Tourism Still Invigorating Siem Reap Property Market

Khmer Times/Sum Manet

 

Thursday, 14 January 2016

 

Land prices in Siem Reap town are continuing to climb due the province’s robust tourism industry, realtors say. 
 

The provincial capital saw prices rise 5 to 10 percent in residential areas last year and 10 to 15 percent in commercial areas, said Po Eavkong, managing director of Asia Real Estate Cambodia Co. Ltd. 
 

“Siem Reap land prices rose last year because of the increasing number of tourists. As a result, hotels, entertainment venues, shops and services saw rising demand. The tourism industry is invigorating the property market,” Mr. Eavkong said.     
 

Asking prices for land from the town’s center to Psar Leu market on National Road 6 range from $1,000 to $1,500 per square meter. From Psar Leu market to Helistar they range from $700 to $1,000, while from Helistar to the cultural village they range from $500 to $700, Mr. Eavkong said. Asking prices fall to between $300 and $500 along National Road 6 from the cultural village to the airport, he said. 
 

“When we talk about the property in Siem Reap town, we focus on four communes: Sla Kram, Svay Dankum, Sala Kanraeuk and Kouk Chak because they see the most transactions,” Mr. Eavkong said, adding that the property market in the tourist town is the most active in the country, after greater Phnom Penh.   
 

Mr. Eavkong said ASEAN integration would provide a bit of a boost to the market but added it is already an open market.  
 

Chrek Soknim, CEO of Century 21 Mekong, said he agreed the tourism industry was driving the property market in Siem Reap town. “Not only residential but also commercial areas saw remarkable development [last year], due to the flow of tourists into the town,” Mr. Soknim said. “Demand for tourist venues like hotels, guesthouses, shops and restaurants is driving the property market in Siem Reap,” he added. 
 

Dith Channa, general manager of VMC Real Estate Cambodia, is also optimistic about the property market in Siem Reap.
 

“In 2015, demand for land and property transactions increased, not only for hotels, guesthouses or restaurants, but also for residential projects,” Mr. Channa said. “The ASEAN Economic Community will play an important role in boosting the property sector and business in the city due to the open market for investors,” he added. 
 

Last year, the province attracted more than 2.3 million foreign tourists, a slight increase from 2.2 million the year before, according to data from the Tourism Ministry.
 

There are 186 hotels in Siem Reap with a total of 12,053 rooms, as of the end of September, according to the provincial tourism department. Of these, 14 are five-star hotels and 25 are four-star hotels, according to the department.