ASEAN KEY DESTINATIONS
Korean projects heat up Cambodian property market
South Korean investor GS Engineering and Construction on Wednesday held the ground-breaking ceremony for the construction of its 52-story skyscraper in Phnom Penh, the tallest one to be built in Cambodia and latest one to stir up the heated market and trigger off mixed comments.
Cambodian Deputy Prime Minister Sok An said at the ceremony that the construction shows the close relations between South Korea and Cambodia and the confidence of foreign investors for Cambodia in its political and economic stability.
"The project will provide hundreds of jobs and contribute to the economic development of our country," he said. The skyscraper, a model role from the private sector in developing the country, will become the historic building and the tallest in Cambodia and become a center of tourism, culture and engineering. he added.
GS Engineering and Construction, the largest real estate developer in South Korea, will take 45 months to complete the billion-dollar International Finance Complex (IFC) project near the Tonle Bassac River around March 2012, according to a press release.
The 68,461 square meters project includes a 52-story office block, a 32-story residential block with 275 units, an international school and a shopping mall with 1,064 units, it said.
"The plan is to expand business domain not just to architecture and housing, but to a broader area of plant, civil engineering and development," it added.
GS Engineering and Construction president and CEO Kevin Kab Ryul Kim said that the recent interest of the Cambodian government in city development welcomes South Korean company's development projects with advanced technologies like us.
"IFC Phnom Penh projects will open the gates to more South Korean companies entering the Cambodian market," Kim said, adding that with this project, GS will lead the real estate and development market of Cambodia, newly rising in the Indochina peninsula.
The plan is to expand business domain not just architectures and housing, but to a broader areas of plant, civil engineering and development, he added.
Meanwhile, Mu Hion Woo, the developer's Chief of Business Division in Cambodia, told local media earlier last week that the project is not only a business but also a contribution to the development of Cambodia.
"If you want to see the potential of Cambodia, you can see it in this project," he added.
Currently, a second South Korean real estate developer is constructing a 42-story skyscraper of comprehensive functions, namely the Golden Tower, in downtown Phnom Penh and a third one developing a satellite city named Camko in the suburbs.
These South Korean projects will transform the skyline of the capital, as it is now dominated by buildings only four- or five-story high.
And, the GS project seems to compete with the Gold Tower and the Camko City in the ever booming real estate market of Phnom Penh.
The three mega projects are widely considered as new achievements of the Cambodian government led by Prime Minister Hun Sen. People are waiting and want to see them turned into reality.
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