Real estate firm predicts rosy rise in land prices

PHNOM PENH, June 24 (Xinhua) -- After remaining stable for months, land prices have recovered this month and may rise even higher after the July election, local media reported Tuesday, citing a real estate agent.

The price of residential and commercial land rose slightly in June while the price of agricultural land remained the same, Soeng Bonna, director of the Bonna Realty Group, was quoted by the Mekong Times as saying.

"But this is just transitional. After the election land prices will continue to rise because our nation is in demand, with more investors coming each day," he said.

According to a recent report by the real estate firm, land near Phnom Penh's boulevards costs from 3,500 U.S. dollars to 4,500 U.S. dollars per square meter.

The costs of land some 20 km outside the city ranges from 30 U.S. dollars to 60 U.S. dollars per square meter while farm land costs 15 U.S. dollars per square meter.

Meanwhile, In Sophan, the executive director of ACLEDA's credit department, said: "We think that the Bonna Realty Group has its own basis to evaluate that land prices are increasing, but we do not see land prices recovering."