Phnom Penh to See Rise in Strata-title Office Supply in 2019

• 24 January 2019
• Local News
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Delays in the construction of landmark projects in 2018 will result in an increase in the Phnom Penh office strata-title supply in 2019, according to a report by real estate firm CBRE Cambodia.

The recent Q4 2018 report forecasts that the office sector in 2019 is to see a rise in strata-title supply within the Phnom Penh market due to more stock coming online from Diamond Twin Tower and Star City who were due to deliver in Q4 2018.

“2019 is forecast to see a significant rise in both Grade A and Grade B strata-title supply, with projects including Diamond Twin Tower and Star City,” the report said, “adding approximately 36,207 sqm to the Grade B strata-title supply, an upward adjustment of 78.6%”.

The office sector is to also see the introduction of the first Grade A strata-title office development ‘The Gateway’ to the market comprising of circa 28,565 sqm of net leasable area, the report added.

These figures show that total strata-title office supply of Grade A and B is to reach more than 100,000 sqm of net leasable area in 2019.

However, citing strong occupancy rates at around 85.36% across the sector, CBRE said that the office market is beginning to see a surge in Grade B strata-title supply, particularly in decentralised locations.

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