Edmond Lim Yao Zen, Project Head, Cambodia Group Division Director @ Absolute Division of PropNex Realty Pte Ltd, has for many years been bringing investors from Singapore and around the region to the Kingdom to survey real estate investment opportunities. In an exclusive Q & A, Realestate.com.kh caught up with Edmond while he was last in town to find out more about his investor tours and get his thoughts on the progress of the Cambodian real estate market past, present and future... 1) Tell us about yourself, your experience and your relationship with Cambodia? I started my real estate career 17 years ago in Singapore. At that time, my job included the normal agent roles - like selling, leasing and property management, as well as hotels and building acquisitions. I first came to Phnom Penh in 2012. I was introduced by a good friend, Mr. Tan Teck Kee, COO of Worldbridge Land, to visit Phnom Penh at that time. My good relationship with Cambodia started then. I was with Jones Lang LaSalle Singapore at that time and we started off with a major event entitled "Cambodia Real Estate Night." The first of these investment nights was held in 2013 at the Sofitel Hotel, and was jointly organised with Bonna Realty Group. We had 200 guests who graced the event. Nowadays, I am with PropNex (in partnership with JLL), in charge of managing the sales of all partner projects in Cambodia. Besides taking care of all salespeople's sales training about Cambodia, I also join as a speaker at various hotel events (marketing Cambodia investments) around the region. 2) How long have you been involved with Cambodian real estate, and in what capacity? Since September 2012, I have traveled to Phnom Penh every month. As well as real estate investors, I bring business prospects other than just property investment clients to Phnom Penh and assist them in investing in the country. The first two years I had more difficulty getting investors to come here as they generally stereotyped  the country, based on the lack of potential of the economy and the history. In 2016, it is much easier... 3) Tell us about your investor tours? What is the inspiration, and how do they work in practice? I believed in educating the investors about the country, first and foremost. I don't just talk about properties to them - I share with them information about the economy, the people, the culture and my opinion about the potential future of what this country could transform into. I get them to spend time in the country doing enjoyable things like shopping, eating in a local eatery, spa and promoting to them some charities available for them to contribute too. They really understand more after my 4 days/3 nights trip. Past guests always introduce more investors to us too. 4) Why is coming to Cambodia, physically, so important for investors? Some savvy investors need not visit Cambodia physically, as they only look at the numbers and facts we show them. Some request to visit to experience the market personally before they invest. It depends on individuals. 5) Why is Cambodia such an exciting real estate market - in your opinion? Cambodia to me has been exciting since 2012. My beliefs started then.. And the passion is still burning high for me now. The property market for Cambodia is more transparent compared to Myanmar, Vietnam or Laos, if we are comparing emerging markets. And according to the FDI restrictiveness indexes of the whole of ASEAN, Cambodia's 0.049 is second to Singapore's 0.047. Even if its population is not the highest in the region, the FDI coming into the country is very promising for investors. Furthermore, the country allows 100% foreigner owned equity/corporations - which is highly beneficial to expat entrepreneurs too. 6) In your opinion, what steps need to be taken to boost the Cambodian real estate market to the next level? I believe that the country should look into raising the vocational standards of the whole real estate industry. Then the efficiency and professionalism can complement the thriving market - especially now with the mass influx of foreign investors. Despite the mass supply raising up in 2018, I believe that the government is exploring and opening up more industries and other business sectors to lift the economy standards to another level. You can see from the FDI coming from China, Japan, Taiwan and others that there will be more expat professionals moving to the country. We will need the infrastructures and housings to cater for these people. We can't wait for demand to come and then build supply - rather, the country has to be ready for it.7) What is some interesting feedback you have had from people who have joined your investor tours? They always say that they didn't expect Cambodia to be so attractive and that they enjoyed every moment of the itinerary I planned. They thought of the past where you might get bombed, gunned or other things related to the past conflict here. But instead, I show them my healthy legs and my ballooned belly from all the delicacies I have eaten in the country. Now a lot of them have also registered with me to visit Siem Reap and the beautiful beaches in Sihanoukville... Learn more about investing in Cambodia!

On the 3rd of August, 2016, Emerald+ Property Management Services signed an exclusive agreement with the committee ownership and development company Chroychangva.This is in conjunction with the property management services that they will be providing for the Borey Grand Chroychongva project. These properties will include 4 types of residential properties. Namely, the grand villas, single villas, twin villas and flats.In this agreement, Emerald+ asserts that they will only offer management services that are of high standards and quality.Chen Yuxian, the general manager of Grandvision International Development Co.,Ltd and the representative of Borey Grand Chroychangva, said that “Property management services are significantly important for borey projects. These include security protection, social order, and environmental protection so that the borey space will remain aesthetically pleasing and clean at all times.He added that Emerald+ offers the best suited partnership for the relatively new industry of property management in Cambodia because of the professional standards of their work and the qualifications of their human resources.Meanwhile, Ms. Sou Monipich, the general manager of Emerald+, said of the agreement that “offering property management services that are flawless and oriented towards a great customer experience is the stance of the company because of its long term vision for being in this business. Emerald+ sees itself as a company that will adhere to both national and international standards of quality into the future.Grandvision International Development is very busy with the next property development project which is named the Borey Moon Town. It will have 5 types of residential properties and will strategically be located along Oknha Duong Ngeap road, Sangkat Teuk Thla, Khan Sen Sok, Phnom Penh.Emerald+ Property Management Service is a big real estate management company that is licensed by the ministry of commerce. It will open its operation with various partners like UEMS and Nature Landscape who are both huge and famous companies in Singapore, They are known for their expertise in property management and developing natural gardens (landscaping), respectively.For more information, you can contact EMERALD+  today.

Everyone needs a warm environment where they can live with their loved ones. So before you decide to buy a residential property, carefully consider a few things first such as its atmosphere, it's construction quality, and its potential for future investment. These are just some of the things that shouldn't be overlooked in the buying process. The Borey Villa Toul Sangke development project has gained popularity mainly due to its success in selling its past projects. It is strategically located in the Russey Keo district in Phnom Penh, Cambodia. They offer residential units such as landed homes and condominiums.The Borey Villa Toul Sangke project includes a variety of villas and condominiums that come in different sizes that you can choose from. Each and every home has been designed by construction professionals with quality and beauty in mind. Attention to detail is obvious. Some of the villas that are available are the Single Villa, Link House, Twins Villa, and Flat houses. Families will  also have the flexiblity to choose the City Sangkeo villa type too, as they see fit.Check out full listing on realestate.com.kh"We think about the quality and the best standard of living for families. The Borey has been completed. For all projects, the Borey is almost sold out. The condo project started construction and is at around 20 percent completion. And an estimated 30  percent had already been booked. We also have a special offer for customers which is a 10 percent discount for owners who have paid off their residential condominiums. At the meantime, the developer also provides ultimate offer that only require customers to pay $ 660 in per month with no interest and no deposit. The Borey Villa Toul Sangke condo project concept is focused on helping locals change their standard of living and pursing a more modern life. It also aims to make you feel comfortable. This residential property is exactly that. It brings a high standard of living, which is fully furnished like a 5-star hotel." This is according to Mr. Andy Kong , the general manager of the Borey Villa Sangke company. Ky Kosal, an employee of a private company, says, "After I saw the showroom of the different projects from Borey Villa Toul sangke and researched about it, I think that this is a good projects because the investment location is just near the new Aeon Mall and because it also has a great future investment potentials."Living in the Borey Villa Toul Sangke project offers a more modern, stylish, and luxurious way of living for you the people you live with, whether it's your friends or your family. The Borey Villa Toul Sangke project also has an extremely competitively-priced condominium development located in Russey Keo. It is situated in the business district, which is really close to the main road, government institutions, shopping malls, riverside, sports clubs, banks, hospitals, schools, and entertainment. More importantly, it's also very near the toul Sangke market.The Borey Villa Toul Sangke project consists of around 174 residential units with various designs, all of which were made with the vision of providing spacious, and comfortable homes for individuals and for families. There are also a range of amenities which include swimming pools, a sauna, a gym, a small market, and a golfing club. So, families are sure they will never run out of things to do and places to go to. Check out full listing on realestate.com.kh

In the process of selecting residential properties, more so than the price, it is important to make sure that it will provide the best standards of living with high quality construction materials to make it ripe for long-term appreciation and future resale or rental value.It is also helpful to consider living with your family in a home that has good environment, and is comfortable and modern. This is what The Penthouse Residence is offering in the heart Phnom Penh. It is an upcoming world-class condominium project that will suit the needs of people who are looking for a more modern flare in their lives.The Penthouse Residence is strategically located in the most desired residential area of Phnom Penh, the capital city of Cambodia. It is the majestic and luxurious condominium project that stands along Sothearos Boulevard, right in front of landmark establishments such as Aeon Mall and the five-star Sofitel Phnom Penh Phukeethra Hotel, and close to many other useful institutions such as embassies and international schools. In addition, this 36-floor tower (about 130m high) is also located close to the Chaktomuk riverside and the fast developing district of Koh Pich (Diamond Island).The developers and contractors have been working hard day and night since the groundbreaking last March 12th, 2016, to ensure that The Penthouse Residence is built according to the highest standards, especially in its foundation work. In a span of just 4 months, the pile boring and foundation work are almost completed. And with the construction going at this rate, it is safe to assume that this project will be finished even before the proposed deadline at the end of 2018.The Penthouse Residence will not only be built with highest quality, lavish decorations, and the safe environment in mind, it will also be built in partnership with many other well recognized construction suppliers includes CPAC by SCG Thailand.The interior designs will be done by Sangiorgio from Italy; the bathroom equipment will be supplied by world class brands such as Grohe and Hafele from Germany, Cotto from Thailand, ToTo from Japan as well as American Standards, which will provide nothing but the best functional and long-lasting products. This helps ensure the project’s safety and build the trust of our customers, now and in the future.According to Mr. Imsouchivy Suos, the assistant project director of The Penthouse Residence, “The Penthouse Residence will offer both great quality and value in real estate market. The project has sold over 50 percent of the units already and has been one of the best-selling condominium projects in Phnom Penh so far due to its prime location, best quality, and reasonable price. We expect to increase our sales to over 70 percent by the end of the year. At the moment, we also offer 5 percent discount and an iPhone 6s for those who decide to book our condominium unit today. Guaranteed Returns of Renting (GRR) will also be offered at 6 percent per year or 18 percent for first 3 years.”For more information please check out the full listing on realestate.com.kh today!

Showing a positive turnout for the 1st quarter of 2016 for prime office rentals, Knight Frank has confirmed that there have been various positive effects brought about by incoming investors, government policies, and infrastructure from different markets in the real estate sector in Cambodia.This is something that the managing director of CBRE Vietnam, Marc Townsend, agrees with. But in his presentation about Cambodia Property Market Outlook 2016, during the inaugural Cambodia Property Show organized by Realeastate.com.kh and PropertyGuru Singapore, he adds that there are also different factors that affect what the future of the property market in Cambodia will look like.The China Factor:Townsend explains that much of how Cambodia has progressed and will progress is partially because of its relations with other developed and emerging markets. And these factors have a significant effect on the Cambodia Property Market Outlook 2016.He says that probably one of the biggest contributors and partners of the country would have to be China, since the two countries share a long history of allegiance.This probably applies most to infrastructure, but can also be seen through other sectors such as tourism. The China Daily reports that, according to the Cambodian Minister of Tourism, there will be over one million Chinese tourists who will visit Cambodia in 2016, and is expected to rise to two million by the year 2020.Townsend also says that China very much dominates the policy-making process and the way that investment licenses are granted in Cambodia.Fluctuations:During another part of his presentation about the Cambodia Property Market Outlook 2016, Marc Townsend mentions that another important consideration when looking at emerging markets such as Cambodia is inflation, as it can move anywhere from a ¼ to ½ very quickly due to an increase in money supply. He adds that foreign exchange can also behave the same way, and it may play to the interest of investors to keep a close watch on both indicators.Retail and Psychology:In his travels and his own analysis, Townsend has seen new businesses rise from the ground - mostly FMCG and FMB operations of which young Singaporean or Malaysian entrepreneurs own. This will play a big role in residential space sales since people like this like to live in areas where there are large active retail components like malls, gyms and after-school education. This is one of the things investors should also consider.And it’s no longer just Phnom Penh dominating the retail market: Siem Reap and Sihanoukville are now slowly catching up and gaining competitiveness in this segment.Townsend is also positive that, with new commercial developments like the Aeon Mall and larger populations flocking to the major cities, major retailers will start to flock Cambodia. Being in the crossroads between being an underdeveloped country and an emerging market gives retailers perfect opportunities to do business and invest.Industry:One of the types of properties that has shown significant growth and has contributed much to the Cambodian economy is the industrial property market, paving the way for SEZs, industrial parks and similar properties to flourish. Much of this has to do with the consistently strong garment and footwear industries. Much to people’s surprise though, according to Townsend, Cambodia also has a growing technology market. For example, the creation of cellular phone vibrators is a big winner currently. This attraction centers on the cheap cost of labor, that is becoming gradually more skilled. Townsend warns investors and retailers though that Cambodia is a part of AEC but not part of TPP. And if the TPP goes ahead of the AEC, then investors in these spheres may eventually lose out.Hospitality and Infrastructure:In addition to all these new developments and signs of progress, Townsend also mentions that it’s a good thing that more airports and infrastructure is being built in the Cambodian market. This actually not only helps the tourism sector by providing more direct flights from different countries, but it also helps the hospitality industry and investors who wish to create properties that cater to these travelers.Condominium Market:Though being flooded by foreign investors, Townsend said that the occupancy of residential condominium units is quite high, especially by Khmer families. This may also be due to the fact that there are now stronger local property management capabilities than previous years. Taking all of these factors into consideration, along with a stable political standing, Townsend says that Cambodia as a real estate destination is quickly catching up with its neighbors. There’s a ready primary market, although a secondary market that is still to be tested. So, while it’s best to be cautious, in his Cambodia Property Market Outlook 2016, Townsend believes that Cambodia offers a unique chance for investors to enter an exciting emerging market with very attractive potential gains.Learn more about investing in Cambodia…

Cambodia is finally entering the global mindset of property investors. And it seems that the more people learn about opportunities in the Kingdom and the progress being accomplished; the more they become interested in the possibilities of investing in property, doing business or living in the country.But frontier market or not, Cambodia has seen significant changes that have catapulted it to its current economic position. And these changes keep coming year after year.This is what Director of Sales of Realestate.com.kh, Vic Boyle, has implicitly expressed during his presentation at the inaugural Cambodia Property show, organized by PropertyGuru Singapore and Realestate.com.kh.In the same presentation, Boyle explains different strategies to take advantage of the growing real estate market and financial growth of the country. While Cambodia is still a frontier market; it offers a lot of the benefits of a frontier market, with few of the normal detriments.According to the Khmer Times, construction investments rose 40% in 2015, compared to 2014 - reaching an all-time high of $3.5 billion. Boyle says that construction has been primarily focused in the Phnom Penh area. And since the city has been at the receiving end of most construction and infrastructure projects, it is now reaping the fruits of that development.In addition to that, 120 projects are currently under construction, 26 new condominium projects were approved last year; and a 133-storey building will rise from the ground in Phnom Penh to become the tallest building in Southeast Asia.  This is expected to bring in at least another $2 billion worth of construction investment into the country.But despite this, Boyle says, one of the concerns that Singaporean investors have is the uncertainty and potential instability of the market. Boyle suggests this is because they’ve either never been to Cambodia, or have been there around ten years ago when the landscape was totally different from what it is now.It is now a far cry from the underdeveloped country is once was, Boyle says. Cambodia has since risen through the ranks, and is continuing to rise as fast as any country in the region.He advises though, "If you're going to Cambodia as a property investor: do your homework, do a site inspection. Preferably, work with a company that is a reliable developer who has previous projects they have finished, be it in China, be it in Singapore - and if they have a connection with a publicly traded company that is very good."Further strengthening his argument, he says that in 2018 there will be around 22,000 residential units coming into the market.However, Boyle warns to stay away from Grade-A commercial spaces, which are too expensive for the local market and have an abundant supply already. He says that better investments will be the Grade-B commercial space, because there is a huge demand but a lack of supply currently.He also warns against setting high expectations and unrealistic pricing for residential rentals. He says that typically, many investors lose money because they set rental fees at such a high value that it becomes unattainable. And since Cambodia is seeing a younger generation of working class grow, people need to realize that this is where the market is right now. An average millennial cannot afford luxurious accommodations yet. So, investors need to be aware of that, and have realistic expectations for rental returns.So, before immersing yourself into the frontier market of Cambodia, make sure that you do appropriate research to see what types of developments are a safe bet, and which are not. Learn more about investing in Cambodia…

In a recent BBC report, Cambodia's condo sector is in the world spotlight.  "Cambodia's capital Phnom Penh is on the rise. Glass, steel and concrete mega-structures are beginning to dominate the city's skyline," says BBC's Nick Wood, "But as the capital grows, there are concerns that many of Phnom Penh's residents will be squeezed out by the frenzy of construction projects." The report includes Victor Huot, Marketing Manager at Urbanland Asia, the developer behind Embassy Central and Embassy Residences. Foreign Direct Investment is now at an all time high in the Kingdom, putting the Cambodian condo construction industry on a similar playing field to its larger, more-developed ASEAN neighbors. However, the BBC speculate that current development is not suitable for most local buyers, given the average costs of most large scale condo projects currently underway in Cambodia. Learn more about the Cambodian investment climate today on Realestate.com.kh's extensive location profiles and investor resources.

Sun Fair Market is set to be the first flea market in Cambodia, with a huge range of consumer goods and materials, kitchen and office equipment, antiques, artifacts and all sorts of other bits and pieces for sale.Sun Fair Market will be launched in early August, this year, and will be open to the public from 8am to 12 noon inside Olympic Stadium, Sangkat Olympic. According an interview with CTN, Mr. Kem Oeun, founder and director of the Cambodia Japan Cooperation Center and the President of the Association of Trade and Investment Cambodia – Japan, said that “Sun Fair Market will be full of used and secondhand goods. By sharing and selling these home goods these can then be reused. It is a common thing in other countries, but it is the first ever in the Kingdom.”Kem continues, “The location for our sales are very good, inside Olympic stadium, and the selling will start from 8 am to 12 pm every Sunday. We hope each market day will bring big crowds to Olympic stadium.”He added that, “this is the Japanese culture concept called ‘Mottaina’ - passing on things which we no longer use or do not need to others who need them, and saving the environmental damage of just throwing the used things away.”Ms. So Chanleakhena, fresh-graduate from Korea and currently working in private company in Phnom Penh, “Yes, I’m extremely excited about this project. For one thing, Sun Fair Flea Market is a way to get rid of things I am not using in a really useful way, either financially or emotionally - and by emotionally I mean, giving them to people in need. My house and room will undoubtedly become more spacious and tidy.”“‘Kill two birds with one stone’ is a suitable expression for this, I guess. Also, this can be seen as a chance for Khmer people to start socializing, understanding and helping each other. I’m pretty sure that the project could evoke our beautiful and priceless ‘culture of helping’, which we used to possess.”Sun Sinett, designer and private company staff in Phnom Penh, agreed with this concept: “When you buy from the fair flea market you’re not helping the big business to get richer and bigger.”“Instead,” continued Sun, “You’re helping your community and saving the world’s resources by recycling! It could be a gathering that you can enjoy networking with neighbors and friends.”According to the Facebook page of Sun Fair market, the profits derived from operations will be distributed to Olympic stadium, 25%, Foundation Leng, 25%, 5% to the Kantha Bopha Hospital and 5% for the Sunrise Japanese Hospital. The remaining 40% will be given to operating personnel.

The Kingdom of Cambodia uses the Cambodian Riel as its primary currency and, unofficially, the U.S. dollar as its secondary.But this may soon change as the tourism ministry urges businesses to facilitate and allow the use of the Chinese Yuan for transactions as part of their “China Ready” plan. This encouragement comes not long after the news that around 2 million tourists from China will make their way annually to Cambodia by 2020.Having close diplomatic and historic relations with the country, Chinese citizens and tourists feel as if they’re right at home when they visit Cambodia because many Khmer people also know how to speak the Chinese language. But this move addresses more concerns than just goodwill between the two countries. Owners from various businesses have a fear of financial losses as a result of fake currencies and the fluctuating exchange rates, according to a recent Cambodia Daily report.Renaud Fichet, co-owner of the Abacus Garden Restaurant and Bar, says that “as long as they come to the place,” he’s fine with trying accepting the Yuan currency. Others aren’t as forgiving of the idea. Penh, says Khemmara Niza, Manager of the Sentosa Silk Shop in Phnom that this may just cause an issue of redundancy. Already seeing trouble with determining fake U.S. money, she says that accepting the Yuan currency may produce the same issue because local staff will not be able to determine its authenticity. She adds, “We don’t really know about Yuan money.”Anthony Galliano, ceo of Cambodian Investment Management, said that, “The government’s “China Ready” initiative makes sense as it addresses the fact that Chinese tourism is the fastest growing and likely to be the number one tourist inflow market for Cambodia.” Yet, Galliano disagrees with the recent encouragement from the ministry: “While encouraging the hospitality industry to accept the Yuan as payment simplifies financial transactions for Chinese tourists, it unfortunately complicates them and heightens risks for the recipient of the Chinese currency. In addition to assuming exchange rates risk, being able to properly identify counterfeit notes, and having to agree rates with generally financially shrewd visitors, the Yuan is not a freely convertible currency and is unlikely to be so in the near future.”Concerns of exchange rates which may lead to losses have also been brought up as a possible result of this.An unnamed local bank manager noted that, “maybe we should be encouraging local merchants to use point of service (POS) digital devices instead - that way, we don’t need to use cash at all of any currency – that would be a better solution to attracting more tourists.”For now though, accepting Yuan is still just an encouragement from the Government. Businesses are still free to choose whether or not they will take a risk or take the plunge and embrace this suggestion.

July 28, 2016 - Phnom Penh, Cambodia Officials have announced that they will be introducing a new category of visa for foreign retirees in Cambodia which will be called “Category ER Visa”. According to the director of the General Department of Immigration, Major General Veasna, this ER Visa entails a minor change in requirements where foreign retirees will have to present documentation from their home country that will prove their financial stability and capacity to live overseas during the duration of their stay. It’s important to note that expatriate retirees already on the “Class E” or business visa will not be required to change their visa type or apply for a new one, but they will be given an option too. Retirees currently residing in Cambodia appear to have no objections to it as well. One retiree, 49-year-old Bruce from Queensland, Australia, currently residing near Wat Phnom, says that this ER Visa is a welcome change, however “most expats staying here will not switch to a retiree Visa unless they have no choice but to do so.” This is probably because business visas have been beneficial because of the lack of enforcement. Many retirees on a business visa have been able to stay for longer periods through a visa renewal every year without actually being employed or owning any business entity in Cambodia.Read more about Retirement Visa in Cambodia here with our comprehensive guideClick Here

The Province of Preah Sihanouk (aka Sihanoukville) is one of the three major economic poles in Cambodia. Sihanoukville is recognized for its numerous valuable resources, including offshore oil reserves, and its strong economic development in the commercial, industrial and agricultural sectors. It is also showing huge potential as a coastal tourism destination: According to Chhit Sengnguon, vice governor of Sihanouk province, there were over 1.3 million tourists who visited Sihanoukville during 2016’s first five months, an increase of around 16 percent compared to 2015. Read full article: “Sihanoukville Property Development Rising Alongside Tourism Boom” According to a recent BayonTV report, in the presentation of the new investment project to the provincial government on 25th July, Mr. Christoph Forsinetti, CEO of KC JSM Services Ltd. said that, “Having seen the potential tourism market in Sihanoukville, the international investment company, KC JSM Services Ltd, has decided to invest in a multi-development project resort along the beach of SES SAR (known in english as White Horse Beach), nearby the Sihanoukville Autonomous Port. And the project will start construction in October of this year.” According to IBC Cambodia, KC JSM Services is a property development company focusing on property development at all stages, from concept design and master planning to property management. Since 2012, the company has worked closely with the Royal Government of Cambodia in relation to policy for the development of the coastal areas of Cambodia, in accordance with the “Industrial Development Policy 2015 – 2025”. “This multi-development project is located in village 3, sangkat 3, of Sihanoukville City; and the new development will occupy almost 60,000 square meters of land area, with a total investment cost of around 119 million dollars,” Forsinetti confirmed. He stated that his company has spent 4 years accessing the environment impact and other potential problems of the planned project before confirming their investment in Sihanoukville, and has provided suitable solutions for all circumstances moving forward. In total, the development will require approximately 2 years to complete all necessary infrastructure. KC JSM Services will offer not only tourism services, says Forsinetti, but also employment opportunities for around 3000 local workers, paying a minimum salary of $200 per month. In regards to this new investment in Sihanoukville, Mr. Van Chanthorn, the CEO TownCity Real Estate, said that there are many big projects underway in Sihanoukville currently, such as the Camhomes project, D’Seaview, and maybe a new airport project underway soon. “This ongoing investment in Sihanoukville will naturally bring more people to live there,” says Chanthorn, “and the price of real estate will also increase in the coming years.” He added that, “This new project, white horse resort, is a very good investment in Sihanoukville because it will bring multiple benefits; One benefit is a direct advantage and another is an indirect advantage.” He explains that this new tourism venture will provide direct benefits to the people of Sihanoukville province in terms of employment and income opportunities. Meanwhile, its will benefit the province indirectly, as the flow-on-effect shall be more investment in Sihanoukville as the tourism industry continues to increase. Chanthorn says, “More visitors are coming to visit Sihanoukville to stay at resorts like this, and these visitors may also consider investment in Sihanoukville real estate in the future.” But Mr. Den Sakal, CEO of Universal Real Estate, a realtor based in the province, stated that this is a very high-end project, and hence it will not benefit the local people because of the very high price of admission. “The purpose of this project is for high-class families and foreigners only,” says Sakal. “The announcements of projects like this focus on the positive benefits of investment in Sihanoukville and dreamy ideals; but the reality in Sihanoukville does not equate to these grand proclamations. Some major development projects in Sihanoukville have become ghost town’s already, and there is a risk that others will too.”   Sakal added that, “in 2015 there was huge investment in Sihanoukville in terms of condo projects, villas and hotels. And at this time, there was still a large demand in the market. However, while investment continues in 2016, many projects now remain empty because of an oversupply in the market after the 2015 boom, and now there is low demand amid buyers.” Despite his pessimism regarding demand for very high-end projects such as the White Horse Beach development, Den mentions that the demand in the real estate market in Sihanoukville does seem to be picking up again generally in the second half of 2016. Images sourced from: www.thekingstrip.com Learn more about Sihanoukville as a real estate destination, and other great insights in our comprehensive investor guides NOW!

The Cambodia Constructors Association (CCA) will soon go on a study tour to meet with the Building Construction Authority (BCA) of Singapore, to visit and learn more about the Building Information Modeling (BIM) on 7th to the 9th of September, 2016. Interested companies may register with the CCA secretariat no later than 20th of August 2016.Proposed Program Itinerary - 8 September 2016 (Thursday):If you or your company interested in joining this tour with the Cambodia Constructors Association (CCA), please contact us Mr. Vutha today on Tel: (855) 60 888 944 | 10 94 76 40 or Email: vuthatim01@gmail.com

The Pokemon augmented-reality smartphone app has become an online phenomenon the world over. It has caused half the world to stop what they are doing and chase mythical creatures on their smartphones, with crazy outcomes... It has led to car crashes, huge public gatherings, trespassing, accidental deaths and even robberies. But lately, it has also influenced the real estate market. Some players are even believing that the sighting of a pokemon might just increase the value of their property for sale or the leasing rate for their apartment for rent…According to a CNBC News report, US real estate agent Jay Glazer, listing a property near Manhattan's Washington Square Park, included in his advertisement for the property that, "I'm fairly certain there is a PIKACHU at this open house, don't miss it." According to News.com.au, Realestate.com.au, Australia’s largest property portal, has also been struck with Poke-fever, with listing descriptions such as this: “Just across the road is a huge park with sporting facilities — and we’ve even spotted some rare Pokemon!” for a property listing in Townsville’s Cranbrook.A two-bed apartment for rent at Playfield Street in Brisbane’s Chermside is said to have an “easy five-minute walk to the busway” and “close by to Marchant Park — Pokemon Go Central”, claims the agent.And according to an atlasobscura.com report, Craigslisters around the world have also begun using their relative proximity to Pokemon “gyms” and “PokéStops” as a marketing message to catch potential new roommates. For example, a couple from San Francisco have an available apartment for rent near an "awesome Pokemon spawn area!", while a Cincinnati property "has pokestops in range."How long until an apartment for rent within the radius of Pokemon stops and gyms command higher rental prices than those without? It seems this crazy question may actually soon be a reality is some of the world's real estate markets under the trance of the new Pokemon Go phenomenon.Rob Levy from Re/Max in Townsville, Australia, notes that, “Especially among the under-35 first home buyers market, yes... When you have 300 identical houses to choose from, why wouldn’t you choose one near a PokeStop?”Will Cambodia be next to fall under the Pokemon spell? If it is, find out what Pokemon are hiding away in your home and you might just get a better price when it comes time to put it on the market...

The Realestate.com.kh team caught up with Joe Phelan, Head of Personal financial Services at Hong Leong Bank Cambodia, to learn more about Hong Leong Bank’s home loaning criteria and incentives.What are Hong Leong’s criteria for new home loans and home loaners? “You need to have a minimum income level of US$10,000 per annum and hard title collateral. This collateral can either be the property you are looking to buy or an existing property that either you or your direct family member currently owns. The property can also be either residential or a mix of residential and commercial, and we can lend up to 70% of this property value.” Apply for a home loan with Hong Leong NOW!Who can borrow from Hong Leong Cambodia?“Any local or foreigner with a permanent and consistent income stream in Cambodia, whether it be from salary, your own business or property rental income.”What are the lending limits for Hong Leong Cambodia home loans?“The minimum criteria is $10,000 for Home Equity Loans and $20,000 for all other mortgage products - and there is no maximum limit.”What other services does Hong Leong provide for home buyers?“We provide our free internet banking service and soon to be free mobile banking app as well,” notes Phelan, “so you can keep a close eye on your finances whenever and wherever you like, including your home loans. On top of this, you may automatically qualify for our Priority Banking package which also brings numerous free and discounted lifestyle benefits like golf, brunches at 5 star hotels, spa treatment and much more.”What other types of loans are available at Hong Leong Cambodia?“Our mortgage products are home loan, home equity loan, home investment loan and commercial property loan. Other than this, at the moment we have a full suite of business loans to cater for our business customers.”There are many Banks in Cambodia - Why choose Hong Leong Bank?“Our customer experience,” says Phelan, “we believe we have the most experienced mortgage lenders in the market that will be able to support your, ‘for some’, once in a lifetime dream home purchase. It is a big decision in anyone’s life to purchase a home, and we can make this process as easy and smooth as possible, ensuring we have provided the best financial solution for you.”Strong footprint in Asia. Formed over 100 years ago in Asia, the bank has a number of subsidiaries in Malaysia, Singapore, Vietnam, Hong Kong and China. You can trust Hong Leong bank.The right staff with a personalised focus. “This is the key to our success”, says Joe Phelan, Head of Personal Financial Services at Hong Leong Bank, “We believe we have the right senior staff who are dedicated to service and know how to satisfy their customer’s needs. Our priority account managers know their customers 100%”.Tailored financial products for SMEs. “Consumer is king and we need to look after business owners. We have a focus on SMEs to help you to grow your wealth,” says Phelan.Digital banking “With our user-friendly mobile app to be launched soon to complement our existing Internet Banking platform, we will be able to offer the best digital banking service to our priority customers in Cambodia.with a simple user-interface, more functions and ecommerce capabilities”.   Take your banking to the next level with Hong Leong Bank.Inquire today to find out more!

Cambodia, despite a turbulent modern history, is now respected as one of the most dynamic emerging markets in Southeast Asia. Along with this improvement in its economic stability, many expats who have families and children are also moving into properties in the country.Fortunately for them, the heightened sense of economic importance has also paved the way for the education sector to restructure and enforce new standards of quality. According to the World Bank’s census, the rate for net admission for primary school rose from 81 percent to 95.3 percent in 2014 in Cambodia. But higher education and universities in Cambodia aren’t so far behind in growth either, having thousands of people graduating each year from over 162 institutions.However, expatriates – just like in any other country – should still be careful to consider different factors before enrolling their children in any school. So, here are a few things you might want to consider first before choosing which place to send your kids.Location: There are plenty of international schools in Cambodia, but international schools in Cambodia are more focused on the Phnom Penh area because this is where a large concentration of expatriates are located. But there are also a couple of international schools in other parts of the country that you can take a look at if you’re establishing your temporary home outside the capital, such as the International School of Siem Reap and the Ecole Française de Sihanoukville. It’s important to choose the right school with an accessible location so that children will find it convenient to come to and from your home, given that Phnom Penh can experiences some serious congestion around peak travel times. It also helps in terms of attending school gatherings where parents are required to go.Future-proofing: It’s important to note that public schooling in Cambodia is not something that’s offered to expat students. This is why you’ll see most of expat children going to international schools. But before choosing International schools in Cambodia, you may have to carefully plan out the next few months or years of your life first. It would be helpful to know whether or not you’ll be staying for long and where you’ll be moving to in the near future, because different schools will offer varying curriculums. Some of them might not be accepted in other countries you plan on calling your next home. So, if your family is thinking of moving to Canada or a place with a similar educational system, the Canadian International School has adopted the Canadian K-9 Curriculum in English which is approved and regulated by the province of Alberta to make sure that the school maintains the quality that is consistent to the education given in Canada. Northbridge International School, iCAN British International School and the International School of Phnom Penh (ISPP) are some other Phnom Penh institutions that import international standards of teaching and offer universally accredited qualifications. By ensuring that your child undergoes a curriculum that is compatible with the next country you’ll be travelling to, you’ll make transitions much easier and you’ll also avoid getting into complications such as repeating grade levels. This is also applicable for expatriate secondary students who are thinking of attending universities around the world.Qualifications and Credentials: Some institutions will claim international status but will not have the resources and facilities to prove it. So, taking your time and asking officials from schools should be a vital part in your decision-making process. This way, you can see the facilities and safety standards and also interview them about the experience and background of their teachers. Because international schools in Cambodia are mostly home to children of different cultures, one thing you can look for is a school that has teachers with the necessary experience to lead a multicultural class. On top of checking the school’s physical infrastructure, do a bit of online research and see if the school’s been accredited by any international regulating bodies. An example would be the Northbridge International School which has the Western Association of Schools and Colleges international accreditation.Skills Training: The iCAN British International School is one of the more popular international schools in Cambodia as well because it offers something that’s also essential for children’s growth. More than the academic aspect, they also focus on integrating skills development through their Early Years and Foundation Stage program where students are able to enhance their skills inside and outside their classrooms. Expatriates will find this as an attractive quality because it offers their children something to do while they’re in another country. At this point, they not only develop skills but also friends that will have the same interests as them. Cost: Cost is a vague topic with international schools in Cambodia as tuition fees for different institutions differ widely. Application fees, enrollment fees and capital fees may also vary. These can be attributed to many factors such as facilities, curriculum, miscellaneous charges, quality of education and the competence of its staff. There are schools out there such as Footprints International School which offers great quality but inexpensive schooling for expatriate students up until the 10th grade but may have a different curriculum than what your children may need. So, while institutions that charge more may give you the best education and curriculum, it is important to note that there are inexpensive alternatives that you can consider as well. However, for universally accredited schools you can expect yearly tuition fees anywhere from $5000 per year, up to $30,000.Requirements and Inclusions: In terms of cost, it’s also important to check out what you get in return for the tuition you pay. Some schools offer just the facilities but not resources like textbooks, while others may offer resources but not facilities such as a computer laboratory. A good example would be the International School of Phnom Penh (ISPP) which has a “Bring Your Own MacBook” policy which requires students in the 6th to 11th grade to have their own MacBook. Since “ISPP is a non-profit parent-owned association and relies almost completely on fee income to assure sufficient resources for the school's operation,” there are certain expenses that parents would have to shoulder. These are just a few basic things you need to look at during your decision-making process, but there are other things you can add to the mix to help you narrow the list down even further. Take your time, and make sure you choose the best school for your children’s needs.Learn more about living in Phnom Penh trhough Realestate.com.kh now!

Recently, Century 21 Cambodia released it’s Condominium Market Report H1 2016 in Phnom Penh at the Raffles Le Royal Hotel.The release was well attended by various partners, investors, and Century 21 agency managers from across the nation. In the speech of Mr. Kuy Vat, Chairman of Century 21 Cambodia, he mentioned his appreciation of Realestate.com.kh and offered thanks for Realestate.com.kh’s cooperation with Century 21 Cambodia, and the development of the real estate sector in Cambodia generally.“It is with pleasure that Century 21 Cambodia work closely with Realestate.com.kh,” said Vat. He added that, “I think that Realestate.com.kh has become a renowned company in Cambodia. As this company has grown, they have played a very important role in the development of Cambodia, especially within the property market realm.”He also mentioned that in order to have the Cambodian property market continuing its strong growth, stakeholders in the market should partner to develop the industry together for the good of all, whether they are developers, constructors, real estate agencies or media companies. “For instance, Realestate.com.kh is an online marketing company which works to advertise property inside Cambodia on behalf of agents and developers. But, Realestate.com.kh also has a very comprehensive marketing reach outside of Cambodia,” said Vat.“Innovation like this will significantly help our country in promoting our real estate market to foreign investors,” says Vat.Century 21 Cambodia is the exclusive holder of the Century 21 Trademark & Systems in Cambodia and oversees all Century 21 franchise offices across the Kingdom. Realestate.com.kh is the official property portal partner of Century 21 Cambodia, and has actively cooperated and supported Century 21 Cambodia in bringing the Cambodian real estate sector to a wider international market. By doing so, Realestate.com.kh has increased the exposure of Cambodian property to investors across Cambodia and the world. And nowadays, Century 21 Cambodia is working and very hard to develop international networks of investors and agencies in order to take the Cambodian property market to the center of the world stage.Century 21 Global is present in over 78 countries worldwide, and Century 21 Cambodia are currently leveraging these connections to bring new investment opportunities and new investors to the Cambodian market. Vat believes that with strong connections between all stakeholders in the real estate sector, together we can support the long term development of this market.He also believes that development companies with long-term interests in Cambodia will only survive when they work with strong and innovative real estate agencies. “Success may not happen overnight, but if we partner with the right companies it is a matter of time before our real estate industry is very successful,” concluded Vat. Check out more videos about the Century 21 Condo Report from Mr Chrek Soknim, CEO of Century 21 Mekong and Mr Seraj Sutton, Director of Global Strategic Business Development at Century21 Cambodia.

Today we are at the “TK Royal One” showroom on Russian Boulevard with Mr Chenyi Chiu, General Manager at TC Royal Manor Asset Management. We will learn more about this exciting project.Tell me about the location:TK Royal One is located in the prime location of Phnom Penh city center right on the National Russian Blvd in front of the Royal University of Phnom Penh. In the center of Toul Kork district, TK Royal One is surrounded by various facilities, retail shops, financial institution, schools, hospitals and government agencies which really offer very convenient lifestyle for foreigner and local people. Who is this development for? What sort of buyers?TK Royal One is a class A mixed-use commercial and residential high-rise building in downtown Phnom Penh. The development targets not only the international investors but also local Cambodian who are looking for the modern work and life style with safety and privacy.Talk me through the main features, why should a new home buyer consider this development?TK Royal One is designed with a mixed-use concept with 4 stories of office units, 14 stories of residential units, 4 stories of plenty basement car parking and more than 2000m2 of common facilities including swimming pool, fitness center and hotel like reception lounge. This rarely seen building in the downtown center provides not only the convenient modern lifestyle but also provides the excellent safety and privacy feature for the home owners who.What is the quality of the builder, architect, finishes?TK Royal One was developed, designed, constructed and managed by a group of experienced global team from Taiwan, France, American and Korea. The construction of TK Royal One follows the international standard in terms of structure, fire fighting, mechanical & electrical system and construction safety. Besides that the exterior and interior finishes is designed with modern serviced apartment concept. What types of units are available, at what price ranges?There are only 3 types of residential units available with luxury 2 bedrooms, standard 2 bedrooms and elegant one bedroom ranging from 60m2 to 128m2 starting from $190K per unit.What investment potential is there?Investment in Cambodia is currently at right timing under its fast GDP growing period. With the fast growing foreign direct investment (FDI) from global investors, the Capital Phnom Penh is now transforming into a modern city which will have high demand of modern high-rise building. TK Royal One offers right for the demand for local and international investors.How are the sales to date?Right after our sale launched in March, 2015, within 3 months, all our office units were sold out. And up to now, our residential units only standard 2 bedrooms are still available. We have proved to the market that our project has gained the trust and reputation from the international investors and local buyers. What is the one question I should have asked you about this development that I haven’t?Why the building with international grade is so valuable to TK Royal One and the high-rise building market in Phnom Penh?Although the high-rise building market just get started since 2010, the increasing population from overseas and local in Phnom Penh has created the high demand in the high-rise building market. However, there are very rare high-rise building currently available in the Phnom Penh meeting the international grade and standard. The high-rise building with international grade and standard not only defines the future value of the building but also offers the real safety to the homeowners or tenants. TK Royal One is the now leading project in Phnom Penh which truly offers the international grade features. With this, TK Royal One has established a great model and example for bringing the Cambodia high-rise building market sector to the next level.Thanks for joining us, and check out the full listing on Realestate.com.kh today.

Having received a recommendation from H.E. Chea Sophara, Minister of Land Management, Urban Planning and Construction, the Cambodia Constructors Association (CCA) in collaboration with the Ministry of Urban Planning and Construction will pioneer a regional tour study in order to learn and gather more experience from neighboring countries, such as Thailand and Vietnam, regarding construction worker rules and regulation, on-site safety standards, site management and security. The intention is to learn from experience and raise the market standards in Cambodia.The purpose of this visit is as follows: 1. A study tour by bus, which will be attended by the managers, supervisors, engineers and designersof active construction and real estate companies in Cambodia. The mission is to observe and monitor new technology, and construction and site management in the Cambodian provinces bordering Vietnam and Thailand. 2. To get experience and exchange ideas about the construction sector between private and public institutions, from Cambodia and neighboring countries, with follow up meetings every 3 months to track progress. Participating members can pick up knowledge on different subjects or technical challenges associated with construction using new technology. The experience of each company that is shared during this tour and following meetings will contribute to the development of the country's construction sector, and ultimately allow it to become more abundant and sustainable into the next years. It should also benefit the well-being of those who work in this industry, whether management or construction worker on site. If you or your company interested in joining this tour, please contact us Mr. Vutha today on Tel: (855) 60 888 944 | 10 94 76 40 or Email: vuthatim01@gmail.com

Realestate.com.kh caught up with Mr George Kachmazov, founder and managing partner of Tranio.com, an online overseas property start-up. Kachmazov is a respected real estate and investment expert, as well as a keynote speaker at many national and international property conferences, and regularly contributes to print and online media with insight on real estate trends and advice for first-time investors. We know there is a large population of Russians in Cambodia. Are Russian's interested in the Cambodian property market now? If not yet, what might be attractive about Cambodia for property investment for Russian buyers? It’s true that there are many Russians who spend winter seasons in Southern Asian countries, including Cambodia, Thailand and Vietnam. Many of them rent out their Russian apartments and rent homes in Asia. We have had enquiries for apartments and townhouses in Sihanoukville in 2013–2014, but demand on Cambodian real estate is very low compared to other countries.There are several things that might be attractive about Cambodian property: low taxes, low prices, relaxed lifestyle, friendly people, new experiences. There are Russians who see drawbacks, though: lower market transparency (compared to Europe) and Cambodian property ownership restrictions for foreigners (they are not allowed to own land).What other ASEAN regional countries are attracting attention from Russians? We see interest in Thailand and Vietnam. In the whole, ASEAN countries are more popular among far-eastern residents of Russia because of the distances. For example, our research shows that people from the Vladivostok region (east of Russia) are three times more interested in Thai property than Muscovites who prefer to buy property and spend holidays mainly in Europe because it’s closer. How can a Cambodian property seller make their property more attractive to potential Russian buyers? what features are they particularly interested in? what terms of sale etc?Be trustworthy and convincing. Russians are often skeptical and ask for substantial facts and proofs. They tend to be in doubt: “Why should I work with this seller? Should I purchase this property or wait until I find something better?” This often results in prolonged or delayed transactions. Also a Cambodian property seller needs to be open and transparent, because Russians are afraid of scams. If you sell residential property for buyer’s own use, sell lifestyle and emphasise aspirational features of a property and location. Unlike many Westerners, Russian buyers tend to buy more on emotion and less on price. As for features, Russian lifestyle buyers prefer houses and apartments in a close proximity to beaches, and sea view may be demanded. Do support and advice at all stages.   What are the most popular locations for Russian investing overseas?Judging by the number of enquiries on Tranio.com in Q1 2016, the most popular countries are Spain, Germany, Italy, Montenegro, Czech Republic, Finland, Austria, Hungary, France and Slovenia. Spain has maintained absolute leadership during the last several years, and buyers stay attracted by relatively cheap property (prices dropped by 40% in seven years), sea and warm climate. Germany, strongly placed as number two, is preferred by those of our clients who want to invest in rental real estate, diversify investment and protect capital from Russian risks. What type of properties are they Russians usually seeking abroad? A big proportion of clients buy apartments by the sea for their own use – either to spend holidays overseas or to move permanently. This kind of buyers are active in Spain, Italy, Montenegro, France and Turkey. Since 2014, we are working closely with clients who want to invest in real estate rather than spend money on holiday villas and flats. This kind of buyers tend to purchase residential property to rent it out (according to our research conducted in 2015, 63% of respondents in commercial property market choose rental apartments). Mini-hotels are also popular (21% of respondents), as well as rental blocks of flats (16%).What are some facts and figures on total outward investment in property by Russians?Investment into overseas property was gaining in popularity since early 2000s. 2012–2013 showed a considerable increase in the number of Russian-speaking clients. In many countries, including Spain, Bulgaria, Latvia, Turkey and Montenegro, Russians took leading positions in the residential property market. But after 2014, when the ruble had plummeted, investment volumes decreased dramatically. In 2012–2013 Russians invested in property overseas more than 400 thousand dollars every three months, and in 2014–2015 about half as much. According to the Russian Central Bank the volume of transfers was down 30% year-on-year, checking in at just 199 million dollars, compared to 281 million dollars in Q1 2015 and 484 million in Q1 2014.Not only is the investment volume is shrinking, but so are buyer budgets. On the other hand, we have noticed a growing demand on investment property, particularly in terms of income-generating buy-to-let residential and commercial premises. Also our clients become more and more interested in development projects.What are the key motivating factors for outward real estate investment for Russian buyers?Five-six years ago, Russians were motivated by a “superplus” of money, they had enough liquidity to invest into seaside resort villas and enjoy European lifestyle. Between early 2014 and May 2016, the US dollar rose against the Russian ruble by over 80%. So, property overseas became much more expensive for people who earn income in rubles. The main motivations for Russian buyers now are extremely low mortgage rates in Europe and opportunities to invest money into safe, low-risk markets. Why is online marketing so important for international property buyers?According to National Association of Realtors of the US, three quarters of buyers start searching for property by looking at Internet listings. Word of mouth simply isn’t enough, every real estate company has a website, and it’s essential to promote it and raise its visibility in search engines so that potential buyers would be able to find it among thousands of other sites. Since 2014, we’re promoting the English version of our website, Tranio.com. Today at least 5% of our audience are clients from Europe, Asia, America and the Middle East, and their share is constantly growing.Tell us more about Tranio: Tranio is an international real estate broker. We help our clients buy and rent property directly from foreign agencies and developers without extra charges and unnecessary intermediaries. We are not just a real estate website because we provide support and advice at all stages of selecting and buying a property, and we are not a traditional real estate agency either, because we have about 500 partners all around the world, and we do not favour any particular agency or developer at the expense of the others. Also we publish news and reports on property overseas and give an expert advice. In 2013–2016, we closed 500 deals. How long has Tranio been around? What inspired it? We’ve been on the market for six years. After my family had bought a second home in Croatia in 2010, I had an idea to create a real estate business. I saw potential in this segment, as there were many clients, a lot of interesting products, and low competition in Russia compared to the vast market capacity. We started to design and develop the website in 2010, and launched the full working version in March 2011. At first, we planned to monetize the website the same way most real estate sites do — by selling advertising and paid listings. But very soon we disliked the idea because abundant advertising always makes a website less user-friendly and lowers its quality. In 2012, we changed the mode of monetization and became a mix of Internet portal and real estate agency. We were selling second homes by the sea and helping people spend their money on lifestyle. In 2014, we launched the English version of our website, started working with international clients and sell buy-to-let commercial property. The change in business strategy helped us not only survive the crisis but also rise sales volumes despite decreasing demand on real estate overseas. As the crisis hit the Russian market in 2014–2015, we changed our strategy once more. We saw investors rising their yield expectations as yields were falling gradually in every European country due to high demand and relatively low construction volumes. We understood that the only way to earn money in today’s market is to invest it into projects of added value, namely into redevelopment and renovation projects, and we started to offer them in 2016. Our next goal is to create our own redevelopment project. We are planning to find investors, purchase a multifamily building in Spain, renovate it, create micro-apartments and sell them to end users who will either use units themselves or rent them out. At the same time, we will go on expanding the share of international property buyers in order to protect our business from Russian risks. Some other articles George has recently contributed to: Five reasons why guaranteed high yields don’t exist ; Russian crisis breeds a mature generation of property investors ; How property plays a role in balanced pension investments ; Buy-to-let investments in Germany are a boon for small budgets ; Risks: macro and micro pitfalls in property investment strategies ; Overseas Investors: Tricks To Financing Your Property Investment In Europe

CBRE Cambodia’s recently released report outlines the details of the changes that Phnom Penh experienced throughout the 1st quarter of 2016. The report includes data and analysis gathered from the increasing activity in the land, condominium, office, retail, and serviced apartment markets.Phnom Penh Land Q1 2016Despite a bleak outlook on land prices which is expected to decrease by the end of the year, the land price index has shown a significant increase during the first part of the year all throughout principal districts. Land prices have gone up by an average of 4.8 percent during this time as well. The report also notes that prices in areas like the 7 Makara and the Chroy Changvar districts saw a quarter on quarter increase of up to around 8.3 percent to 8.8 percent. This may or may not be a good thing, depending on which part of the transaction you’re on. This is good for current investors who saw a high return of investment. But this may be an opportunity for future investors to shift their focus to the outskirts of the capital city.Phnom Penh Condominium Q1 2016According to the report, there were 8 projects that were announced at the beginning of this year which ushered in a total of 4,158 additional condo units. This is a staggering 61.6 percent year on year increase. As a result, the average sales prices for condo units across all unit types went up by 4.1 percent.Off-plan prices for high-end units, on the other hand, grew a steady 5.7 percent where Chamkarmon took the lead and contributed 2,900 units or 70 percent of the off-plan condominium sales.Based on the figures as well, a number of newer high-end and middle class condominium unit supply will be from international developers, where China and Taiwan are the frontrunners.Phnom Penh Office Q1 2016While the condominium market saw much of an improvement this past 1st quarter, the office market hit quite a few roadblocks. This caused occupancy rates to diminish by 1.5 percent, despite the construction of 3 new office buildings with a leasable space of 17,260 sqm.But it wasn’t all bad as both Grade B and Grade C office rents rose up to 1.3 percent and 2.6 percent, respectively. In addition to this, the quoted rental prices for Grade A office properties remained stable at $28 per square meter.Taking all these into consideration, as it stands now, the total officespace occupancy rate in Phnom Penh is at  74.4 percent.It’s not all doom and gloom for the office market though as 5 office projects will be available for investors in the near future through the use of strata titles or long-term leases.Construction for these projects started during the early months of 2016 wherein each development had launched off-plan sales during 2015.They’re expected to contribute a net space that’s estimated around 84,000 sqm by 2019. The average asking price stands at an average of $3,475 per square meter where Grade B spaces will take a projected 64 percent of the future office space supply.Phnom Penh Retail Q1 2016While there were a series of activities that showed activity in different real estate markets, retail showed little to none.It remained relatively stable during the 1st quarter but is expected to change in the months to come. One important event to note though is that the Sorya Shopping Center announced a renovation and rebranding project that will relaunch it as the “Sorya Center Point”.Starting off a bit slow this year, the retail supply in Phnom Penh is expected to pick up and grow significantly before 2018 ends. This will be the effect of “a combination of new international shopping complexes and significant retail components within predominantly residential and mixed-used schemes.”One of these is the Parkson Phnom Penh City Center which is set to launch any time during the 4th quarter of 2016.The Parkson Phnom Penh. City Center will have 57,000 sqm of leasable space, alongside Hong Kong Land’s Exchange Square which will have a total of 8,000 sqm of leasable retail space before the 2st quarter of 2017 end.Rents, on the other hand, remained consistent all throughout the 1st quarter, except with rents from purpose built retail malls. This saw a fall amounting to 1.6 percent. Unlike the retail supply, this trend is set to continue as requirement reviews are being done by retailers in terms of pending developments that are set to be delivered within the next 12 months.This will most likely be affected by international brands seeking prime retail locations for different uses. Among the top uses is the Financial and Professional Services which occupies around 9.2 percent of prime mall space and 33.2 percent of prime high-street. Food and beverage doesn’t fall behind which accounts for 14.2 percent of high-street retail spaces and 25 percent of retail malls.The report states that “2016 is set to welcome a wave of new international brands, with active requirements for both prime shopping mall and high-street locations driven principally by Food and Beverage/ Fashion and Accessories retailers.”Phnom Penh Serviced Apartment Q1 2016In contrast to the other markets, it seems as though service apartments had been luckier with an increase in supply that spurred by around 5.6 percent in the first quarter alone.According to the report, a huge factor for this is because of the Grade C serviced apartments coming up to 4,645 units with a recent addition of 246 similar projects. This may be the reason why it is the most prominent Grade type in Cambodia, making up a rough estimate of 71.6 percent of all units, in contrast to Grade A and B serviced apartments that only account for 19.9 percent and 8.5 percent of the units, respectively.This is probably why prime serviced apartment rents remained stable during the 1st quarter where rental rates ranged from $500 per month for a one-bedroom Grade B apartment to $8,000 per month for one of the higher end penthouse units. This is not far from prices during previous months and quarters.This stability also contributes 85.6 percent of the occupancy rate where the majority of the capital’s current serviced apartment supply is located.The report aims to provide insight for investors and developers in order to gauge whether or not to proceed with their potential or ongoing transactions. In the end, it is important to look at this data to form informed decisions and make calculated risks.Check out all listings from CBRE