CBRE Cambodia is delighted to present our Weekly Property News Round-up for April 10th, 2020.
No Sign of Slowing Sales of Borey Projects Despite Coronavirus
Khmer Times | April 8th, 2020
Phnom Penh landed property market reacted positively to the novel COVID-19 outbreak, according to the latest report published by CBRE Cambodia. With the comparison between Q3 2019 and Q1 2020, the average sale prices of flat houses and twin villas witnessed moderate increases of 2.1 per cent and 2.2 per cent. Link house, however, observed quoted prices growth of 2.9 per cent respectively. Notable increases can be spotted in the shophouse and villas quoted prices, recorded at 3.9 per cent and 4.3 per cent.
CDC Approves Three Major Development Projects Worth Over USD160 million
Construction Property | April 4th, 2020
The Council for the Development of Cambodia (CDC) approved three new investments, tally USD160 million in investment assets. The first project is a USD7.7 million development of a factory and manufacturing and assembling solar panels, develops by JINTEK CELLS TECHNOLOGY CO., Ltd. The second is belonged to XIGANGYIHAO INTERNATIONAL INVESTMENT CO. LTD, investing USD59.2 million to construct a 3-star hotel with 720 rooms located in Sihanoukville. The third greenlighted project is an investment of USD96.1 million of a multi-services hospital located in Phnom Penh.
Two More Pedestrian Bridge Ready Soon
AKP| April 4th, 2020
Two new pedestrian bridge projects have reached 90 per cent completion as of April 2020. The two bridges started construction on December 28th 2019 and expected to complete within 6 months. According to Mr Sam Piseth, Director of Phnom Penh Public Work and Transport Department, the two new pedestrian bridges will not only allow for more safety for student’s road-crossing but also help with the traffic congestion in the area.
Samdech Techo Continues Calling for Private Sector Rental Price Reduction
Construction Property | April 8th, 2020
Hun Sen, once again, reaching out to private sector landlords to reduce rental prices during the crisis. Said on April 7th, 2020, Mr Hun Sen directed toward retail landlords while requesting for a favour. Hun Sen also mentioned the creditors of residential sector. He urged financial institutions across the nation not to seize any debtor’s property during this crisis while applying measures such as delaying payments or repayment of interest and penalty exemption.
Condominium Projects in Phnom Penh Remain on Course
PropertyArea (KH) | April 9th, 2020
Despite trouble in health sector, the condominium market in Phnom Penh remains robust with 5 new project completions consist of 2,843 condominium units in Q1 2020, according to CBRE Cambodia. The new supply accelerated the total units to 20,851, a 36.6 per cent increase compared to the same period last year. Though, the average quoted sale prices for high-end condominium units witnessed a nominal reduction by 0.53 per cent in Q1 2020. Mid-range condominium quoted sale prices witnessed a nominal downward adjustment of 1.39 per cent, while affordable quoted sale prices increased by 0.32 per cent respectively.
Four Communes in Ta Khmau to Obtain Tax Exemption on Properties Until 2023
Construction Property | April 7th, 2020
The property tax exemption has been granted by the government to four communes namely Svay Rolum, Koh Anloung Chen, Sitbo, and Rakar Khpos. Whilst Tax duty was never imposed on the residences in the area before, the government aspire to implement relief on residents after these communes become part of Ta Khmau town. At the same time, the government will use the time as the educational session explaining the taxing process to the residents.
PPSEZ Records USD1.1 Billion in Trade Volume Last Year
The Phnom Penh Post | April 9th, 2020
Phnom Penh Special Economic Zone Plc’s (PPSEZ) trade volume attained USD1.139 billion last year, a 14 per cent increased from 2018. PPSEZ hold 20.17 per cent share of the total trade volume across all 18 SEZs in Cambodia in 2019. According to the PPSEZ managing director, factories in PPSEZ are still operating as usual, despite the COVID-19 situation. However, some factories have been softened their production volume in response to the circumstances.
European Companies Ask EU to Postpone EBA Withdrawal
Khmer Times | April 9th, 2020
To cope with the novel COVID-19 outbreak, the European Branded Clothing Alliance has requested the European Union (EU) to postpone the Cambodia EBA withdrawal. In the letter, the alliance president expressed concerns over the closure of retail clothing stores which severely impacting developments, jobs and growth. A rough calculation showed that some 74 per cent out of approx. 750,000 workforce in the garment sector is being affected. The president, hence, requested measures including the postpone the withdrawal of Cambodia’s EBA status in response to the uneventful circumstance. Cambodia garment and footwear were valued at circa USD 8.1 billion in 2019, according to a report from the Ministry of Industry, Science, Technology and Innovation.
Cambodia Airways Vows to Expand Despite Upheaval of Global Industry
The Phnom Penh Post | April 8th, 2020
Chen Bo, Chairman of Cambodia Airways Co., Ltd, hoped that COVID-19 will end soon while the company is committed to expanding its flight networks to much broader regions. He continued that the consequences caused by COVID-19 have halted most of the airline operations, while Cambodia Airways remains operating on cargo transportation. Tourist arrival volume in Cambodia has dwindled by circa 36 per cent in the first two months of 2020, said a Ministry of Tourism report.
Affordable Housing for Middle-income Earners
Khmer Times | April 10th, 2020
Nearly 700 affordable housing units were handed over to the residents of Kandal provinces. Developed by Worldbridge Homes Co., Ltd, the development shelled under the government’s policies on National Housing and National Program for the Development of Affordable Housing. The first phase of the development consists of 680 units, and have been completed. The project offers a total of 2,457 affordable houses, aiming for low and middle-income personnel with the monthly income between USD300 and USD400.
See also our previous weekly news round-up: