Cambodia's first private island resort Song Saa Island Resort has sold over 50% of it's units in just two weeks since formal launch. We spoke to developer Rory Hunter who was in Phuket for an industry event organized by CBRE and learned more about the development.
With 14 resort villas comprised of 9 one bedroom units at US$200,000 and 5 two bedroom villas for US$450,000 since it's full marketing started a few weeks ago eight units have be sold, with the greatest movement in the larger, more expensive product. The offering is a lifestyle resort managed concept with 10% guaranteed returns in the first 3 years, and afterwards a split of 50% to owners, 10% reserve for maintenance and 40% retained by the operator. Owners have 30 day free usage a year, only paying utility charges during their stays.
In the Cambodia property market only leasehold is available to foreigners though its on a single 99 year term. Opening of the resort is set for Q2, 2011. Expected room rates for the resort will be US$400 for 1 bedrooms and US$650 for 2 bedroom. Access is through Sihanoukville via a 30 minute boat ride or there will be a Cessna seaplane access.
With substantially lower land and building costs then Phuket there looks to be much development activity on the horizon especially the nearby Koh Rong archipelago where land is currently available in large blocks with white sand beaches.