CBRE Cambodia has recently published the latest report on the performance of Cambodia Real Estate Market for the 2nd Quarter of 2016.
Let’s look at the some of the highlights below.
Prime Strata-title Office Price and Estimated Yield in Southeast Asia
Phnom Penh strata-title office projects offered the highest estimated initial yields, standing at 7.2%, compared to the Southeast Asia average of 5.5%, over the course of Q2.
Average off-plan prices of prime projects stood at US$4,417 per sqm, compared to the regional average of US$8,609 per sqm.
Summery
- Highest Estimated Yield @ 7.2%
- Average Market Price @ US$4,417 per sqm
Recommendation
The Bridge SoHo Units – Grade ‘A’ Office
Key Benefits:
– Located at Phnom Penh’s Prime City Central
– Dual flexibility for office and/or home use
– 18% Guarantee Rental Returns Over 3 Years
– Price from US$113k @ US$3,472 per sqm
(21% Below Market Price!!!)
PRIME RENTS ENJOY MARGINAL UPLIFT
Rents marginally appreciated over the second quarter, with average prime shopping mall and high-street rents appreciating by 1.9% and 0.7%, respectively, q-o-q.
The highest average prime rents by type were attributed to retail arcades, closely followed by retail podiums, standing at US$52.5 and US$48.3 per sqm, respectively, over the course of Q2.
Overall, Phnom Penh retail achieved highest gross yield at approximately 9.5% p.a. at the region.
Recommendation
The Bridge Retail
Key Benefits
– Located at Phnom Penh’s Prime City Central
– Freehold Strata-title Retail Units
– 70% Guarantee Rental Returns Over 10 Years
– Managed by Professional Retail Operator
– Low Entry Price from US$91k
Overall Performance
- Phnom Penh Retail Yield ~ 9.5% (Highest in the region)
- Phnom Penh Office Yield ~ 7.2%
- Phnom Penh Prime Residential Yield ~ 8.5%
Invest in Cambodia Today - World's 6th FASTEST Growing economy with with average 8.5%* growth p.a. over the past 15 years!
(*Source: PhnomPenhPost.com)