Chroy Changvar emerging as Phnom Penh property investment hotspot
Chroy Changvar emerging as Phnom Penh property investment hotspot
Interest in Chroy Changvar is rebounding after a lull in buying and selling following this autumn’s election, local real estate experts said.
This interest is being kindled by the soon-to-be-completed bridge being built by China Road and Bridge Corporation next to the Japanese Friendship Bridge, as well as the widening of National Road No 6.
Khmer Real Estate president Kim Heang said there was a noticeable decline in property transactions in Chroy Changvar in the second half of this year, which disrupted a two-year trend of steady market activity, especially along National Road No 6.
“Property transactions in Chroy Changvar area did not increase in the last four or five months, but that hasn’t translated into lower land prices,” Kim said.
Land prices along the first 500 metres of National Road No 6 heading away from the Chroy Changvar Bridge are currently running between $1,200 and $1,500 per square metre, the next 500 metres are averaging $1,000 to $1,200 and the following 500 metres are priced between $700 and $900, Kim said. Demand and land prices are both likely to increase after the completion of the new bridge, he said.
Key Real Estate general manager Sorn Seap said that concerns about the kingdom’s political stability had depressed investor sentiment, leading to a slowdown in property deals across the Tonle Sap. The current bridge and road work, combined with the unique advantages offered by Chroy Changvar should drive future interest in the area, Sorn said.
“After expanding the road and the completion of the new Chroy Changvar bridge, which will be finished in mid-2014, the Chroy Changvar area will become one of the city’s high-potential investment destinations,” he said. “The area possesses good geographical features – it is located between two rivers, so the air is fresh and the view of central Phnom Penh is beautiful. There are many condominium, office and other residential projects planned for the area.
Bonna Realty Group general manager Seng Sopheak agreed that the potential of the Chroy Changvar area is high, noting the large number of existing and planned projects there.
“Land prices in the Chroy Changvar area have been rising steadily over the last couple of years,” Seng said. “Large plots between the bridges and Mekong Garden condominiums are running between $500 and $800 per square metre, while land for building flats costs between $800 and $1,000 per square metre.”
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