CBRE Cambodia is delighted to present our Weekly Property News Round-up for March 6th, 2020.
Property Buyers Turning Their Attention to Affordable Housing
Construction Property | March 6th, 2020
Affordable housing begins to catch traction amongst middle-class citizens. The growth figures are significant and will remain healthy, according to Real Estate Market Outlook 2019 Cambodia released by CBRE Cambodia. The report mentioned that the market in 2020 will be the focused on affordable housing and high-quality commercial office developments.
Nearly 200 Factories in Cambodia Face Shutdown Due to Lacks of Raw Materials
Fresh News | March 5th, 2020
At the latest press conference held at the Council of Ministers on Thursday 5th March 2020, Heng Sour, spokesperson of the Ministry of Labor and Vocational Training, said that as of March 2020, some 200 factories in Phnom Penh are facing a shutdown. The radiate effect caused by the COVID-19 outbreak has restricted on raw material imports from China. Mr Hen Sour revealed that there are approx. 160,000 workers across all 200 potential closure factories that would eventually be unemployed. He continued that as of the 27th of February, 10 factories have already requested “The partial suspension” that would affect up to 3,000 workers.
Residential Properties Remain in High Demand, Developers Say
Khmer Times | March 6th, 2020
Housing Development Association of Cambodia (HDAC) has spoken out this week that the residential development sector is holding its market demand despite expecting high level of future supply. In 2019, Cambodia witnessed up to USD11,000 million in the investment sector, 90 per cent up compared to 2018. Lao Tipseiha, secretary of state of Land Management at the Planning and Construction Ministry said, Cambodia requires approx. 50,000 new homes annually to meet market demand. He continued that by the end of 2019, Cambodia built more than 38,488 houses and 8,331 affordable homes.
Siem Reap Governor Ordered the Demolition Unapproved-by-Law building
Construction Property | March 5th, 2020
H.E. Tea Seiha, Siem Reap Deputy Governor made an announcement on March 4th 2020 ordering all unapproved construction in Siem Reap to be demolished, even if it is at 50 per cent completed. For the buildings that were constructed between 2018 and 2019, the provincial authorities will do a quality review on the construction quality to meet the government’s standard. Such action will help secure the safety of construction workers and nearby civilians.
USD120 Million National Road 58 Put into Official Use
AKP | February 26th, 2020
The China-funded National Road 58 had its inauguration on Wednesday, February 26th 2020. The new road will play a crucial role in the economic and tourism development in the northern region of Cambodia. The 174-km road connects Poipet city to Samraong City in Oddar Meanchey Province and was built by the Shanghai Construction Group Co., Ltd. Being connected to the Thailand-Cambodia border, the road will help to boost trade and tourist volume between the two countries.
Declining Tourist Numbers Reported
Khmer Times | March 2nd, 2020
In response to the epidemic outbreak of COVID-19, the number of international tourist arrival to Cambodia is on a sharp decline, said The State Secretariat of Civil Aviation. So far, the incoming tourist volume has declined by 52 per cent compared to the same period last year, said Sin Chan Sereyvutha, spokesman for the secretariat. He continued that some 38 airlines companies have been cutting down flights in response to the lack of passengers.
Cambodian Expressway to be Completed Ahead of Time
The Star | March 4th, 2020
The Sihanoukville-Phnom Penh Expressway was reported to be at 20 per cent completion. Due to the fast pace construction progress, the project is likely to finish ahead of schedule, said the Ministry of Public Works and Transport (MPWT). The construction of the new expressway has the total budget of USD1.9 billion and will connect Phnom Penh Capital to the only deep seaport in the country. The 190km road is being constructed by the China Road and Bridge Corporation (CRBC). According to the MPWT, the new expressway will likely to be completed by September 2022, ahead of the initial deadline.