Top Real Estate Investments for Expats in Cambodia: Colonial Apartments, Hotels, Condos, and Commercial Units

Investing in Cambodia for foreigners is always a great idea since there are numerous real estate properties in Cambodia you can buy at a competitive price. But which types of property are most likely to yield high returns? Below, we explore the top four investment options for expats in Cambodia.

Colonial-Style Apartments

Colonial-style apartments are a prime investment choice for expats. These properties, scattered across the country, hark back to the period when Cambodia was under French protection (from 1867) and later part of French Indochina in 1887. Many buildings from this era feature distinctive French colonial architecture.

Investors often renovate these properties to meet current market trends while preserving their original charm. Another popular strategy is to flip these apartments, selling them at a higher price post-renovation.

Hotels & Resorts

While many investors gravitate towards residential homes, the hospitality sector—especially resorts and hotels —offers potentially higher and quicker returns. Given their usage for business, vacation, and other purposes, these properties can generate consistent income streams.

Investors in this sector typically purchase the property and manage the business, or they may partner with established hotel management companies. This approach ensures professional oversight, enhancing the property’s profitability and operational efficiency.

Moreover, since Cambodia’s main business is tourism, the steady influx of tourists and business travelers significantly boosts demand for hospitality properties. This makes investing in hotels and resorts a viable and lucrative option.

Condominiums And Apartments

Apartments and condominiums are among the most favored investment options for foreign investors in Cambodia. The country boasts one of the highest rental yields in Southeast Asia, averaging 6-8% annually. With low-cost entry points—residential properties can be purchased for an average of $110,000 (as of June 2022)—these investments are financially prudent. These condominiums are often sold with Strata Titles , which means investors can buy properties in their own names, providing legal ownership and added security.

Moreover, when buying off-plan , some condo developers provide guaranteed rental returns and a buyback option, meaning they will repurchase the unit after a specified period. This ensures that you can recover your initial investment, along with guaranteed monthly profits.

The value of these properties is projected to rise as the economy stabilizes and the middle-income, young workforce continues to grow . This demographic shift makes it an opportune time to invest.

Commercial Units

Office spaces and commercial units are also lucrative investments for expats. These properties, usually available with strata titles (the only property title that foreigners can acquire in Cambodia), offer high-profit potential when leased to businesses.

Currently, commercial properties in Cambodia are valued at approximately $1.2 million. This is a significant increase from June 2021, when they were valued at $600,000. With values expected to climb further, early investment can maximize your returns.