Property sector won’t be rattled by politics

Sum Manet / Khmer Times No Comments Share:
The economy is expected to maintain growth in coming years. KT/Mom Sophon

Real estate experts and investors seem not to be worried about the upcoming general election and political situation.

Thanks to past experiences of tackling such problems, they say the property market is a good place for investment.

Dith Channa, CEO of Lucky Realty, said the property sector had remained stable and for the last few years the housing sector had seen strong sales growth.

“The market is simple and like other markets as well because two or three years ago the purchasing power was strong and the market full, absorbing all the purchasing power. But right now the market is full and it is time to be stable and quiet,” he added.

“I think the political situation does not influence the housing market because Cambodians buy homes to live in.

“In the next few years the housing market will be prosperous again, based on the inflow of people into the city and town and many newlywed couples who need their own place,” he said.

“I think right now there is room to gain benefits from the housing market because the price of property is high. So the developers should find room to develop projects with prices between low and high to meet customers’ demands.”

Sorn Seap, founder and director of Key Real Estate, said that from now to 2018 the property sector would remain quieter because it was based on two factors.

The first was investors about to come to the kingdom who are looking at the Asean market.

Secondly, there were political factors with the national election coming soon, so local investors
were keeping their investment capital. This kept economic movement quiet, as well as the real estate sector.

“I think we should think from now to 2018, the property transaction will be quiet, and we, the home country, should do something to attract the investors, especially in the real estate sector,” he said.

“So our politics have to be calm to provide confidence for investors and to be sure that our politics is no problem.

“If not, it will not be better than 2016. We have to compile laws to make investors feel safe with their investment,” Mr Seap said.

“In my opinion, from 2017 to 2018 will be a good time for property transactions because of steady prices and it will be back up after 2018.

“Obviously, in the long term there will be no problem but 2017 to 2018 is short term.”

Lars Wittig, country manager for Regus Cambodia, which is investing in co-working office space in Phnom Penh, said the country had become a formidable business environment with significant investment in infrastructure and services. The economy is expected to maintain its notable growth for several years.

“I don’t see any problem with the political situation and I’m not worried about it because I travelled back to Cambodia and I see the traffic situation is still the same and crowded and people still go to work as usual,” Mr Wittig said. “It seems to be normal.

“Due to economic growth and political stability, these are the reasons why we decided to invest in Cambodia and right now we have two projects in hand in Cambodia.”

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