Since plans were announced to begin the development of low-cost housing (LCH) projects, in an attempt to fulfill Yangon’s housing demands, land prices in the areas near to the projects have spiraled, according to sources in the real estate market.
Last year, work began on LCH projects at Ayeyarwon and Yadanar and real estate agents say that land prices, particularly of farm land, has risen in these areas, leading to a slow in the market.
“In the past, the real estate market in these places was very good, when often between five and 10 plots of land were being dealt on a daily basis, but now work has begun on the [LCH] projects, less plots are being sold,” said U Myint Thein, a real estate broker in Dagon Myo Thit Seikkan township, near to where the projects are being built.
U Myint Thein said that real estate agents as well as land owners are benefitting from the rise in prices.
The Ayeyarwaddy housing projects at Dagon Myo Thit Harbour township will involve the construction of 70 buildings made up of 400 apartments, while the Yadanar projects will be a much larger project with 90 buildings housing 5,000 LCH apartments.