Sitting on a cradle on the second floor in The White Building, a woman with white hair as a resident in the buildings built in the mid-60s, looking at buildings, hotels and Naga World casino nearby tacitly seems to think of something that she does not want to talk.
The buildings with dilapidated walls, wallpaper, and moss grown on the wall as well as the repair does not comply with building standards, in the building became a black symbol for the area.
Chea Sophara, Senior Minister of the Ministry of Land Management, Urban Planning and Construction (MLMUPC) intends to cooperate with Arakawa Co, Ltd to invest on the location of this building if the dealing with some 493 families who have been living in this building has been smooth.
Gradually chatting with other villagers together, the elderly woman said, “I’m happy if they get fair compensation to leave the building, rather than return to live in the building again after the construction is complete.”
The first chief of the two on the building Ms. Hun Sarath, who have been living in the building since 1979, said what she saw is the developed country today and she was happy and wanted to leave the building to allow private companies to develop, but in return for leaving her and other villagers want their own home with $1,800 per square meter that MLMUPC and Arakawa Co., Ltd. From Japan are likely to be denied.
She continued, “I think the price is appropriate, but some villagers claimed their homes up to $2,500 to $3,000 per square meter, the price is too high. For my thoughts.” “When see this city flourish and I am happy to see the continued development, but the villagers do not want to return to the building is about the same the fated village ‘Borey Keyla’ in the city.”
The White Building is in Tonle Bassac with popular spot with high-rise buildings growing higher and more every year and Koh Pich nearby the Building site has become what developers and government officials are likely to develop this location and want to transform the business center to a vibrant commercial area.
The increasing presence of high-rise buildings in the city likely will not end soon obvious that Thai Boon Rong Twin Towers, the tallest building in the region and plans to spend $5 billion investments capital and will be an electric magnet that provide confidence and attract more investors to the country even more in the future if the present building is truly happened.
The arrival of investors, Korea, China, Singapore, Malaysia and the final investment from China has led the country to become a new economic tiger in Asia, a new name, which the Asian Development Bank (ADB) has named on behalf of the country last year. Moreover, the Bank has classified the new country from the least developed countries, as a lower-middle-income countries last year.
Mr. In Channy, President & CEO of ACLEDA Bank Plc, said leaving the country’s poor position, not only to promote the country’s prestige, but as an indication of the country’s potential to attract more investment, because the population in low-income countries, they do not want to invest, but if it becomes Middle-income countries, they will be more and more to invest in Cambodia.
He said that “The country is least developed countries status that is considered high risk, but when Cambodia became a middle-income country risk level has been reduced.”
Really obvious and indisputable that in the last decade Cambodia has been invested in hundreds of billions of dollars.
Actually investment capital in the construction sector at the end of 2016 so far has amounted to $8.5 billion, up 155.68 percent from the same period a year earlier in 2015, and investment capital of the flow of foreign direct investment (FDI) in the past twenty years, from 1994 to 2014 was approximately $19.2 billion of which 44% is the amount of Chinese investment.
Lao Tip Seiha, vice secretary of state of MLMUPU, said “The growth of investments is a good growth, reflecting the positive outlook for economic growth, political stability and social stability of the country.”
Ann Sohtida, associate director of CBRE Cambodia, said that “The present high-rise buildings is important to promote Cambodia face in Asia and the world.” She added, “Before 2010, no skyscraper, but within 7 years, the presence of high-rise buildings have appeared in numerous places with a reflection about a socio-economic progress and give confidence to investors in this country.”
According to MLMUPC’s report, Phnom Penh Capital has found that in the presence of tall buildings from 5 floors up to 40 floors are 600 buildings and more buildings are starting to build up to 63 floors.
Ms Thida said, “The increasing presence of high-rise buildings, meanwhile, has strong property laws to also contribute to greater investor confidence and draw more investment in the country.” She added, “Despite the presence of tall buildings, the country has not experienced in the management and the quality of some of these buildings that do not meet international standards.”
According to a survey of Economists Unit, it found that the size of the income of citizens in the Phnoom Penh city are earning $10,900 a year and up to$ 32,200 by 2030.
Kim Heang, president of Cambodia Valuers and Estate Agents Association said previously more people had no home, then people have homes and skyscrapers that make those who are strong and capable of investment can become rich and very smart and those who are not smart remained, that is called “Liberal Market Context”. He said that previously there were not many people going abroad, buy luxury cars, or villas, but this time does, and it shows that the country is thriving.
He said, “10 years ago I would not expect such a progressive city but now the presence of tall buildings have grown like mushrooms, it’s pride.” He continued, “When foreigners see modern stores, modern skyscrapers, luxury car they are happy to live and invest here.”
This progress cannot be cut off from peace, political stability and maintaining strong economic growth, especially the last two decades the country has achieved an economic growth of 7.7 percent from 1994 to 2014 and save up to 7 percent growth further in the medium term.
However, the economist is a good sign, but it does not reflect social economic progress.
Dr Mey Kalyan, Senior Advisor to the Supreme Economic Council, said the presence of skyscrapers, development is the efforts of the government, but as a city with many tall buildings inhabited much it will affect the environment and traffic congestion, so the government should make sure not to have too many people living in the city and it should prepare the city for the country’s national identity.
He added that “The government should not make the city too big, but should prepare a city that can express what where people can live comfortably and have a good environment.” He added that “there is criticism that the city does not have an exhibition hall, museums green areas and not enough space for relaxation.”
He cited examples from Washington that at that time more white people were living in the town but later black and poor people moved into town crowdedly, resulted nobles left to live at suburbs and remained the poors living in the city.
Dr Mey Kalyan, who used to work in Rome, Italy and many other countries in Europe, said, “I do not think there are many high-rise buildings in the city reflect the socio-economic progress of a country, but some people do not think that they think it is an urban elegance with many high-rise buildings.”
An investor of residential building in a prominent city that has been built ‘The Bridge Project’ with height of 45-storey commercial building and The Peak worth nearly $1 billion Oknha Sear Rithy CEO of World Bridge Land Co, Ltd is still optimistic about the progress that was achieved.
Oknha Sear Rithy said, “If we look at real estate investments, since large amount up to more than two hundred million of dollar in the country is about 60 percent of foreign investment, particularly from China, and the majority of their projects they studied marketing and clearly define their goals already. They also have customers from abroad in the hands.”
He said, “The real estate market will continue moving forward, there will be no fluctuations.”
