Cambodia has been seeing more and more businesses enter the country’s growing economic sphere. This comes as a result of the country’s increasing capacity to entertain an even more dynamic business structure.
Specifically, office spaces have been thriving in the property market of late and are one of the aspects that investors have taken great interest in.
Chairman of Phnom Penh BG Serviced Offices, Mr. Anthony Galliano, spoke about the current and upcoming trends for office space in Phnom Penh during a recent interview with realestate.com.kh.
Is there a need for more office space in Phnom Penh?Grade A office space in Phnom Penh:
Having an an impressive run during the first quarter of 2016, Galliano refers to the needs for specific grades of office spaces and confirms that there is a lesser demand for Grade A office properties right now. When asked about it, Galliano comments, “perhaps not A, but for certainly B and C grade, there’s demand out there” - because they are inexpensive alternatives that do not sacrifice much in terms of a company’s specific requirements.Grades B and C office space in Phnom Penh:
While both are certainly lower classifications, Grades B and C remain more popular options within Phnom Penh – especially in the central region – because of geographic factors and the availability of this grade of office space, Galliano says. He explains that “there’s certainly office space more on the outskirts of town which is cheaper, but people really prefer to be within the town.” So, prices vary greatly on location.Will the specific needs be addressed for the office space in Phnom Penh market?
Galliano is certainly optimistic for office space rentals in the coming years. As the demand rises, the supply will surely follow as well. This is also something that is held on to by Lim Pusithavrith, the leasing management officer of Vattanac Tower. Pusithavrith says that the target occupancy rate of developers for the office space market is at 80 percent, just a few more percent value away from the current 74.4 per cent. And with five more Grade B and Grade C office buildings rising soon, this target does not seem too impossible to reach and even exceed.
Investors may want to think of inquiring about possible office spaces they can rent out for additional business income, as long as these spaces are centrally located. However, shortly, they may find themselves looking at properties on the outskirts of Phnom Penh if they need to keep costs down.Find office space in Phnom Penh for rent now! Find office space in Phnom Penh for sale now!