Choosing the Right Ownership Structure in Cambodia: 5 Options Foreign Buyers Should Understand

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Understanding how foreigners can legally buy property in Cambodia and what each method means in practice

One of the first questions foreigners ask when exploring property in Cambodia is simple: how can I legally buy here?

The answer is not always straightforward. Cambodia offers several legal structures that allow foreigners to purchase or secure property, but each option works differently and comes with its own advantages, risks, and level of complexity.

Understanding these structures early helps buyers avoid confusion and choose an approach that matches their goals, budget, and comfort level. Below is a clear overview of the five most common ownership options that foreign buyers encounter.

1. Strata Title Ownership

Strata title allows foreign buyers to legally own units, using their own name on the certificate of title, as long as the unit is above the ground floor. The buildings must be registered as a co-owned building, which requires at least 30% of the total floor space of the building/s to be under Cambodian ownership.

Because ownership is direct and clearly regulated, this structure is often considered one of the safest and simplest entry points into the Cambodian property market. Entry-level condominiums in Cambodia often start from around USD 70,000, while larger or premium units can range well above USD 300,000 depending on location, developer, and project quality.

Learn more about strata title ownership here: Understanding Strata Title in Cambodia: Background, Benefits, Legal Value

2. Perpetual Lease

A perpetual lease gives foreigners long-term rights to use and control a property through a renewable lease agreement rather than direct land ownership. This means the foreign has leasehold rights in the property, rather than freehold rights. The foreigner is given a leasehold certificate of title in their own name, which is issued by the government body that controls land ownership.

This is the same system of land ownership that is used in Singapore, Vietnam, Hong Kong, and the Australian Capital Territory in Australia, and people living in those countries are very familiar with this method. These leases are commonly structured for long periods, often around 50 years with renewal options up to 100 years, making them attractive to buyers who want long-term stability without setting up more complex ownership arrangements.

This option is frequently used for landed homes where direct ownership restrictions apply to foreigners. As with any lease structure, the terms and protections written into the agreement are critical, which is why proper legal review and due diligence are important.

3. Nominee Structure

The nominee structure is one of the most commonly used ownership methods for foreigners purchasing landed property in Cambodia. In this arrangement, the property title is held in the name of a Cambodian nominee, while the foreign buyer maintains legal protection and control through a series of carefully structured agreements. When properly prepared, these agreements are designed to protect the buyer’s rights and clearly define the responsibilities of both parties. A cashless mortgage is also placed over the title, and registered with the national authority, which effectively “locks down” the property title, preventing it from being sold by the nominee, or used as collateral to loan against. A professionally structured nominee setup typically includes several key security documents, such as:

Nominee Agreement defining rights and obligations between the nominee and buyer
Mortgage Agreement to prevent unauthorised transfer or sale of the property
Security Agreement used to transfer the ownership of the title away from Nominee if the Mortgage Agreement is not followed.
Loan Agreement reflecting the buyer’s financial position in the purchase
Lease Agreement granting long-term rights to use and occupy the property

These combined agreements work together to provide layers of security and practical control for the foreign buyer. In Cambodia, nominee arrangements exist in a legal “grey area”. While they are very common in practice, they are not strictly recognized as a legal method of ownership for foreigners and do carry risks. The majority of that risk lies in the reliability of the nominee. For that reason, many buyers choose to work with experienced professionals who understand how to structure these agreements correctly. IPS Cambodia regularly assists clients in setting up nominee ownership structures with clear documentation and professional guidance, and also provides access to independent nominees who can hold the title on their behalf.

4. Trust Structure

Trust structures have become increasingly relevant as Cambodia’s legal framework continues to evolve. There are over $700 million of real estate assets held by trusts in Cambodia, in both commercial and residential sectors.

In a trust arrangement, a licensed trust company holds the property’s certificate of title on behalf of the beneficial owner under regulated agreements. This creates a clearer legal framework compared to informal arrangements and can provide additional peace of mind for buyers seeking stronger asset protection.

Trust structures are governed by the 2019 Trust Law, and regulated by the Ministry of Economy and Finance’s Trust Regulator and are a secure method of land ownership. Both the trust bank and the trust regulator charge annual fees for their work in providing the trust service.

5. Land Holding Company

Another option for foreign buyers is purchasing through a land-holding company. In this structure, a Cambodian company owns the land while the foreign investor maintains control through corporate agreements and shareholding arrangements.

This approach is often used for larger land purchases, development projects, or long-term investment strategies. Because a company must be properly registered and maintained, ongoing accounting, compliance, and administrative costs should be expected. For that reason, this structure is usually considered more suitable for larger investments rather than smaller residential purchases.

There are significantly higher taxes that are applied to purchase and sale by land holding companies, compared with other methods of property ownership.

Comparing the Options

Each ownership method exists because different buyers have different goals.

Strata title suits buyers seeking direct ownership of condominium units.
Perpetual leases offer long-term control of landed property without direct ownership, but only up to 100 years.
Nominee structures are low cost, have low tax implications, but require careful risk consideration and strong legal agreements.
Trust structures provide regulated oversight and long-term protection.
Land holding companies are typically used for larger or more structured investments.

The right option depends on the type of property you want, your long-term plans, and your comfort with legal complexity.

Choosing the Right Structure Starts With the Right Guidance

Foreign buyers often focus on the property itself first, but experienced buyers know that ownership structure should come before any final decision.

Each method offers different levels of control, flexibility, and complexity. The right choice depends on your goals, the type of property you are considering, and how you plan to use it long term.

Understanding these options early helps avoid costly mistakes later and creates a clearer path forward when evaluating properties in Cambodia.

For buyers who want to understand these ownership methods in more detail, IPS Siem Reap will be covering them during an upcoming live information session focused on practical guidance for foreign buyers.

Siem Reap Property Ownership Explained

Understanding Ownership and Buying Options for Foreigners
A live information session with IPS Cambodia

📅 March 21, 2026
🕑 2:00 PM
📍 Siem Reap House, Rose Apple Square, Siem Reap

This session is designed to answer practical questions and provide clarity before any decisions are made. Event details and registration information will be announced soon.

Follow IPS-Siem Reap on Facebook for updates.