Cambodia experienced two decades of very strong economic growth, averaging 7.6% Gross Domestic Product (GDP) from 1994 to 2015 and 7.0% from 2017 onward. The Asian Development Bank (ADB) reported growth to be 7.1% from 2017 – 2018 and a forecasted 7.0% by 2019. The World Bank projected 6.7% by 2020.
The real estate in Cambodia has boomed up. The housing demands are high - making the property developers to expend their housing development projects tremendously. Among those developers, KFA has started its property development project called “Kean Svay Park” – building 168 flat houses with low cost, but high quality.
KFA is a highly successful and associated companies generating excellent returns from investments and land sector with strong link to cliental, who wants to invest in property and land sectors.
|DEVELOPMENT||:||Commercial Property development throughout the kingdom of Cambodia|
|LAND||:||Identifies, secures and promotes land with the potential to add value through the planning process|
|HOMES||:||Aspirational living, prime locations, exceptional design: KFA Homes, taking living to the next level|
Our clients include major property developers. Our lawyers have acted in a wide range of property developments. We provide technical and skillful advice regarding development contract, development leases, project management agreements and matters ancillary thereto.
We are confident that commercial property will continue to add long-term value and provide the welcome benefit of portfolio diversification.
Many real estate investors are keen to step up to the next level and get involved in property development.
They think "I will buy a block of land or old house, pull it down and build a number of town-houses, units or apartments. And then maybe I'll sell some, keep some and move onto the next project. "It all sounds so simple.
But there is a lot more to the development process than what you see happening on site. In fact most of the success of any property development is underwritten long before you commence construction. You see. "Property developers follow a sequence of steps from the moment they first conceive a project to the time they complete the physical construction and begin ongoing asset management. While the sequence may vary slightly, usually the development is broken up into the following elements:
The Attributes of Successful Property Developers In these changing times when property investors can no longer count on double digit price growth, many are considering getting started in property development to help them 'manufacture' some capital growth.
To me it is the continual reconfiguration of the built environment to meet society's needs. Houses, apartments, office buildings, shopping complexes, road and sewers don't just happen. Somebody must motivate and manage the creation and eventually the recreation of the spaces in which we live, work and play. The need for development is constant because of our massive population growth and the changing tastes of how we want to live. Interestingly our population recently ticketed over to 15 million people and it took us over 200 years to get to this size.
Successful property developers aren't born and they're definitely not created overnight. Their success comes from a combination of attitude, experience, education, instinct and the lessons learned from both victories and failures. Property development is an extremely creative process. Successful property developers are a bit like movie producers. They take a project from the conception of an Idea in somebody's mind through the design and approval phase, financing, construction, marketing and then eventually the leasing or sale of the project. Developers assemble a highly talented team of people and skillfully lead them to develop a profitable outcome, which means they need to be proactive and make things happen. They must also be creative, flexible and adaptive to take their project through this maze. Developers need to work hard, have patience, remain focused and have a burning determination to succeed. While the process of property development can be a lot of fun, it is not without some pain and considerable risk. When all goes well the results are fantastic but If things go wrong, they really go wrong. Developers follow a sequence of steps from the moment they first conceive a project to the time they complete the physical construction.
Along the way they will need to negotiate with real estate agents, banks, financiers, councils, neighbors, consultants, owner occupiers and tenants. A good developer must be a big picture thinker, but must know when it's important to take care of the details.
While a property developer does not need to have intimate knowledge of all aspects of the development process, he must have a good under standing of the economy, property markets, the town planning process, building construction and finance so he can assemble a proficient team around him and manage them with credibility. Before getting involved in property development, be honest and ask yourself:
While property development can be very lucrative, many beginning property developers get themselves in to trouble because they don't know what they don't know.