodating these aircraft) is a real possibility for one of the phased developments at the Techo International Airport. The latest reports indicate the international Phnom Penh airport will be operational by mid-2025 and it will be one of the largest in the world.
koh norea location phnom penh
Location Focused: Koh Norea
March 15, 2024, 7:19 a.m.
An area that might not have previously captured much attention is now experiencing a surge of interest from real estate developers and Cambodians. Koh Norea located on the southeastern edge of Phnom Penh, Cambodia is now the focus of development. This article aims to provide you with a comprehensive overview of Koh Norea and its surrounding area.Introduction Adjacent to the bustling areas of Phnom Penh, Koh Norea is located on the north side of Chbar Ampov district. It overlooks the Mekong on the east side and the Bassac River on the northwest. Chbar Ampov district offers accessibility to the city’s northern and southern regions through its two bridges. The recent opening of the Koh Norea Bridge, which connects the area directly to Koh Pich enhances its connectivity. Residents can easily travel to the city's northern parts, facilitating smoother and more convenient commutes.Map of Phnom Penh City district (Credit: Wikipedia)Map of Phnom Penh City focusing on Koh Norea areaFurthermore, its proximity to the southern sections of Phnom Penh by National Road 1, which crosses the Bassac River via the Kbal Thnal Bridge, (also known as the Chbar Ampov Bridge) facilitates convenient access to the southern part of Phnom Penh.The southern part of Phnom Penh has been a focal point for development. The recent completion of a new Monivong-Hun Sen Boulevard flyover along with numerous infrastructure and residential, and mixed-use projects along Hun Sen Boulevard, highlights this trend. Koh Norea Bridge (Courtesy Norea City)Another significant development in this area is the construction of the new Phnom Penh Airport. The Techno Takhmao International Airport is expected to be fully operational by 2025. It will take over the existing Phnom Penh International Airport in Por Senchey District as the city's primary aviation hub. Koh Norea boasts a strategic position located between the northern and southern parts of Phnom Penh.Render Image of the Techno Takmao Airport. (Courtesy Foster + Partners)Koh Norea In the Next Few YearsThe vision for Koh Norea is to transform the area into a mixed-use hub, including residential, commercial, and recreational facilities. In line with the opening of the new bridge, Koh Norea plans to develop into a dedicated economic zone, reminiscent of the development seen on Koh Pich (Diamond Island). These projects aim to draw more visitors and residents and progress over time and will help integrate Koh Norea smoothly into the wider city area.Real Estate Landscape in Koh Norea & Chbar AmpovPhnom Penh is experiencing rapid urbanisation as every year more people move to the city for better opportunities professional or educational. To solve the growing need for space, real estate developers are creating projects such as satellite cities to provide living spaces to a wider range of people. Koh Norea is becoming popular for its real estate developments where high-end apartments, boreys and luxury homes are slowly being introduced to attract buyers from both Cambodia and abroad.In 2019, the Overseas Cambodia Investment Corporation (OCIC) started building a new satellite city in Koh Norea named Norea City. This project has highlighted Koh Norea as a centre for international and local commercial hubs including residential areas and parks. The Norea Parkway in Norea City is where the Khmer Streat Food Festival & Night Market is organised regularly. (Courtesy Norea City )Another notable real estate development of OCIC in a joint venture with Singaporean developer Akram is Norea Cove. The project encompasses luxury villas of several types and upscale living options. Moreover, a new landmark, a 555-metre skyscraper facing the Mekong River and Bassac River is expected according to the OCIC’s website.Developer Peng Huoth has demonstrated the popularity of their borey projects, particularly among Cambodians. Borey Peng Huoth is well known for delivering residential units focusing on modern living with a local lifestyle. Peng Huoth borey properties in Chbar Ampov are not too far from Koh Norea. What to do in Koh Norea & Chbar AmpovThe Koh Norea and Chbar Ampov area holds its own in terms of entertainment and convenience. Close to popular spots like 'The Ground Market' and The Park Community Mall, the area benefits from dining options, cafes, shopping and other services in the area. Additionally, the picturesque PH Euro Park, developed by Peng Huoth, has become a sought-after destination for both locals and visitors.A location with a proper infrastructure, coupled with safety and a diverse range of services and amenities, indicates potential for a high-value real estate market, making it appealing to both buyers and investors.With its ongoing development, Koh Norea is set to boost the Chbar Ampov district by providing new business opportunities and meeting the increasing demand for residential spaces from the growing population.ConclusionKoh Norea, once an overlooked area on the southeastern edge of Phnom Penh, is emerging as a focal point of real estate development and urban expansion. With improved connectivity through major infrastructure projects such as the Koh Norea Bridge, and its proximity to essential city parts, positioning it as a prime location for both residents and developers.  Ongoing projects aimed at transforming it into a mixed-use hub and the anticipated boost to the Chbar Ampov district. Koh Norea's development not only promises to attract more visitors and residents but also integrates it more seamlessly into of Phnom Penh.If you're seeking real estate in Cambodia, visit our website and social media channels to browse properties. For personalised assistance, our customer service team is available via 📞+855 92 92 1000 📧 info@realestate.com.kh 🌐 www.realestate.com.khEasy Fast & Free Realestate.com.kh helps you find your dream property or real estate investment in Cambodia.
2024 Tourism Revival Is Positive For The Cambodian Property Sector - Part 1
2024 Tourism Revival Is Positive For The Cambodian Property Sector - Part 1
March 10, 2024, 9:17 a.m.
Recent tourism, culture and travel accolades for Cambodia should bode well for the hopes of the tourism (and real estate) sectors revival in 2024, with more international flights slowly being introduced at the three operational airports in the Kingdom, a rebranded Ministry of Tourism (MoT) Board and optimism that pre-COVID levels of tourists can be achieved before 2025.The recent Sub-Decree in 2024 on the restructuring of the Cambodia Tourism Board announced by Prime Minister Hun Manet aims to revitalise the board and mechanisms to enhance cooperation through closer partnerships between the public and private sectors. This should more strategically promote and market Cambodia’s tourism, while more direct flights will be a boon for corporate business in Cambodia.In 2022, the Cambodian tourism sector generated gross revenue of USD $1.14 billion and sustained 12.4 per cent of total employment. Cambodia attracted just over 5.4 million international tourists in 2023, and The MoT anticipates 6.6 million foreign tourists in 2024.Cambodian Tourism Data 2024Although we are only just past two months in 2024, these are also peak tourism months as the numbers usually decline heading towards April and May due to the hot weather in Cambodia and non-wintry conditions in other parts of the world from where visitors come from (outside of Asia).The latest MoT information reported in the media suggests Cambodia received more than 540,000 international visitors in January 2024 (although a conflicting report suggests this number based on the General Department of Immigration points to as many as 690,000). The top three foreign groups were from Thailand, Vietnam, and China. I can rightfully assume a large percentage visited via land crossings rather than by air travel, and indeed slightly over 206,000 tourists were international air travellers.Most of the local media have been a little carefree and over the top in reporting on the tourism numbers since the pandemic, as the numbers should be growing substantially as the country tries to reach, and surpass pre-pandemic levels. They will obviously be showing year-on-year increases as they are in most parts of the globe.The numbers for Siem Reap for January and February 2024 accounted for just over 300,000 national tourists, and slightly more than 235,000 international tourists. The markets are also insightful, the top 10 origins to visit Siem Reap in 2024 so far, are:South Korea 29,254US 24,878France 21,775Britain 19,452China 16,074Germany 14,214Japan 12,094India 8,683Russia 8,658Australia 8,544In January 2024 alone, Angkor Archaeological Park received over 115,000 foreign visitors, generating USD $5.5 million in revenue.Very few of those markets currently have direct flights to the Kingdom, but instead need to use other hubs in the region to reach Cambodia by air. International Media Coverage And Awards For Cambodia’s Tourism In 2024The Sydney Morning Herald ran an article at the start of March 2024, calling Cambodia “South-East Asia’s enticing new travel frontier”, while (perhaps more hyperbole) an article in another UK magazine ‘The Spectator’ concluded that ‘Cambodia is the best country in the world’.You shouldn't take this coverage at face value, but positive news should be welcomed and cherished, and even taken advantage of.Cambodia was elected as Asia’s Leading Cultural Destination by the World Travel Awards and Asia’s Leading Youth Travel Destination at the start of 2024.Phnom Penh was listed in the Top Ten ‘Trending Destinations’ 2024 By Tripadvisor.Several Cambodian hotels are regular recipients of international and regional awards for their standards - especially luxury hotels and resorts.More Direct Air Routes Should Mean Increased Tourism Numbers - The Gulf, India, And MoreThe launch of the new Angkor International Airport in Siem Reap has probably been a disappointment to some, but let's hope at least these are lessons learned for the current airports which are under construction - notably in Phnom Penh - the Techo Takhmao International Airport which could be operational by 2025.By the time of publishing, the three international airports in the Kingdom had only seen a marginal increase in flights in 2024. Sin Chansereyvutha, Under-Secretary of State and spokesman of the State Secretariat of Civil Aviation, confirmed as much.By the end of February 2024, there were 168 international flights per day to Cambodian airports but more air routes have been confirmed in 2024.Tourism Ministry’s spokesman Top Sopheak agrees that increasing direct flights from abroad to Cambodia with new air routes will make it easier for passengers to travel to Cambodia, the same is, of course, true for investors and property buyers. Direct flights to Cambodia from Europe, North America, Australasia, and Africa are currently unavailable.It's also no surprise that establishing government-approved business, trade and diplomatic offices in new regions leads to more air routes.IndiaThe Indian Business Chamber in Cambodia (IBCC) was officially inaugurated at the start of 2024, and its mission is to promote and facilitate trade and investment between India and Cambodia.As many as three airlines, including Cambodia Angkor Air, are linked to (for the first time) providing direct flights between Cambodia and India in 2024. This is massive news as India is hotly tipped to rival China economically. The global manufacturing and tech shift towards India, and having Cambodia tap the growing economic potential is important.Cambodia only saw 68,836 Indian visitors in 2023, but direct flights should result in a big upswing, especially if the visa process is streamlined and digitised.The Indian embassy in Phnom Penh said of the potential 2024 launch of these flights that it would “likely to open up opportunities in tourism and business partnerships". The Cambodian Ambassador to India added that the Cambodian Embassy is currently working with their Indian counterparts to reach a final decision on connecting direct flights between the two nations.The GulfCambodia opened its first private commercial centre in the UAE in February 2024 which was on the back of the Cambodia and the United Arab Emirates (UAE) Comprehensive Economic Partnership Agreement (CEPA) coming into effect in Q1 2024. Representatives from the Cambodia Chamber of Commerce, the Cambodian Oknha Association, the Federation of Associations for Small and Medium Enterprises of Cambodia (FASMEC), the Business Council of the Ministry of Commerce, the Tourism Association, agro-industry, real estate, banking, and manufacturing were in the UAE to promote new economic partnerships.Shortly after, Emirates announced the resumption of flights from Dubai to Phnom Penh to recommence for the first time since before the pandemic, albeit this time via Singapore, with the flights resuming in May 2024. It was only in Q4 2023, that Qatar Airways started offering direct flights to the Cambodian capital again and were the only direct flights to the Gulf region from the Kingdom.ASEANThere are now more routes to popular destinations such as Bangkok, Kuala Lumpur etc.Lao Airlines will offer direct flights from Vientiane to Phnom Penh starting on 19 March 2024 and will compete with Vietnam Airlines, which flies daily between the two capitals. This route has never been seen as an affordable flight compared to routes such as Phnom Penh to Bangkok or Kuala Lumpur but the Laotian airline will be offering the route three times weekly on Tuesday, Thursday and Saturday.Lao Airlines director-general Khamla Phommavanh said, “To support and facilitate tourists and business travellers who need to travel to and from Phnom Penh to the Vientiane capital, our team has studied the feasibility of connecting the capital, Vientiane and Phnom Penh carefully and recognised there is enough demand from tourists and business people for direct flights post Covid pandemic.” Read Part 2 Next Week….
BKK Area & Surroundings Condominium Projects
BKK Area & Surroundings Condominium Projects
March 6, 2024, 2:26 a.m.
The Boeung Keng Kang (BKK) area in Phnom Penh is one of the popular neighbourhoods in the capital for good reasons. It's conveniently located within walking distance of major landmarks like the Royal Palace, Independence Monument, and Tuol Sleng Museum. Beyond this, BKK is where a large number of restaurants, bars, cafes, banks, supermarkets, schools, gyms, and healthcare facilities can be found on almost every corner and street, making it a lively and convenient place to live or visit.For this reason, it has become one of the most requested locations to live in for expats in Phnom Penh and the backdrop for a variety of property development projects.  In this article, we will provide an overview and update of recent projects in the BKK area and its surroundings exploring the ones soon-to-be-completed, just launched, or those that have already been handed over.Soon-To-Be Completed Projects When it comes to soon-to-be-completed projects, homeowners are eagerly anticipating the moment they can finally enter their new units after months, and in some cases, years of waiting for completion. These projects include:Le Condé BKK1Photo Credit: Le Condé BKK1Le Condé BKK1, situated on Street 352 in the BKK1 area, is a mixed-use luxury development rising to 43 stories, by Wangfu Guoji Property Development. The project consists of 4 different types of fully furnished units including studio, one-bedroom, two-bedroom and three-bedroom with integrated smart home features.It is eagerly anticipated in 2024, as it boasts 10,000 square metres of amenities which include: BKK Avenue Retail Store, reading space, 240 m sky jogging track, indoor swimming pool, fitness centre, children's play area (800 sqm), sky garden (1000 sqm), co-working Space,  a sky bar, and infinity pool. Renowned Japanese company Hopetree will oversee Le Condé property management services. As of October 2023, Le Condé BKK1 achieved its topping-out milestone, indicating 80% completion. The project is expected to be completed this year in August.Photo Credit: Le Condé BKK1Click here to view the listingUC 88 TowerPhoto Credit: realestate.com.kh UC 88, located on Street 322 in the BKK1 district adjacent to Monivong Boulevard, marks the third construction by UC Group, following 'The View' in BKK1 and 'Golden One' in BKK3. This mixed-use development spans 49 stories, featuring high-end residential units, and a hotel. The facilities accessible at an affordable rate are situated on the 45th floor, offering city views and amenities such as an infinity pool, gym, sky bar, and sauna. Additionally, the project has a dedicated sky bar floor on the 46th level and a helipad on the rooftop. The construction of UC 88 reached its topping-off milestone in November 2023. Its full completion is anticipated by the first quarter of 2025. Click here to view the listingJust Launched & Under Construction Projects When a new project is announced, investors and future homeowners have a chance to take advantage of early offers. This means getting the best units, lower prices, and special discounts. Here are some of the newest and ongoing construction projects in Phnom Penh:Picasso 2Photo Credit: Picasso Picasso 2, was recently unveiled by its developer through its social media and a promotional banner at its future site on Street 282. This mixed-use development will rise to 56 floors, featuring high-end residential units alongside high-end amenities. Developed by Global Titan Stone Real Estate Development, Picasso 2 comes on the heels of the successful completion of Picasso City Gardens, also situated in the BKK1 area. Located near Sihanouk Boulevard, Picasso 2 is just a short walk from the Independence Monument. Its proximity to the Baitong Hotel & Resort Phnom Penh, along with nearby restaurants and services, promises convenience for its homeowners and tenants. The construction phase has yet to begin.Click here to view the listingTime Square 302Photo Credit: Time Square  Time Square 302, also known as Time Square 6, marks the sixth property venture by Mega Kim World Corp. This residential project, located in  BKK1 offers units including one-bedroom and two-bedroom options, as well as 3 and 4-bedroom duplex units. It totalled 370 units with a 48th floor with a rooftop for fitness and lifestyle amenities such as a yoga studio, fitness centre, swimming pool, and a canopy garden. In addition, on the 37th floor, residents will find a variety of facilities including a ping pong room, golf simulation area, café, lounge, games room, a children's play area, a meeting room, a cinema, and karaoke.Time Square 302 has experienced a rapid sold-out rate with buyers taking advantage of early bird prices. Its construction commenced ahead of schedule in December 2023, with completion targeted for 2027.Click here to view the listingTime Square 306Photo Credit: Time Square  Time Square 306, also a project by Megakim, represents the fifth property development situated in BKK1, on Street 306. This project is set to house a total of 350 units across 45 floors, with a design that limits the number of units to a maximum of ten per floor.The project will include the most popular facilities, such as a lobby café, gym, children's play area, games rooms, an infinity pool, and a decking area complete with a garden for hosting guests. The available units are comprised of 1-bedroom, 2-bedroom and 3-bedroom options. Construction of the project began in 2023, with an anticipated completion year of 2026.Click here to view the listingJ Tower 3 Photo Credit: J TowerOnce completed, J Tower 3 will stand as the tallest structure in Cambodia and the eighth tallest in the ASEAN region. This 77-story building, soaring to a height of 320 meters and spanning 98,480 square meters, is poised to become a defining landmark in the capital. Developed by Tanichu Group, J Tower 3 is the latest property development by the group in Cambodia, following the success of J Tower 2, both located in the BKK area. The tower will house 360 exclusive units, each offering expansive three-bedroom configurations with two size options: 166 sqm and 178 sqm.Highlighting its amenities, the sky bar and infinity pool on the 77th floor are set to enter the Guinness World Record as the world's highest swimming pool. For the residents' exclusive use, the 50th floor will feature a lounge, cafeteria, shopping, and business rooms, while the 49th floor will boast a luxurious indoor pool, spa, and sauna. Additionally, recreational facilities on the 11th floor will include a bowling alley, billiards, and a karaoke room. Construction of J Tower 3 commenced in December 2023, with an anticipated completion date in 2028.Click here to view the listingOdom Photo Credit: Urban Living SolutionsLocated on Norodom Boulevard, this mixed-use, high-rise development boasts two towers: Odom Tower and Odom Living, integrating commercial, office spaces and residential. Odom Living is a 30-story complex and features 138 units with sizes ranging from 78 to 262 square meters. Each unit is outfitted with premium fixtures and fittings, and private balconies offering views of Phnom Penh's skyline. Residents have exclusive access to a range of amenities, including a gym, swimming pool, rooftop terrace, green spaces, and a sky bridge that links to Odom Tower.Odom Tower, standing at 45 stories, will provide 40,000 sqm of Grade A strata-title office space, positioning itself as a new business hub for both local SMEs and international enterprises.The Odom project is distinguished by its LEED pre-certified gold status and environmentally smart designs, setting it apart from other developments in Cambodia. Its prime location in Phnom Penh is certainly a highlight. Furthermore, the project is developed by Urban Living Solutions (ULS), a trusted and esteemed developer in Cambodia with a history of successful projects. Construction commenced in June 2023, with completion anticipated in 2026.Click here to view the listingCompleted ProjectsFor those looking for ready-to-move-in options, completed projects provide the benefit of immediate occupancy, removing the waiting period typically associated with the construction. Potential buyers can enjoy the advantage of viewing the finished building and exploring the amenities firsthand. Notable projects in the BKK area and its surroundings include:Picasso City GardenPhoto Credit: realestate.com.kh  Picasso City Garden, a 30-story condominium, is situated in BKK1 on Street 322. The Picasso-themed residential series, developed by Global Titan Stone as mentioned earlier, features a variety of unit types, ranging from 1-bedroom to 5-bedroom apartments.The building offers various amenities, including a hanging garden, a banquet hall, a landscape fountain, an infinity pool, a paddling pool, a gymnasium, a meeting room, an international business office, a wine lounge, a restaurant, a café, and an art auction centre. Completed in 2021, the building offers 1-bedroom apartments with an average rental starting at $1,400.Click here to view the listingL’Attrait Boeung Keng KangPhoto Credit: CMED L'Attrait Boeung Keng Kang (BKK) is a premium residential condominium located in the BKK1 area, offering a range of fully furnished unit options. The building includes studios, 1-bedroom and 2-bedroom units, as well as penthouses, complemented by amenities such as a pool, gym, and private meeting areas. Developed by L’Attrait Property Development Inc., the units feature high-quality appliances and furniture, enhancing the quality of living for homeowners and tenants alike. Completed in 2021, the building's rental rates, according to realestate.com.kh, average around $650 for a studio and approximately $1000 for a 1-bedroom apartment with a view.Click here to view the listingJ Tower 2 Photo Credit: J Tower 2J Tower 2, on Street 398  is the second residential condominium in BKK1 by the Japanese developer Tanichu Group mentioned earlier. The building is 43 storeys high, with 228 fully-furnished residential units ranging in size from 65 square metres to 153 square metres.The developer strongly emphasises that the project was designed and constructed under the Japanese standard to offer their residents comfort, safety, and convenience. In addition, residents have free access to the gym, spacious parking area, boxing ring, cafe, swimming pool, jacuzzi, and a sky bar which provides great views of Phnom Penh and its surrounding localities. The building was completed in 2022, and the price of a 1 bedroom apartment is currently listed approximately at $1,200. Click here to view the listingConclusionThe BKK area and its surroundings have undergone significant transformations in property development. This area is being introduced to a range of new options that bring the standard of living to international levels within the kingdom. As the landscape continues to change, the BKK area will remain the developer’s prime location and at the forefront when it comes to residential options for both locals and expatriates alike. If you're seeking real estate in Cambodia, visit our website and social media channels to browse properties. For personalised assistance, our customer service team is available via 📞+855 92 92 1000 📧 info@realestate.com.kh 🌐 www.realestate.com.khEasy Fast & Free Realestate.com.kh helps you find your dream property or real estate investment in Cambodia.
Understanding The Cambodian Property Cycles - The Untold Story
Understanding The Cambodian Property Cycles - The Untold Story
March 5, 2024, 8:41 a.m.
Simon Griffiths, the Head Of Real Estate at realestate.com.kh recently spoke at an organised event entitled “2024 Property Market - The Untold Story” which was held in the Cambodian capital in late February and provided an overview of the Cambodian condo market background. With more than a decade of experience working in the real estate sector in the Kingdom, Griffiths joined realestate.com.kh in 2023 armed with a Master's Degree in Commercial Property Development and Management and had spent six years at CBRE as well as owning his own commercial real estate firm. In his capacity as Head Of Real Estate, he has engaged in some deep dives through the data and researched the trends with a specific focus on the condo market. We lay out his findings of the Cambodian property cycles over the past decade and what lies ahead for the sector.Understanding The Cambodian Condo Property Market Cycles2009-2013Griffiths explained that the Cambodian modern property cycle started around 2013 but the groundwork had been laid as early as 2009 when the sub-decree on co-owned buildings allowed for a hard title which was followed by the change of laws allowing for foreign ownership with certain restrictions. However, the timing was concurrent with the global financial crises which placed extreme stress on global financial markets and banking systems between mid-2007 and 2009 - ultimately it placed firm brakes on the growth of the property market in the Kingdom. Griffiths added that there were some green sprouts which arose from this first crisis - two large concrete commercial properties were built in Phnom Penh - Canadia Tower and Phnom Penh Tower.2013-2016However, the condo market was halted and there was a slow recovery from 2013-2016 in which around 5000 units or less entered the market in Cambodia. In this period, 55 condominium projects were launched which helped build momentum - although it must be acknowledged this came from a low baseline, which resulted in high growth.2017-2018From around 2017-2018 onwards, the Cambodian condo market saw a distinct acceleration and a more modern condominium sector developed, which Griffiths separates from the period of 2013 to 2016. The market also saw distinct growth of interest and buyers from Asia - including South Korea, Japan, Singapore, Malaysia, and Taiwan. 2017-2020Between 2017-2020, the Chinese market became very dominant in Cambodia - this included both Chinese developments and Chinese buyers. As the market evolved and was driven by Asian-Pacific interests, what was happening in the real estate sector, Griffiths explained, was that for example, Singaporean developers would have their own Singaporean contacts from their own Singaporean network, and the same happened with the Japanese, Taiwanese, and other markets. That's how many from the region were introduced to the condominium market in Cambodia. This buyer pool and the amount of demand being generated via international developers started to increase, argued Griffiths, and as a result, prices started to rise from a moderate base and steadily increased.Since 2013, condo prices in the Kingdom steadily increased for five years annually between 10-25 per cent and then the addition of high-end positioning of condominium projects launched into the market, diversifying what were largely mid-market products. As multiple tiers were established, buyers could choose from a selection of more affordable condominiums in Cambodia’ including mid-range condominiums and high-end. COVID-19 Placed Brakes On The Cambodian (and Global) Property MarketPrices in Cambodia for the first time reached a peak of over USD $4,000 per square meter pre-pandemic, but then COVID-19 once again caused global brakes on all growth and interactions. The period was one of uncertainty and has bled into the current period of “painful adjustment” said Griffiths. New products and new condominiums still enter the Cambodian market and the situation has changed slowly and without a sudden jolt.Some market conditions have not materialised as some expected;The Chinese buyers and investments didn't come back as anticipated.Developers who launched condominium developments pre-COVID in Cambodia, with pre-COVID pricing and demand, found themselves priced out of the market.New developments have entered and been able to adjust to a new reality and market conditions. The compound result has been a slowly increasing amount of condo supply since 2020, while demand has heavily been reduced - this has combined to drive rental prices down. Some newer developments which have launched in Phnom Penh over the past year are actually back at below 2013 prices. The market also now has more mature developers and those with a proven and successful track record of developing projects. 2024 And Beyond - What To Expect Of The Cambodian Condo MarketWhen looking at the current situation in 2024 and where to now, Griffiths said, “In my opinion, we've reached the bottom and we will start a property cycle where new project launches will offer greater value in terms of pricing, but also in terms of delivery for what they're able to offer to their buyers. New project prices are undercutting the market. And this is positive.”There are some global property patterns which are replicated he said - there are periods of growth and then a pattern of recession. Growth generally has an upward trend, especially in developing/emerging nations but this tends to be more dramatic or undergo a faster increase explained Griffiths.There are things that can be controlled, and barring any exceptional circumstances or global shocks, he anticipates a steady increase in property prices in the Kingdom.“We've been through the pain. Yes, there might be six months more to wait, but we're starting to see the early shoots as the US Federal Reserve weighs its rate-cutting decisions,  and inflation looks to be under control - the anticipated cut in interest rates in 2024 will provide a positive sentiment in the market that will trickle down to Cambodia.”No one has a crystal ball to look into the future and as Griffiths quipped “What will the property cycle look like? If I knew exactly, I wouldn't be here talking to you. I'd be a millionaire on a yacht.”However, an analysis of the data and trends suggests there is good reason to think that property prices won't stay as low as they are, which means the only way is up in his opinion.Other factors to consider for the Cambodian condo and real estate market  in the short-medium term are:The Cambodian regulatory environment means the market could see a productive development phase.More diverse financial products on the market, in terms of favourable payment terms, mortgages and loans are positive signs.Ultimately the lessons learned mean there is a more mature environment in the Kingdom - both developers and buyers. An increased number of developers with experience and who have proven that they can develop real estate products with their buyers achieving high rental yields, as well as capital gains are positive for the property condo market in the long-term.
living in siem reap 2024
Why Live in Siem Reap (Update 2024)
May 15, 2024, 3:56 a.m.
Siem Reap, a city in northwestern Cambodia, stands as a must-visit when it comes to travel to the kingdom. Best known as the gateway to the ancient ruins of Angkor, it is a focal point for tourists to explore the ancient Khmer capital city of Angkor. But beyond being home to Angkor, it is also home to many Cambodians, and expats and welcomes many visitors every year. What more does the city offer, and why are both locals and expats drawn to call Siem Reap their home in 2024? This article will bring you up to date on what the city has to offer.Cultural Immersion When it comes to culture, Siem Reap does offer loads of activities to immerse into Cambodian culture. The Angkor Remembrance Festival is also held yearly by the APSARA Authority to promote national heritage. Various booths and performances of various arts at the event were held for 10 days in front of Angkor Wat and Angkor Thom’s Terrace of the Elephants. The festival commemorates the King and the ancestors who built and maintained the temples in Angkor and celebrates the 31st anniversary of including Angkor on the World Heritage List of UNESCO.Credit Photo: Khmer TimesRecently held was the Celebration of Join-Fish Catching, which traditionally takes place at the start of the year. This event has its roots in ancient practices, with residents coming together every February to fish, especially following the rice harvest season. Overall the atmosphere is quite friendly and participants and spectators are welcome to enjoy the gathering.Credit Photo: The Phnom Penh PostOther festivals also include the upcoming River Festival and the Giant Doll Parade. The River Festival is held for two consecutive days usually in March. Art performances, exhibitions and exciting sporting events including cycling, running, boat racing, boxing and golf are expected to happen during the festival.Credit Photo: The Phnom Penh PostThe Giant Doll Parade is scheduled to occur at the end of February. Nine giant dinosaur dolls are 15 to 20 metres long and up to 10 metres high, which are being installed by a group of about 650 children from private public schools and 19 NGOs participating. The festival brings together families and showcases talents in a mystical location like Siem Reap. Credit Photo: Giant Puppet ProjectCredit Photo: Giant Puppet Project Facebook page Free Angkor Pass for ‘Angkor Wat’For foreigners residing in Cambodia for two consecutive years, a 'Free Angkor Pass' for Angkor Wat is available. The archaeological park spans over 1,626,000 m2, with plenty of places to discover. The ticket is valid for a year and offers a unique opportunity for expats to explore the ruins and the region at their own pace. Ticket passes are available for purchase and application on-site and online. Sports eventsAlthough it might seem like Siem Reap has a laid-back atmosphere, several sports events are also held in the city. Last year the renowned Angkor Wat International Half Marathon held the 28th edition attracting over ten thousand competitors from around the world at Angkor Archaeological Park in Siem Reap. There were four race categories: the 21 km half marathon, the 10 km, the 5 km, and the 3 km.Credit Photo: Angkor Wat Marathon Facebook pageThe World Kun Khmer Championship event was one of the most popular events during the Water Festival last year. It hosted its 4th edition attracting participants from all over the world, Kun Khmer and martial arts enthusiasts. The Angkor Ultra Trail 7th edition is also held in town. The event included several long-distance classes, with distances ranging from 8 to 18, 32, 42, 64 and 100 kilometres. For those curious about Kulen Mountain, a Trek-Run in the mountains organised by Green8 and the local authorities offers the opportunity to discover Kulen and enjoy the nature of Siem Reap. Abundant Nature Beyond the Angkor ruins, the region is overflowing with jungles, lakes and animals. The Tonle Sap Lake, the floating villages and a wide range of birds can be observed. If you're up for it, cycling or biking through the countryside lets you witness picturesque life in rural Cambodia.  Credit Photo: Unesco Credit Photo: TripAdvisorPreservation of the environmentAlthough Siem Reap might have the potential for large infrastructure and development to attract more tourists, preservation of the environment is a priority in the region. According to the Phnom Penh Post The Siem Reap Provincial Administration and Takamatsu City, Japan, have signed an MoU to launch "smart city" projects, supporting digital technology advancements in both regions. This initiative could potentially help improve the region.Moreover, it's important to understand that the property landscape in Siem Reap is quite distinct from Phnom Penh or Sihanoukville. Siem Reap features a mix of shophouses and villas with Cambodian architectural features alongside low-rise modern buildings. In Siem Reap, you won't find skyscrapers, buildings are required to be lower than the height of the temples. This makes the city's property landscape unique in its own way. For some homeowners, properties are more than just homes; they're also popular for rentals due to the number of tourists visiting the city. This allows homeowners to benefit from rental income and allows visitors to experience staying in these unique houses, discovering the charm of Siem Reap and what makes the city special.Infrastructure development The New Siem Reap-Angkor International Airport is set to enhance Siem Reap's connectivity with the rest of the world. Classified as a 4E International Airport, it comes with a runway capable of accommodating all kinds of aircraft, alongside the latest advancements in safety and security technology for travellers. The new airport can welcome more visitors, making it easier and more reliable for them to start exploring Siem Reap.Credit Photo: Fresh NewsIf you're seeking real estate in Cambodia, visit our website and social media channels to browse properties. For personalised assistance, our customer service team is available via 📞+855 92 92 1000 📧 info@realestate.com.kh 🌐 www.realestate.com.khEasy Fast & Free Realestate.com.kh helps you find your dream property or investment in Cambodia.
Commercial Property Cambodia
Cambodia’s Commercial Real Estate Market
February 23, 2024, 4:40 a.m.
Cambodia's real estate market is experiencing a dynamic and evolving shift, and real estate prices have generally stabilised, depending on the region and property type. Phnom Penh continues to attract investment in commercial and high-end residential properties, and the jury is out for Sihanoukville since the announcements on attracting investments to help continue to transform the region.The long-term outlook for Cambodia is generally positive, considering the ongoing urbanisation, economic development, and evolving demographic trends. According to Statista.com - Cambodia's real estate market is projected to grow by 1.56 per cent from 2024 to 2028, resulting in a market volume of USD $639.50 billion in 2028.Ross Wheble, the Country Head for Knight Frank Cambodia, adds his thoughts on the state of commercial real estate in Cambodia and what potential opportunities are within this subsector.Wheble has been based in the Kingdom for a decade and worked closely with both public and private sector stakeholders to help shape the real estate sector in Cambodia and help improve industry standards and best practices in the industry.What Are The Current Trends In The Cambodian Commercial Real Estate Market?The main types of commercial real estate are; office buildings, retail real estate, industrial, factories and warehouses, hotels, as well as commercial land. “Generally in Phnom Penh, we are now entering an oversupply scenario across all sectors, including office, retail, and hospitality, and it will take some years for the existing supply to be absorbed into the market. This has placed downward pressure on occupancy rates, rents and hotel room rates,” said Wheble.According to the Cambodian Ministry of Land Management, Urban Planning, and Construction (MLMUPC), the total investment capital in real estate and construction projects fell between 2020-2022 with all real estate sub-sectors impacted; residential, industrial, and commercial.The latest data from MLMUPC for the first 11 months of 2023 painted a more optimistic picture, with USD $5.255 billion worth of investment. The total area under development (12.69 million sqm), and total investment values were a stark increase compared to 2022.The National Bank of Cambodia reported the growth of construction in Cambodia at 1.1 per cent in 2023 and 0.5 per cent in 2022, while the real estate sector saw 0.5 per cent growth last year - a slight improvement on the 0.2 per cent in 2022. Those are low growth numbers but are still heading in a positive trajectory.How Does Cambodian Commercial Real Estate In Cambodia Compare To ASEAN Peers? Wheble commented, “The Cambodian market is still very much in its infancy, with slow demand growth for both office and retail space due to limited companies/brands/retailers entering the market. However, this also represents an opportunity for Cambodia to leapfrog neighbouring countries in terms of new concepts, technology, standards and practices that can be introduced to the Kingdom.” New regulations could be coming to help elevate building practices, while technology and conceptualisation is better being utilised in newer developments that have been announced.Looking at some neighbouring country’s commercial property markets, there are challenges being faced in most countries:Thailand - The Thai property market also didn't quite see the recovery that was expected in 2023 but it has been political uncertainty that has stalled some of the recovery. The concerns about a global economic slowdown and stricter loan criteria for properties are the concerns.The residential sector is the largest in Thailand, accounting for two-thirds of the total market value of its real estate market. As in Cambodia and other markets, commercial real estate has a long way to go.Vietnam -  Cambodia’s neighbour also saw a downturn in its property market (reports suggest that between 2022-23, the number of real estate transactions fell by as much as 90 per cent) but it is anticipated there will be a rebound in the latter half of 2024. New laws have also been passed in addition to the government policies to support the sector which are hoped to boost their market. Major cities such as Hanoi and Ho Chi Minh City have also seen a recent proliferation of new commercial real estate leading to perceived oversupply.Cambodian UrbanisationThis growth in the country’s economy has positively influenced the real estate market, with an increased demand for both mid-range and high-end properties due to the middle class's expansion. This knock-on effect means there is increased demand for better standard housing and the urban centres continue to be attractive to the younger and generally better educated population.On whether urbanisation is creating a positive impact on commercial real estate, Wheble added, “Yes, of course. An increasing population size within Cambodia's key cities will drive demand for commercial space, however, this is a long-term process as many residents coming from the provinces have a low disposable income.”According to the World Bank, Cambodia's urban population was approximately one-quarter of the population in 2020, and it is expected to reach 44 per cent by 2030. The government still has ambitious aims to transform Cambodia into an upper-middle-income nation by 2030 and a high-income country by 2050.Cambodia saw urban population growth of 3.07 per cent in 2024 (4,58 million people), with a 3.29 per cent annual growth rate for the past 10 years.Cambodian Prime Minister Hun Manet said in February 2024 that the government will continue to “future-proof Phnom Penh’s infrastructure so it can match the developmental needs of its growing population.”Cambodian Real Estate Sector ChallengesThe real estate market in Cambodia is undergoing its biggest challenges in decades and there has been a slowdown in sales of some property types as well as issues in oversupply. There have been compounding factors that have contributed to this - with post-pandemic lag, the Chinese property market worries, global economic financial concerns, and geopolitical issues.On whether the challenges faced by the Cambodian residential real estate sector have trickled down into the commercial real estate space, the Country Head for Knight Frank Cambodia said; “As I mentioned earlier, we have now entered an oversupply scenario across all sectors in Phnom Penh, similar to that of the residential sector. This has led to falling prices and occupancy rates. On the upside, this represents a great opportunity for buyers and tenants to secure competitive prices for commercial real estate.”On the sector in the long run, he has said recently that there is no doubt that the future of Cambodia is bright, with abundant business opportunities across wide-ranging sectors.
Exploring Property Investment Options for Different Budgets in Cambodia
Exploring Property Investment Options for Different Budgets in Cambodia
February 16, 2024, 2:51 a.m.
Cambodia's economy is due for strong growth this year but that's on the back of a challenging 2023. However, some key sectors are expected to see greater improvement - but property investment shouldn't be focused on shorter time frames but much longer ones.The investment into the growing infrastructure attracts investors seeking opportunities in Cambodian real estate, and Cambodia stands out as a competitive marketplace in the region for the long term. The country is also elevating its domestic income levels and should be on target to achieve middle-income status by 2030.It's within this framework, that real estate and property, especially at their current market values, do offer opportunities for different budgets.Property Ownership Opportunities In CambodiaThere is a diverse property market in the Kingdom, from a selection of land or modern pre-built condos, as well as newer legal mechanisms to allow investments into most types of real estate and land which offer advantages and potential challenges across different budget ranges.Although not nationally implemented, the Special Investment Promotion Program For Sihanoukville In 2024 (which is open to applications now) offers another alternative investment mechanism in a specific region. It also shows the government’s flexibility in implementing pro-investment initiatives to attract the necessary FDI required to boost development. Steven Higgins, recently told B2B Cambodia that the Cambodian government’s announcement of a reduction in bank reserve requirements to 7 per cent at the Government-Private Sector Forum (G-PSF) was also a positive sign for the future as it essentially helps to inject approximately USD $2.5 billion worth of liquidity into the market. With apartments and landed property available, what types of real estate are accessible for purchase by foreign nationals and what should you be considering in terms of capital growth or yield?Cambodian citizens and foreigners can enjoy freehold ownership, with hard-title ownership being the most secure option.Foreigners can purchase condominiums and apartments with strata titles in post-2010 built buildings, adhering to specific ownership ratios and geographical restrictions. According to R.A. 4726, foreigners can buy and register (under their own name) a condominium unit in Cambodia - the Condominium Certificate of Title (CTC) will be registered under the foreigner's name too.While direct land ownership is restricted for foreigners, leasehold agreements, nominee structures, landholding companies, and Trust Laws provide viable investment mechanisms.Cambodian citizens can rightfully fully own real estate, provided all legal procedures are correctly followed. More can be read on title ownership in Cambodia. For foreign investors, condominiums and apartments constructed after 2010 are available for foreign purchase under the strata-title scheme and condos remain the most sought-after properties - but better bullet homes buying from reputable developers have been the most recent shift.There are prohibitions for non-Cambodian citizens from owning land or landed properties in Cambodia directly. Under the Cambodian Constitution (1993) and Article 8 of the Land Law (1992), “Only natural persons or legal entities of Khmer nationality have the right to ownership of land in the Kingdom of Cambodia”. However government-approved policies have facilitated other legal investments. Nominee structures, landholding companies, and the Trust Law offer alternative forms of ownership for real estate investors. H.E. Sok Dara, Director General of the Trust Regulator confirmed that by the start of 2024, there were now 810 registered Trust cases, accounting for USD $1.29 billion worth of assets. Beyond Budgets -  What To Know When Buying Real Estate Remember, budgets are not the only factor when looking to make property and real estate investments, especially if it's in a foreign country.Investment goals: Are you seeking capital appreciation, rental income, or a combination?Risk tolerance: Land development carries inherent risks while existing buildings offer immediate income but might require renovations.Expertise: Do you have experience managing construction or property management or do you need to partner with professionals on the ground?Do Your Own Research (DYOR): Thoroughly research specific areas, regulations, and development trends before making your decision and speak to trusted professionals.Explore opportunities in Special Economic Zones (SEZs) - These offer tax benefits and streamlined regulations for investors.Capital Appreciation Or Rental ReturnsAccording to the IMF Cambodia Country report, real estate and construction accounted for a quarter of corporate debt in the Kingdom, but the largest share was accounted for by retail and wholesale trade.Capital appreciation is the increase in a property's value over time, influenced by factors such as location, demand, and economic conditions and something investors and homeowners will want to consider when purchasing.For investors, the primary objective is to profit from capital appreciation by buying property at a lower price and selling it at a higher price in the future - the current market price in Cambodia means there are some great real estate stocks available at attractive prices.If you are seeking to buy and rent - rental return (also known as rental income or yield) is the income earned from leasing out a property to tenants.To ensure a steady demand for rentals, investors need to stay focused on prime locations and consider contributing factors like property demand and tenant requirements.Capital appreciation involves profit from selling property at a higher price over time, suitable for both off-plan and existing properties.Rental returns offer steady income from leasing properties, with success dependent on location, demand, and property features.Property Tax Considerations In CambodiaIn Cambodia, the property tax, officially known as the Tax on Immovable Properties (TOIP), is a yearly tax applied at a rate of 0.1% to immovable properties valued above USD $25,000 (KHR 100 million). This includes land, houses, buildings, and infrastructure. Properties valued below this threshold, as well as state-owned, agricultural, and industrial lands, are exempt from this tax. The market price of the property is determined and established by the Ministry of Economy and Finance through evaluation. For several years the Cambodian government has delayed the implementation of the country's capital gains tax - with the last delay pushing this back until 1 January 2025. The aforementioned IMF report suggested on property tax valuations, law or regulation should be required for valuations to be reassessed at least every five years, with indexing in the interim years with clear guidelines for valuations to be provided. It also suggested that the property tax, in the medium term, should be raised at a rate of 0.5 per cent and in the longer term, provide local governments with the option to set local rates within a modest range set by the central government.Overall the report suggested that there should be reform aimed at “improving property registration for tax purposes; property valuation to better track market developments; tax enforcement; revenue estimation and simulation capabilities.”Actually, the G-PSF 2023 has addressed some tax concerns and administrative reforms.Ultimately the country’s lower labour costs, political stability, and ongoing infrastructure investments are presenting attractive propositions.The best choice for you depends on your circumstances and goals and each buyer or investor needs to carefully weigh the advantages and challenges of both land and buildings within your budget range, and consult with experienced professionals for informed guidance.
Warehouses and Factories in Cambodia - What To Know
Warehouses and Factories in Cambodia - What To Know
February 9, 2024, 6:06 a.m.
Warehouses and factories play a crucial role in supporting businesses engaged in manufacturing, storage, and distribution activities in Cambodia. They are a core part of the commercial property portfolio in the Kingdom.These facilities, and naturally the land they are built on, are strategically located on the outskirts of major urban hubs to ensure easy access to transportation networks and key logistics centres, and the sheer number of infrastructure projects in development and planned means there are opportunities here.We review some of the locations of warehousing, factories, and special economic zones, as well as the essential information needed for lease terms, ownership, and prices in the Cambodian market.Cambodia's Special Economic Zones (SEZs) - Why Invest?Cambodia's Special Economic Zones (SEZs) offer incentivised opportunities for investors and businesses looking to establish in Cambodia. Warehouses and factories are essential for the core business type established in the SEZs which are manufacturing a variety of goods.Special Economic Zones (SEZs) like the Sihanoukville SEZ and Phnom Penh SEZ offer well-developed infrastructure, tax incentives, and streamlined customs procedures, making them attractive for businesses, but they are just two of dozens of SEZs in the country.These areas of economic drivers offer numerous advantages and are strategic zones typically equipped with well-developed infrastructure and utilities, which are attractive to both local and foreign businesses.SEZs are designed to attract foreign investments and industrial businesses, fostering a conducive environment for those looking to establish warehouses and factories in Cambodia.Prominent SEZs include Phnom Penh SEZ, Sihanoukville SEZ, Poipet SEZ, and Bavet SEZ, each offering unique advantages for businesses.Multinational companies such as Coca-Cola, Nike, Adidas, Yazaki, and Yeos have established themselves in different SEZs across the kingdom.Some of the more popular Special Economic Zones in Cambodia include:Phnom Penh SEZ - provides businesses with convenient access to the city's infrastructure and logistics networks.Sihanoukville SEZ - the preferred choice for businesses engaged in international trade and logistics due to its proximity to the international seaport.Poipet SEZ - located at the border with Thailand, offers businesses a gateway to cross-border trade and access to Thailand's markets.Bavet SEZ - situated at the border with Vietnam, provides businesses with proximity to Vietnam's markets.In more recent news about the developments of these economic hubs, Cambodian Prime Minister Hun Manet said at the start of 2023 that Cambodia is considering creating a special economic zone by countries. He also emphasised the importance of the Sihanoukville SEZ as the master plan for the city is being rolled out.Warehouses and Factories - Commercial Opportunities In CambodiaWarehouses and factories in Cambodia offer numerous advantages for businesses and these essential manufacturing and logistics facilities are mostly situated just outside major cities resulting in cost-effectiveness due to lower land prices and access to workers.Their proximity to transportation routes and logistics centres ensures efficient supply chain management, leading to reduced transportation costs and delays. The expansion of the transport networks and the continued investment into infrastructure is also hoped to aid the expansion of the logistics and export trade.Locations for Warehousing in Phnom Penh:Sen Sok District, located in the northern region of Phnom PenhPor Sen Chey District, situated southeast of Phnom PenhDangkao District, located to the west of Phnom PenhPricing, Lease Terms & OwnershipWarehouses and factories in Cambodia provide businesses with flexible options to suit their operational needs. Lease terms typically range from 5 to 10 years, accommodating long-term industrial activities, although shorter agreements can be arranged to meet specific requirements.Ownership of landed properties such as land and warehouses in Cambodia is open to Cambodian nationals and naturalised Cambodians. For foreigners, ownership can be secured through alternative mechanisms such as nominee arrangements, land-holding companies, and the new Trust law. As of January 2024, there are 810 registered Trust cases which account for USD $1.29 billion worth of assets in Cambodia.Prices for renting or purchasing these industrial facilities can vary widely and are influenced by factors like location, size, and available amenities. Rental rates usually range between USD $2 to £5 per square meter per month, while purchase prices can exhibit significant variability.Both warehouses and factories commonly require security deposits equivalent to 2-3 months' rent, which are open to negotiation, and advance rent payments may also be requested to facilitate smooth leasing processes.Lease terms for warehouses and factories generally range from 5 to 10 years in Cambodia, with flexible options available.Ownership is open to Cambodian nationals and naturalised Cambodians, while foreigners can secure ownership through alternative mechanisms.Rental rates typically vary from USD $2 to $5 per square meter per month, while purchase prices exhibit significant variability.Security deposits, equivalent to 2-3 months' rent, are common, with negotiable terms and possible advance rent payments.In Q4 2023, the Development of Cambodia (CDC) announced a master plan for the national transport and logistics sectors which entails more than 170 projects, with an estimated value of $50 billion. More recently, in January 2024, a cross-docking and cold storage facility was inaugurated at the Phnom Penh Autonomous Port.Cambodia's commercial real estate still holds a significant place within the country's real estate sector. Specifically, there is notable demand for factory and warehouse real estate in proximity to Sihanoukville, Phnom Penh, Poipet and Bavet primarily due to their transportation and logistics connectivity.
Special Investment Promotion Program For Sihanoukville In 2024 - Were There Any Surprises?
Special Investment Promotion Program For Sihanoukville In 2024 - Were There Any Surprises?
February 1, 2024, 5:22 a.m.
The entire industry has for some time been awaiting the confirmation of the details of the plans to address the situation in Sihanoukville with the unfinished buildings, and how the investment would be drummed up to support revitalising the coastal Cambodian city’s real estate projects.At the end of January 2024, Cambodian Prime Minister Hun Manet finally revealed the “Special Investment Promotion Program in Sihanoukville 2024” alongside Dr. Aun Porn Moniroth, Deputy Prime Minister, Minister of Economy and Finance and Chairman of the Economic and Financial Policy Committee.The measures are intended to be a comprehensive package, which we have previously discussed, aims to tackle the 362 unfinished buildings (this number has fluctuated and been reported as between 350 and 1,000 over the past year) in Sihanoukville that requires an estimated USD $1.161 billion to complete construction and help create opportunities for businesses and investors. So were there any surprises in the final plan and what has changed compared the some of the drafts proposed in 2023?Investing in Preah Sihanouk Province 2024The investment program is also part of a government initiative called “Invest in Preah Sihanouk Province 2024” which has four main objectives.Transforming Preah Sihanouk Province into an economy-based province depending on industry, tourism, and investmentSolving practical challenges that bring immediate resultsComplementing and being consistent with strategies and plans in various sectors set by the Royal GovernmentAccelerating the transformation and industrial development in Preah Sihanouk Province to have more value-added, high productivity, and competitive advantage.Investment Promotion Working Group - Preah Sihanouk ProvinceIn the news following the announcement, there was some ambiguity about the Investment Promotion Working Group in Sihanoukville as it was understood a committee had already been in place for some time to help draft this Special Investment Promotion Program in Sihanoukville 2024 plan. Either way, the Prime Minister appointed Hean Sahip, Secretary of State of the Ministry of Economy and Finance, as the Chairman as well as three Vice-Chairmen, as well as other members to form the working group.The Investment Promotion Working Group will lead, coordinate, and implement the plan and act as a “One Window Service Mechanism,” to review, decide, and issue permits or licenses as a package for investment projects and business activities.They will also prepare the necessary documents and procedures for the implementation of the work and “has the right to use the seal of the Ministry of Economy and Finance to fulfil its duties both in the original form and electronically” said the report.The main seven tasks of the Investment Promotion Working Group are:Responsible for leading, coordinating, and implementing this special program.Will be composed of relevant ministries and institutions (with several listed).Will have a secretariat and financial resources under the management of the Ministry of Economy and Finance.Need to help publicize and educate on the Invest in Preah Sihanouk Province 2024 plans.Develop capacity-building programs to ensure accountability, transparency, and efficiency.Offer ongoing monitoring and evaluation of the implementation of this special program.Provide quarterly reports and annual reports by the end of 2024.New 3-Year Visa One of the new announcements is a 3-year visa aimed at long-term purchase or rental of property investors in Sihanoukville with a value of USD $100,000+. Previously in the preparation of planning and researching the program, it was mentioned that a visa policy for long-term investors was under its scope.More details have to be announced (for example who values the project/property) but the Prime Minister said a separate Sub-decree will outline more information.It will also need to be clarified how this differs from the Cambodia My 2nd Home (CM2H) Program introduced in 2022, and the already existing options to obtain Cambodian citizenship through investments.What Will The Special Investment Promotion Program in Sihanoukville 2024 Do?One of the big changes to the previously announced plans is that the grouping of four categories seems to have been dropped - these had been categorized into four investment groups based on their nature and potential (although this may have been purely for the purpose of data collection).The program now applies to investment projects or business activities in 2024, located in Preah Sihanouk Province, and focuses on the following 3 types of projects:Investment projects or business activities related to buildings that are stalled and will start implementation in 2024;Investment projects or business activities that are not related to the unfinished buildings, but will immediately start in 2024;Expansion of existing investment projects or business activities in accordance with the specific criteria and will start in 2024.The general measures and incentives are to be implemented until 2026 and are hoped will build investor confidence and market demand through a step-by-step approach.The Cambodian Prime Minister also pledged there needs to be a positive image of the region to encourage investment and told the Preah Sihanouk Provincial Administration to ensure no illegal activities are ongoing and ensure a peaceful and secure business and living environment.Tax Breaks and Financial Incentives - Unfinished Buildings SihanoukvilleThe confirmed financial incentives tax breaks for the unfinished building construction projects are:Exemption from income tax, income tax exemption and minimum tax for an additional 3 years;Exemption from value-added tax (VAT) at the rate of zero per cent for the completion and improvement of stagnant buildings;5-year withholding tax exemption on real estate lease;Exemption of property tax and exemption of administrative sanctions;Exemption from payment of public services and fees in excess of the land use index for construction-related permits;Provide concessions on inspection fees and other certifications related to construction.What Are The Non-Financial Incentives?In addition to the above, the Cambodian government will:Facilitate the procedures for applying for a permit from the competent authority related to construction work;Help facilitate investment and business procedures, including applying for licenses, certificates and permits;Establish policies and facilitation, and provide investor matching services, including reference pricing for real estate in Sihanoukville;Promoting the use of out-of-court dispute resolution mechanisms in accordance with legal provisions for investment-related disputes.Non-Construction Projects & Expansion of Business Investment Incentives - SihanoukvilleFurthermore, for investment projects that are not related to the unfinished buildings or additional investment projects or business activities that can start immediately from 2024 in Preah Sihanouk Province, there are also announced benefits.These include:The facilitation of investment and business procedures, including applying for licenses, certificates and permits;Special incentives such as import tax, patent tax, billboard tax, withholding tax on real estate rental and registration fee, etc.Incentives for income tax exemption, income tax exemption and minimum tax exemption for an additional three years for qualified investment projects and tax-registered small and medium enterprises (SME).Can apply for zero per cent value-added tax (VAT) for small and medium enterprises registered for tax purchase of locally produced inputs.Three-year income tax exemption incentive based on the ratio of the capital expansion rate and the allowance of 150% multiplied by the income to be received.It should be noted that there is an additional section of the plan dealing with current investment in Cambodia, wishing to expand, especially expansion on projects as well as encouraging more investment into the infrastructure and Special Economic Zones. This also refers to:Turning land into industrial or enterprise cluster zones and/or tourism areas.There will be pilot test areas which could be - Special Economic Zones, Great Tourism Zones, Free Trade Zones, Industrial Cluster Zones, or Customs Bonded Warehouse.This program is intended to attract opportunities for businesses looking to invest or expand in Sihanoukville as well as revitalise the region to rid the city of these unfinished construction projects. Furthermore, this is being treated as a “Live Document” that may be revised, so any investors looking into this program should stay on top of any possible changes.