On Myanmar's property scene, cheaper condos are hot

A worker cleaning a bedroom mock-up, at a showroom for a mixed-use development in Yangon, Myanmar, in 2012.
JANUARY 30, 2020 - 2:16 PM

PROPERTY players in Myanmar be jostling for condominiums in the low- to middle-income market, a real estate consultancy has suggested in its latest quarterly report.

With developers and local banks jointly dangling attractive long-term loan rates to woo first-time home buyers, this segment has been dubbed the market sector to watch in Q1 2020.

Still, Colliers International’s research team warned that higher supply of serviced residences could put pressure on rents, even as demand still comes from studios and two-bedder units.

“The entry of new serviced apartments and projected rise in competition should exert further pressure on rents across all unit configurations,” the analysts’ report noted.

“Given that hotel projects and investments are still mostly geared towards the upper-scale segment, developers and operators should venture into the untapped mid-scale category.”