Cambodia Investment Review
Property service and consultancy firm Knight Frank is offering market-leading property management services as developers are being increasingly advised to appoint reputable property management firms to enhance marketability and aid owners in securing tenants.
According to Knight Frank, its property management services include the overseeing and management of various commercial and residential real estate properties as well as taking care of all daily operations for a property including collecting rent, handling maintenance, tenant complaints and more.
After the last ten years of a property and construction boom in Cambodia as well as increasing urbanization there are now more than 2,400 high-rise buildings in Cambodia that need professional property management services.
To read Knight Franks H1 2022 report on Cambodia’s real estate sector click here.
Mr. Ross Wheble Knight Frank’s Cambodia Country Director told Cambodia Investment Review that effective property management is becoming increasingly important for Cambodia to have effective building management to preserve the assets and protect the building occupants.
“Proper building management ensures the building and the environment remain healthy, clean and make it a safe place to work or live,” he added.
Adhering to Cambodia’s property management law
Under Cambodian law, property management has a defined legal framework, under Sub-Decree 126. The Management and Use of Co-owned Buildings govern the management of buildings and property management firms are required to have a license issued by the Ministry of Economy and Finance.
According to Wheble for condominiums and stratified office buildings, the common arrangement is for the developer to manage the building for two years, after this, a management committee should be formed by the units owners to manage the building.
“But in many cases, this is not happening as many of the unit owners are overseas and there are only a handful of reputable property management companies operating in Cambodia,” Wheble said.
“The strata law is similar to that in other developed markets and is in line with international practice but it is still a very new concept in Cambodia with a lot of grey areas. That’s where property management firms like Knight Frank can really add value,” he said.
Knight Frank property management services
Detailing the process for Knight Frank to initiate its property management services Wheble explained that initially, his team needs to inspect the condition of the property and the expenditure of the building, especially the consumables.
“Furthermore, we will need to look at the accounts to see if there is a healthy or poor collection of maintenance fees and understand why,” Wheble said.
“Staffing is also very important as they are the key personnel that ensures that the property is well managed. Our fees vary dependent on the work that needs to be carried out. We can educate, train the staff and create awareness on property management, especially for Strata Title properties which are governed by law in Cambodia,” he added.
To read more about Knight Frank as the leading leasing agent for Global Tech Exchange click here.
Another service Knight Frank offers when providing property management is ensuring regulatory rules are followed.
“The main concern for both developers and tenants is fire safety and health. The latest development in fire safety is the fire certification by the authorities which was endorsed on the 4th of July 2022 by the Ministry of Interior,” Wheble said.
Reflecting on emerging trends for property management in Cambodia Wheble explained that as Cambodia’s fast paced property boom property management is now being recognized as key requirement to ensure these properties are being managed really well.
“Property Management in Cambodia can shape and change the future of real estate, given the full support from all the regulatory bodies and will encourage the value of properties to grow,” he added.