Construction of the $2 billion, 133-story twin tower skyscrapers planned to rise opposite NagaWorld will start in the middle of this year, an official who helped design the project told Khmer Times yesterday.
Tous Saphoeun, dean of the Architecture and Urban Planning Faculty of Mathematics, Sciences and Engineering at Pannasastra University, also said the massive project would be finished in three years.
The project will cover a five hectare block of land opposite Phnom Penh’s sole casino. It is a joint venture between Thai Boon Roong Co. Ltd, IP Group, Shang Hai Company and China State Construction Engineering Corp.
The twin towers will be called Thai Boon Roong Twin Commercial Center.
After the project was announced, some media reported the cost of the mammoth project would be $1 billion. However, the investment capital in the construction of the project changed after a study was carried out.
“The company planned to inject about $1 billion into the project, but after a study, it cost more and they increased the investment capital to about $2 billion,” Mr. Saphoeun said. “The presence of the building will change Phnom Penh’s skyline,” he added.
Phnom Penh governor Pa Socheatvong said during the official launch that the towers would be 500 meters tall, the biggest ever built in Cambodia, and would inject billions of dollar into Cambodia’s property sector.
“This twin-building project is not only situated in a good location, but it will promote Phnom Penh’s skyline to the next level and attract more investors to the country,” Mr. Socheatvong said.
Dith Channa, the managing director of Lucky Realty, said the project, if it proceeds, would boost the property sector. “It would help boost land prices around the area and attract big investors from overseas and as well as tourists,” Mr. Channa said.
“If the project truly pops up in Phnom Penh, it will have no risk because with such a big project the developer will study about the supply and demand before they put in their investment capital,” he added.
Mr. Channa was not as optimistic about the current status of the condo market, saying supply seemed to exceed demand.
“We can say that one condo project is successful when the project is filled with residents, but now some completed projects do not have many residents as many people here have not changed their lifestyle to live in condos,” he said. “It takes times to fill the market.”
Investment in the construction sector reached an all-time high last year at almost $3.5 billion, up about 40 percent from the $2.5 billion invested in the sector in 2014, according to data from the Ministry of Land Management, Urban Planning, and Construction.
About 700 buildings, ranging from five to 55 floors, were built last year across the country, with most going up in the capital, Kandal, Siem Reap, Sihanoukville and Battambang provinces, officials said.