After reaching the highest level in 2013, real estate prices in Myanmar are likely to settle down in 2014, despite the booming demand for commercial purposes.
With increase in intense international interest and demand, the recent draft condominium law allows foreign ownership, leading to developers constructing high-quality buildings to attract international buyers and tenants alike.
However, the high real estate prices in Yangon, the commercial center of Myanmar, have made it harder for many foreign businesses to enter the Myanmar market. Also, it may be domestic entrepreneurs – like convenience store owners – who are more severely punished by the skyrocketing prices.
Top end office spaces in the country are commanding higher rents as when compared to Bangkok, Singapore and even parts of New York.
With forecasts of demand to become even more acute, the Myanmar government should look towards infrastructural development and stability in growth of the construction market.