Phnom Penh will see a steady rise in the supply of condominium units in the next ten years, reaching 295,000 in 2030, according to VTrust Appraisal.
Hoem Seiha, VTrust Appraisal research director, said that, on average, the supply will grow by 19,000 units per year.
“Based on the current growth, we predict that the total number of condo units in Phnom Penh will reach 295,000 units by 2030, a fivefold increase compared to 2018,” Mr Seiha said at a real estate event yesterday.
According to VTrust, by the end of 2018, 61,800 condo units were available in Phnom Penh.
“In the last two or three years, locals, particularly new couples, have started buying a condo to live in. More financing options, such as installment schemes, have increased people’s capacity to own a home and pushed growth in the condo sector,” he said.
Chrek Soknim, president of the Cambodian Valuers and Estate Agents Association, said trends are changing and people now are choosing modernity and privacy.
“People, particularly the younger generation, want privacy. They don’t want to live in crowded spaces. This is why they are moving from traditional houses to condos. People still like living in traditional houses, but, if they can afford them, they will choose condos,” he said, adding that this an important factor driving growth in the sector.
According to CBRE, during the second quarter of the year, the average price per square metre of a high-end end condo unit was $3,254. Mid-range and affordable condo units averaged $2,568 and $1,501 per square meter, respectively.