Myanmar or more commonly known as Burma, is a country situated in Southeast Asia. It has sadly been plagued with various challenges like tough sanctions from western states, but has over the recent years come to be deemed as one of this region’s top business hubs. This is particularly true of its real estate sector, which holds a lot of potential to become this region, if not the whole of Asia’s most viable market in this given industry.
However, much still needs to be done. Myanmar and especially Yangon, (one of the country’s leading cities) real estate industry has for a long time been characterized by an overwhelming and insatiable demand for world class development. Which has hitherto been met with a lackluster investment from both foreigners and locals.
The country is nevertheless now moving in the right direction, and the government has unveiled an ambitious, but highly realistic short-term and long-term economic development strategy dubbed “2040 plan’. This, if successful, will see Yangon becoming a world class city that boasts of premium real estate sold or let at very unbeatable rates. This plan is naturally aimed at attracting foreign investment to keep it on the right track.
Enactment/Amendment of Pertinent Laws
To this end the Myanmar government recently (late 2013) passed the “condominium law” which permits a hitherto unprecedented foreign ownership and even investment of high rise buildings of 6 stories and above in Yangon. The government has also gone further to enact and amend several other laws in a move to provide an impetus to the real estate in Yangon, by making it more attractive and conducive to both foreign and local investors. The most conspicuous of these enactments is the amendment of the “property tax laws”, which now demands more subsidized rates for owning property in this country, and especially in Yangon.
Thilawa Special Economic Zone
Additionally, the Myanmar government has created the Thilawa special economic zone (besides two others) to further open up its real estate industry to enhanced investment. The Thilawa special economic zone is situated near the Thilawa port that is currently the largest and busiest in the country. This zone covers approximately 2,400 acres of undeveloped land and has a great potential of increasing its current size. It is scheduled to be completed by 2015.
Substantial Real Estate Investments
Another hot Yangon real estate venture happens to be an 8 hectare complex that is situated along the Kaba Aye Pagoda road. It is destined to comprise of several apartment blocks, office buildings, a hotel and even a mall. A Vietnamese firm is behind this project that is said to eventually cost $300 million. Star City in Thanylin is another real estate venture in the Southeastern part of Yangon and comprises of 20 residential towers, a shopping complex and even a golf course. Units in this project are expected to range from $40,000 – $ 80,000.
All in all, the real estate in Yangon industry is undoubtedly ripe for exponential growth. If you might be looking to make an investment in this country, this sector can be right down your alley. Engage professionals in the real estate industry for more advice.