Tourism pushing up land prices in Siem Reap

Land prices in Siem Reap town increased slightly last year compared with the previous year, thanks to the growing strength of the tourism industry, according to insiders.

The provincial capital saw prices rise about five percent in residential areas in 2017 and about 10 percent in commercial areas, said Po Eavkong, the CEO and co-founder of Advance Real Estate Company.

“Siem Reap land prices rose last year because of the increasing number of tourists,” he said.

“As a result, hotels, entertainment venues, shops and services saw rising demand. The tourism industry is invigorating the property market.” The asking price for land from Psar Leu market to the Royal Palace on National Road 6 during the first half of 2017 ranged from $1,000 to $1,500 per square metre or higher, depending on the land size and location of the property, according to the company’s report.

From Psar Leu market to Helistar they range from $1,000 per square metre, while from Helistar to the cultural village they range from $500 to $800. The asking prices fall to between $300 and $600 along National Road 6 from the cultural village to the airport.

“We can estimate the land prices in 2017 and the percentage by the growth of the provincial property sector, thanks to the growth of the tourism sector, and we have the Siem Reap land prices in 2017 to release soon,” Mr. Eavkong 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 added, saying the property market in the tourist town is the most active in the country, after Phnom Penh.

Mr Eavkong said the tourism sector creates many jobs for local people and also makes more income for the national budget and as well as invigorates the economy.

Hy Say, the director of Siem Reap’s Land Management Department, said the province has been growing like Phnom Penh, especially in the tourism sector.

There were 245 projects asking for construction permits and the department approved 264 construction projects in 2017, while the department earned 833,204,400 riel, or about $207,000, according to the department’s report.

“Due to the growth of the tourism sector, citizens and investors are investing in constructing small and big buildings such as hotels, guesthouses, restaurants, borey and other buildings to serve the growth of the tourism sector,” Mr Say said.

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