By Kong Soriya
Phnom Penh: Unlike a few years ago, when talking about the condominium sector, people often think of the central area, such as Boeung Keng Kang district, Daun Penh and 7 Makara, but now the condo market has shifted to the northern part of the city as, for example, Sen Sok district is active in many projects.
The president of the Global Real Estate Association, Sam Sok Noeun, said by telephone recently that the mid-range condominium market starts to see increasing demand, with a large number of Cambodian customers.
“The growing demand for the condominium market is due to a number of factors, including an understanding of the modernization of modern living, population growth in Phnom Penh, especially traffic congestion,” he said. “In addition, there is also the contribution of real estate trading for profit.”
In particular, in relation to the current trend of investment and development of condominium construction in Sen Sok district, it is stated that the price of land in the central city has risen to a certain level, so developers often study the location that has specific needs, especially the factor that land prices that could give profit to their investment.
He said the price of land in the central city has risen to $8,000 per square meter in some areas, which was not conducive to investment and development of mid-range condominiums. On the other hand, the price of land that can provide a profitable opportunity to invest in this type of condo is in the range of $1,000-1,500 per square meter. He added that currently in Sen Sok district has become a target area for investment and development of condominium construction, while this Sen Sok area has already passed landed property project of housing investment.
Meanwhile, Khorn Kungkea, CEO of ERA Cambodia, acknowledged the growth of the condominium market in Sen Sok district, north of Phnom Penh today.
“For the condominium market in recent times, there has been significant increases of activity, especially the mid-range condominiums, which start at $2,000 per square meter, are in high demand,” he said. “There are two types of buyers of this type of condo, firstly, those who work and have a business in the city that has a real need for living, and secondly, the real estate business to buy and invest to continue to make a profit and most of these two types of customers are locals.”
Mr. Khorn Kungkea expressed confidence that the demand for the mid-range condo market will continue, especially the actual demand from local customers, which is an important part in this sector.
By Kong Soriya