Phnom Penh Condo Overview 2023

In recent years, Phnom Penh has witnessed remarkable growth in its real estate market. With a surge in economic development and infrastructure projects, the city has become an attractive destination for local and international property investors. In this article, we will provide an overview of Phnom Penh's condominium market, exploring key factors influencing prices, and current market trends.

Factors Influencing Condominium Prices

Location plays a crucial role in determining condominium prices in Phnom Penh. Prime areas such as?Boeung Keng Kang,?Chamkarmon?and?Russian Market?command higher prices due to their proximity to business districts, commercial centres, and popular attractions. Condominiums located in these sought-after neighbourhoods are often associated with high-end/luxury and offer convenience.

Amenities and facilities offered within condominium complexes are also significant price determinants. Condominiums with gyms, swimming pools, 24/7 security, and recreational spaces tend to have higher prices. Buyers are increasingly looking for properties that provide a comprehensive range of amenities to enhance their quality of life.

Property size and type are additional factors influencing condominium prices. Studio apartments and one-bedroom units are generally more affordable, catering to young professionals or individuals seeking compact living spaces. Larger units, such as two or three-bedroom condominiums, are priced higher due to their increased square footage and additional rooms.

Current Market Situation

The Phnom Penh condominium market is experiencing oversupply. The demand for properties remains an opportunity for investors as the city's improving infrastructure, expanding business opportunities, and rising urban population contribute to the sustained interest in condominiums.

In recent years, the market has witnessed an influx of new projects and developments, offering a diverse range of condominium options. Developers are capitalising on the growing demand by introducing innovative designs and premium features such as?Le Conde BKK1?being Cambodia's first smart home integrated condominium. Additionally, the Cambodian government has introduced measures to attract foreign investments, such as?stamp duty tax exemption?for properties valued below $70,000 until the year 2023.?

Popular Locations In Phnom Penh

• ?Boeung Keng Kang (BKK)?is a sought-after neighbourhood known for its upscale residential properties, trendy cafes, and international restaurants. BKK is home to expatriates, affluent locals, and young professionals, creating a cosmopolitan atmosphere.
• Chamkarmon?is another desirable area, characterised by its mix of residential and commercial spaces. It offers a diverse range of housing options, from modern apartments to traditional Khmer-style houses. Chamkarmon is known for its proximity to the popular riverside area, as well as its shopping malls, schools, and cultural attractions. The neighbourhood appeals to residents seeking a balance between urban convenience and a relaxed lifestyle.
• Russian Market, also known as Toul Tom Poung, is a bustling neighbourhood that has gained popularity among expatriates and locals alike. It is renowned for its vibrant market, offering a wide variety of goods, from clothing to handicrafts. Russian Market also features a range of affordable housing options, as well as a lively dining scene with local and international cuisines. Residents of this area enjoy the energetic atmosphere and the opportunity to immerse themselves in the local culture.?

Upcoming Location

• Chroy Changvar?is a rapidly developing area located on the outskirts of Phnom Penh, Cambodia's capital city. Situated along the banks of the Tonle Sap River, Chroy Changvar offers a peaceful and scenic environment for residents. The neighbourhood is known for its beautiful river views, spacious residential properties, and growing infrastructure. Chroy Changvar has become increasingly popular among both local residents and expatriates due to its proximity to the city centre and its tranquil atmosphere. Residents of Chroy Changvar can enjoy a range of amenities, including schools, hospitals, shopping centres, and recreational facilities.?

Price Ranges?

Phnom Penh's condominium prices vary depending on location, amenities, and property size.

In Phnom Penh, the average sale price of condo units is as follows:

• Studio units cost an average of between USD 50,000 - 80,000
• 1-bedroom condominium units cost an average of USD 110,000
• 2-bedroom counterparts units cost an average of USD 160,000
• 3-bedroom counterparts units cost an average of USD 290,000

To find out more about condominium prices in other cities, click here to download our free?Why Cambodia Guide?

Comparison with Other Southeast Asian Cities

Compared to other major cities in Southeast Asia, Phnom Penh's condominium prices remain relatively affordable. While cities like Bangkok, Kuala Lumpur, and Singapore have experienced significant price escalations, Phnom Penh provides an attractive alternative for property investors seeking favourable investment returns. The city's potential for growth, coupled with comparatively lower entry costs, positions it as a promising destination for real estate investments.

Phnom Penh's condominium market offers an interesting landscape for property investors looking on the long term in Cambodia. The city's real estate sector benefits from favourable factors such as prime locations, attractive amenities, and diverse offerings. With steady price appreciation, the market balances affordability and potential returns due to the increase in infrastructure development. As Phnom Penh's economic prospects continue, the condominium market is set to flourish, making it a suitable time for investors to consider investing.