Real Estate Opportunism with Van Chanthorn on Realestate.com.khTV
Mr. Van (John) Chanthorn, CEO of Town City Real Estate, talented real estate agency owner and entrepreneur, talks with us in the Realestate.com.khTV studio about making the most of unique opportunities as they arise in the real estate investment sphere.
A great real estate investor is flexible, and moves their money with the market shifts.
In which area do you think is the hottest opportunity for property investment in Cambodia?
The potential development sites in and around Phnom Penh are now almost all ready for immediate construction for buyers looking to develop, which is a distinct change from 10 years ago when much of the pre-development infrastructure needed to be done by the buyer. But the price is much higher also.
Where to buy, however, will depend on the demand of customer - are they aiming to build a condominium, office or flat house development? Whatever they choose, they need to go to an area where the buyers are demanding these properties.
For condo buyers and developers, the best suited location would be central Phnom Penh city, because the target market are the wealthy, the inner-city workers and those demanding a higher standard of living.
In addition, offices buildings or company headquarters need to be placed on main roads such as Norodom Boulevard, Monivong Boulevard, and Kramoun Sar (114) Road. This means demand in these areas for commercial properties remains high.
In case of industrial factory investment, they should be situated at suburban areas or Special Economic Zones (SEZs), where transportation, electricity and human labor are easily accessible. The choice ranges from National Road 1 to National Road 6. But always consider the road conditions, the infrastructure surrounding and the traffic situation.
For industrial investment and warehouses located along National road 4 and road 3, and Kilometer 20-25, there a requirements across this area of the market for buyers to make a deposit 3 months before the projects even start construction. This clarifies that geography and demography play very big role in making the project successful.
The best areas for Borey project, however, says Chanthorn, relies heavily on the type of Borey you are building. For the small sized borey developments, the location should probably be in the north and south areas of Phnom Penh City, or possibly the surrounding province; whereas the large borey developments are best located in the East of the city.
Tell me about some major new developments that you are following.
Some successful condo projects in central Phnom Penh are the Bridge and the Peak mixed-use developments, being build by Oxley Worldbridge. There are also a host of exciting projects on Koh Pich / Diamond Island, such as D.I Rivera and Casa Meridian. Another hotspot for condo is BKK1 and Khan Duan Penh, which has many new developments coming online in the next two years.