Phnom Penh is witnessing tremendous growth and development in the real estate industry since many projects are emerging in Phnom Penh or its neighbouring areas. Foreign and local investors are greatly investing in this capital city of Cambodia to live in the spotlighted areas or start new ventures.
The property demand in Phnom Penh and its residential areas has rapidly increased since people are looking for accommodation options, commercial centres, and rental properties in Sen Sok, Siem Reap, Sihanoukville and other places. Many other areas, including these, are the first choice for local and international investors hunting for investment options and opportunities.
So, let us navigate the neighbourhoods of Phnom Penh and find out more about these areas.
Central Phnom Penh: The Heart Of The City
Central Phnom Penh is known for mixed-use properties where mostly three to four-storey low-rise properties and shophouses are popular with ownership by locals of the Cambodian region. Daun Penh comprises the National Museum, Royal Palace, Riverfront’s proximity, Wat Phnom, and many other key attractions and popular landmarks that open many opportunities for individuals and real estate investors.
Rental properties, including apartments, are not as expensive as in places like Chamkarmon, while premium rental flats are accessible at the riverfront, mostly preferred by expatriates from the Western region. The district has now evolved as many hotels, restaurants, boutique retailers, entertainment settings, and several other projects are rapidly in the pipeline, ready to begin construction or nearing completion.
Four office towers, including two A grade and two B grade, are developed by two international and two local developers in the Central Business District (CBD), Phnom Penh. It includes the second A-grade structure built in Phnom Penh by a popular regional developer.
READ ALSO: Suburbs vs CBD: Where is it in Phnom Penh?
The key residential area of Phnom Penh is the central Phnom Penh’s south, Chamkarmon. Several expatriates looking to enjoy the nightlife of the city while needing proximity to jobs in the CBD are attracted to reside in this district. It has many cafes, bars, upscale restaurants, hotels, discotheques, and other attractions that make people invest in the property here.
Within Chamkarmon is also the highly commercialized area, Koh Pich (Diamond Island). This area is rapidly progressing and has a new city hall, a fire station, a theatre, the largest international exhibition centre in the city, and the range for golf driving.
Tourism in Chamkarmon is also due to the Russian Market, Tuol Sleng Museum, Aeon malls, Nagaworld Resort and Entertainment Complex, Independence Monument, and many other attractions. All these key attractions, rising developments, prices, and other factors make Daun Penh and Chamkarmon among the most sought-after areas for real estate investments.
Riverside and Tonle Sap Vicinity
On the beautiful Tonle Sap’s banks, Riverside is the heart of the entertainment industry in Phnom Penh.
The waterfront’s relaxed lifestyle, with many rooftop bars and other entertainment options, often attracts expats to stay here, thus raising the demand for real estate properties. Many stylish and modern properties, including apartments and hotels, are rapidly developing in the new structures and in the market. The property market here has seen rapid growth in demand due to Riverside’s popularity. Royal Palace is among the most popular traveller attractions in Riverside, where the Water Festival is celebrated along the Tonle Sap River.
Sisowath Qua’s riverfront stretch of about 1.5 km is among the most beneficial options for long-term capital growth. Developers and hotel groups have already acquired the extremely sought-after area since it is limited.
The properties, including 24 high-rise structures along the Tonle Sap’s banks, have attracted many local and international investors to invest in them. Many constructions, including hotels, apartment buildings, and entertainment complexes, are in the pipeline, making Tonle Sap’s vicinity the most sought-after area for property investments.
The Upcoming Residential Hubs: Toul Kork and Sen Sok
The remarkable surge is experienced in real estate investment and development in Phnom Penh’s district, Sen Sok. At the capital city’s northwest, this district has the key attractions for commercial and residential properties, with residential hubs at its boom. The rising population and urbanisation have contributed to the growth of many property types in the area.
Investment returns and potentiality have made developers and investors invest in this sought-after area. It is because of its vicinity to prime infrastructure, strategic location, vibrant urban centre, and other factors that have led to rapid transformation in real estate’s development.
The upcoming residential hub in Sen Sok is a luxurious and modern commercial and residential development. Every housing option features an inviting and comfortable living space created through its open-concept designs that offer maximum airflow and light.
Some other residential hubs of Sen Sok are as follows:
- Aeon Mall 2
- Borey Peng Huoth, The Star Emerald I
- Borey Piphup Thmey La Sen Sok (Borey New World)
- Chip Mong Mall Sen Sok
- The Eco Residence – Sen Sok
- The Park Land Sen Sok
Toul Kork is another target of developers to contribute to the real estate industry. The commercial and residential spaces are rapidly growing and being developed in the district. It boasts many modern condominiums and Grade-A offices, and commercial and communal facilities. It offers residents an escape from the city’s hustle and bustle.
The Commercial and Business Districts: BKK1 and Diamond Island
Among the most sought-after business locations in Phnom Penh’s neighbouring areas is BKK1 due to its diverse population and cultures. Investment in this business location is beneficial because the district has a strong expat and local communities. BKK1 experienced the development of many hang-out locations, affordable restaurants, bars, coffee shops, fast food joints, and much more.
From many tourist attractions, the Independence Monument Park significantly contributes to tourism, the economy, and commercial real estate developments. The district witnessed enormous development of commercial and business spaces to cater to the demand for high-end rental offices whether for small start-ups or new businesses. It offers full amenities or facilities with a comfortable lifestyle while providing significant connectivity through the new Koh Norea Bridge.
The Cultural Enclaves: Russian Market And Boeung Keng Kang
Among the coolest areas and cultural enclaves of the Cambodian capital is the Russian Market in the neighbourhood of Toul Tom Poung. The area’s popularity has risen due to the rising numbers of inspiring entrepreneurs, boutique bars and distinctive food joints.
The community sense is genuine in this district, and it has a nice and cheerful neighbourhood. Local independent businesses have greatly contributed to the area’s development. It also witnesses the increased number of condominium constructions and rental projects. The cultural enclaves are rising since many individual and creative businesses are enticed to these areas.
Besides, the four busiest roads of Boeung Keng Kang have interconnections with popular cultural enclaves. Retail outlets, ground-levelled or rooftop bars, diverse offices, cafes, and other places attract tourists to enjoy the city’s potential.
Safety, Infrastructure, and Amenities Across Neighbourhoods
Many neighbouring areas of Phnom Penh are secure and safe to reside in, with the following being the safest ones:
- BKK1
- BKK2
- BKK3
- Russian Market
- Tuol Tom Poung
New neighbourhoods and towns are largely established while infrastructure developments are rising here and there. Since some new areas lack hospitals, public services, schools, bridges, and roads, people have requested to the government to develop them.
Toul Tork, BKK1, and Tonle Bassac have many facilities for expats and local investors. The top amenities offered here include supermarkets, healthcare facilities, international schools, and others.
Investment Opportunities and Future Prospects
Many investment opportunities and prospects are available in Phnom Penh’s sought-after locations. Long-term real estate investors have an interesting landscape for growth opportunities. High-end amenities, diverse offerings, and prime locations are some of the favourable factors that benefit the real estate industry in Phnom Penh.
The prices in these areas are relatively affordable as compared to Singapore, Bangkok, and other neighboring areas. These are the promising destinations that provide investment opportunities with favourable and profitable investment returns and reduced entry costs.
Some of the best areas for investment include Daun Penh, Chamkarmon, Toul Kork, and Riverside.
Looking to invest in Phnom Penh? Make the best investment decision with the help of our property experts who will help you navigate and deep dive into Phnom Penh’s most sought-after areas, and suggest the ideal property with favorable returns.
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KH