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.