There are many signs of recovery that s evident in the real estate market of Yangon as well as its construction industry. Notwithstanding the remaining challenges that they are facing, FMR which is a research company revealed in its semi-annual review that the real estate sector is on its way to recovering. There are already a handful of hotel projects and Yangon serviced apartment that are lined up to be constructed in the following years.
According to a publication released by FMR called Yangon Real Estate Review, there will still be a number of project cancellations as well as delays that are anticipated in the coming months because of the reassessments that are being conducted by developers with regards to the viability of their project.
In a statement they have published last month, the company said that there are signs of economic recovery in the long-term aspect of the market and its potential is starting to show since the stagnation felt in 2016 is coming to an end. In order for the market to have success in a long-term basis, it is important that the government policies should be consistent.
The review also states that there has been slow growth seen in the sales of off-plan residential projects in majority of the developments as well as new projects emerging are not that many.
FMR clarified that despite this, there a handful of developments that are changing the current trend and more and more proofs are showing that new projects will soon to be launched in the country.
There is still the lingering effect of the work suspension that was imposed on the projects located in Q2 and Q3 of Yangon while there are still developments that are still unmoved after the decision.
Commercial projects are coming to life after the development of the Junction City in the downtown area of Yangon. Aside from the retail mall, the project will have more office space allocated which will cover about an additional of 33,000 square meters.
Many of the developers such as those offering Yangon serviced apartment are looking into international companies to help them operate their project and stay ahead of their competitions.