High Park Residences

It seems that things are also heating up in the local condo scene as a result of healthier economic growth. CBRE Cambodia recorded, in 2009, a total figure of 178 condo units in Phnom Penh. By 2014 however, this number shot up to 2,095 High Park Residences condo units with a large amount of investors recording capital gains well over 5% per year as well as over 6% per year on rental returns.

Associate Director of CBRE Cambodia, Simon Griffiths, stated that international developers and investors alike are continuing to do very well in Cambodia, with the support of foreign ownership laws that are quite favourable, and the benefits of the continued strong growth in Cambodia.

Fernvale Condo High Park Residences

May 24th of 2010 saw the implementation of Cambodia’s “Law on the Provision of Ownership Rights over co-owned Buildings to Foreigners”. Since then, foreigners were able to acquire above ground floor apartments to a maximum of 70% of all units for anyone co-owned building. Co-ownership is a term used for the ownership of lots that are shared with common ownership. This is quite similar to the reference in common law to Strata High Park Residences Title, where foreigners are allowed to own units in co-owned buildings above the grounds floor.

Axis Residences was created to draw foreign ownership in with its units located above the ground floor.

Managing Director of CBRE Realty Associates, Leong Boon Hoe, has stated that he has confidence that Axis Residences will be received well by Singaporean investors in High Park CEL due to the quality of the project, which is comparable to Singapore’s good class standard of condos.

High Park Sengkang CEL Development

Hoe further adds that Axis Residences symbolizes great value. Boosting the rentability of the units are the condominium’s location, which is within an enclave that is geared for high end landed living and its good proximity from High Park Residences CEL to prime international schools.

Add to this the potential for capital growth, many investors will be drawn to this city. A 5% to 7% rate of growth on rental returns has been recorded for condominium in Phnom Penh, and investors have achieved capital growth figures of 5% to 7.5% per year on condo investments.

Backing these figures is an infrastructure and culture of strong support that supports foreign business, investment, and real estate ownership.

With such a strong turnout at the seminars we can see that discerning Singaporeans and foreigner investors alike are turning an eye to this newly emerging market. The positive take up is a reflection of the confidence levels that investors now have regarding long term growth in Cambodia, with their willingness to jump into positions early on for High Park Residences.

High Park Residences

Based on the current rate of exchange, the prices for Axis Residences begins at $1,236US per square metre, which is the equivalent to $1,680S per square metre.

Another chance to learn about Axis Residences took place on during the weekend of May 1st to 3rd for Singapore overseas investors and property buyers with a sales exhibition at Singapore’s Marriott Tang Plaza Hotel in the Lengkuas Room.

The Vales

Fascinatingly to get noticable is the fact that intended for The Vales Sengkang prospective buyers which are searching just for real estate properties, There are actually indeed a great number of unsold developer The Vales Sengkang units in the location hence a number of buyers are mindful when looking for a unit within the condo. This has caused several home buyers in order to request for special discounts from the real estate developers to decrease the selling prices of the units.

The Vales Sengkang

Eugene Lim, Key Executive Officer at ERA is expecting rents to lower another five to six percent drop by year end. Nicholas Mak, Research Head at SLP International anticipates a four to six%. For the longer term, Christine Li, Research Head at OrangeTee, is anticipating a small drop near 10% by 2015.

The Vales

Lee explained. With regards to total sales for The Vales Sengkang, the volume of properties successfully auctioned off increased to 10 during the third quarter from nine in the previous period. Specifically, five belonged under owner’s sale, translating to a rate of success of 6.8 percent as there were 73 residences offered within this segment. Comparatively, only two homes out of 70 had been sold in this section in Q2 2014.

Vales EC Anchorvale Crescent

Real estate agents attribute the problem to less than normal need because of lack of tenants for The Vales. The truth is, landlords currently have cut down rent to be able to contend for tenants, where the statistics are already limited as a result of lower foreign workforce.

Sellers now are more than willing to negotiate, it said. Significantly, high end residences are actually hardest hit because of the government’s numerous house cooling steps, along with purchase prices dropping for 6 continuous quarters. Within the 3rd quarter of 2014, high end house selling prices fell 0.9 % Zion Road Condo quarter-on-quarter, carrying out a 1.5 percent drop in Q2 2014. Meanwhile, just one condo had been sold in Sentosa Cove in H1 2014, further showcasing deficiency of revenue in the high-end house segment for The Vales Sengkang.

Anchorvale Crescent The Vales

Due to their tenure of the land, freehold houses are often more attractive to customers within the open resale market Lumina Grand EC as as opposed to leasehold real estate. Then again, the somewhat high asking selling prices of such freehold properties could very well have brought about a growth within the quantity being put up for auction in The Vales Sengkang,”

Also, property developers have previously enjoyed the profits inside the residential property price increase from the previous property cycles. Chia said, “With the handsome revenue made in the boom periods, many of them have the financial capacity to safeguard present-day price levels or else offer moderate discounts.

Potential buyers are quite alert to the current downtrend in purchase prices and also they avoid making private condominium at this moment, in expectations of lower asking prices within the in the vicinity of term.”