Property and land prices are set to rise in Lvea Aem district’s Kandal province following the government’s announcement of their future plan to partially integrate the area into a new district within Phnom Penh.
Prime Minister Hun Sen said that the upgrading of Lvea Aeam is due to the fast development and urbanisation of Phnom Penh.
The news comes as plans to develop a Cambodia-South Korea Friendship Bridge are also under discussion. If it goes ahead, it will be built between the Chroy Changvar area and Svay Chhrum Arey Ksat, a commune of Lvea Aem district.
But Chrek Soknim, president of the Cambodian Valuers and Estate Agents Association, said that while both plans represent positive news and will attract potential investors into the area, he warned against sharp practice in the real estate sector.
“Some real estate brokers take this opportunity to hike up the value of their projected sales in the area, so buyers should seriously take into account whether these yet-to-be-confirmed plans will actually materialise,” he told Khmer Times.
Po Eavkong, Chief Executive Officer of the Advance Real Estate Company, also speaking to Khmer Times, backed this warning up.
“It’s common for this kind of thing to happen; property developers take the opportunity to make up news and convince potential house buyers to pay over the odds,” he said.