Borey construction plans halted amid uncertainty
Borey construction plans halted amid uncertainty
Borey developers have attributed the slight hiatus of borey projects to a cooling down period of the borey market, preferring to lay low for now and observe the Kingdom’s economy and domestic politics.
Chhay Sina, sales and marketing supervisor of Borey Vimean Phnom Penh, recently said that the company is planning to generate new projects this year, but is uncertain of the exact timing because they are presently analysing the layout and infrastructure of their boreys to find areas to improve on.
Bech Sokuntheary, general manager of Daun Penh Lands Company whose Borey Villa Town in Chak Angre Leu is supposed to currently be under construction, also stated that construction has not commenced because they are also observing the borey market development.
“This project will start construction in the middle of this year after we finish reviewing the industry, and this new development will be a bigger investment that will include more residential types such as flat houses, twin villas, queen villas and the likes,” Sokuntheary added.
As for another borey developer, New World Borey, its assistant director Nget Pisith commented that their company, at present, has no plans to build a new development.
Meanwhile, Cambodia’s largest borey developer, Borey Peng Huoth, has no grand plans to further expand their series of developments either.
A study conducted by Bonna Realty Group showed that the number of boreys in 2014 rose from 74 to 110 in 2015. As of now, there are a reported 151 projects, wherein the total number of residential houses escalated from 42,000 to 47,000 within one year from 2014.
As for now however, the borey incline seems to be halted by market demand. Current transaction for residential properties in Cambodia have slightly reclined since the beginning of this year because of domestic political tensions, slowing economic growth in China, and because banks have reached their loan limits for the year 2015, as stated by Seng Sopheak, vice president of CPL Cambodia Properties Limited.
Despite the halt of new development plans and slowing sales, the general climate and temporary cooling down of the borey market, the market in general will not face any major issues, Sopheak added.
