South-Korea conglomerate and real-estate developer Booyoung Group, which was behind a $1.1 billion investment in the heart of Phnom Penh, plans to finally start construction after many years of delays since the project was launched in 2013.
The company will also start selling units in the project after the 2018 general elections.
Booyoung Group held a groundbreaking ceremony at the site in May 2013 and plans to build a new development called Booyoung Town, comprising 40 apartments and seven residential and commercial complexes, on 2.7 square kilometres in Tek Thla commune in Phnom Penh’s Sen Sok district.
It will accommodate about 17,769 households on the project. However, since the groundbreaking ceremony, there has been no progress on the project.
According to Bayon TV, which quoted the company’s representative, the company will invest $160 million in residential and commercial centres in its project.
The representative said the first phase of the project will be completed by 2019. The foundations of the project have been completed since late December and work is ongoing, the representative said.
He added that the massive residential and commercial centre will be divided into 10 or less phases, depending on decisions made at the company’s head office in Korea.
He said the first phase includes four condominiums rising 23 floors, not including the basement and the parking lot. The project has a total of 1,474 active units at this time.
The first phase of the project also includes a three-storey shopping mall, with a capacity of 47,000 square metres. The shopping mall includes shopping centres, cultural centres, hospitals, schools, entertainment facilities and beauty shops.
“The condominium project will focus on capturing purely Cambodian buyers and our home prices are carefully considered. The sale of homes in the project could take place after the completion of the 2018 national election,” the company representative told the television channel.
Kim Heang, President of the Cambodian Valuers and Estate Agents (CVEA), declined to comment on the project as he was due to have a meeting with the company’s owner this week.
Since 2000, the government has issued construction permits to 37,637 projects, bringing in approximately $32.62 billion in investment capital, according to a report from the Ministry of Land Management, Urban and Planning.
The report also pointed out that construction investment in the first six months of 2017 reached $4.94 billion, compared with $3.87 billion over the same period last year, an increase of 27.44 percent.
For high-rise buildings and borey investments, in the first six months of 2017 there were 14 satellite city locations and 43 high-rise buildings of more than five floors.