Land prices in Phnom Penh’s Dangkao district have surged dramatically in the last six years due to a number of new development projects in the area, according to the latest report from VTrust Appraisal.
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The report found that land prices in the district surged by 35 percent since 2012, particularly in Dangkao and Cheung Aek communes, noting that these areas are home to a raft of new developments, including ING City and the new international airport.
According to VTrust Appraisal, in 2012 the average price for vacant land along Street 217, also known as Chamkar Doung Street, was $100 per square meter. However, in 2017 prices in the same street were at $300 to $600 per square meter.
The report also showed that land prices are contingent on distance from Wat Phnom. Along major streets, price for vacant land located around 10 kilometres from Wat Phnom cost on average $450 per square meter. However, land prices could drop to as little as $10 per square meter if they were located 25 kilometers, or further, from the landmark.
“Land price per square meter is also elastic to land size. Small parcels of land tend to have a higher price, whereas the larger ones tend to have a lower value,” the report added.
Dangkao district is situated southwest of Phnom Penh, six kilometres from Wat Phnom. It covers approximately 111 square kilometers of land, with a perimeter of 55 kilometres. It is the second largest district of Phnom Penh after Posenchey, with 13 subdivisions or communes.