Rents in Yangon going through the roof
Increased investment activity and the new international popularity of Myanmar after it hosted the World Economic Forum on East Asia earlier in June has drawn droves of foreigners to examine business opportunities in the country.
The result is that rents for foreigners on the chronically undersupplied housing market have taken off to twice and triple the value of just two years ago.
Reports by Yangon-based real estate agencies say that rents for a newly-built 60 square meter one-bedroom apartment in a prime location building in Yangon can now reach up to $5,000 a month, while the rate for 2-3 bedroom apartments for lease is up to $8,000 a month.
The shortage of apartments is becoming worse because landlords increasingly are converting them to offices to rent them even at a higher rate.
Unfurnished apartments in older buildings in residential areas can cost between to $1,500 and $2,500 a month, a check at several rental agencies’ websites in Yangon shows. The few serviced apartment buildings in Myanmar’s financial capital have daily rates between $250 and $550.
Only in run-down buildings in less central areas and townships cheaper rentals at grassroot levels – at around $150 per month – can be found. But all of them, including dormitories for workers, have seen a steady increase and are occupied by Yangon’s indigenous middle class that can afford these rents.
Rents for Grade A and Grade B offices in Yangon are $100 and $80 per square meter per month, around 4 times higher than in Ho Chi Minh City, for example.
A stay at an old 4-star hotel costs $300-400 per night, this is what the Marina Bay Sands in Singapore charges for a deluxe room. However, the overpriced hotels in Yangon are always fully booked due to a supply shortage.
Increased investment activity and the new international popularity of Myanmar after it hosted the World Economic Forum on East Asia earlier in June has drawn droves of foreigners to examine business opportunities in the country. The result is that rents for foreigners on the chronically undersupplied housing market have taken off to twice and triple the value of just two years ago. Reports by Yangon-based real estate agencies say that rents for a newly-built 60 square meter one-bedroom apartment in a prime location building in Yangon can now reach up to $5,000 a month, while the rate for 2-3 bedroom...
Increased investment activity and the new international popularity of Myanmar after it hosted the World Economic Forum on East Asia earlier in June has drawn droves of foreigners to examine business opportunities in the country.
The result is that rents for foreigners on the chronically undersupplied housing market have taken off to twice and triple the value of just two years ago.
Reports by Yangon-based real estate agencies say that rents for a newly-built 60 square meter one-bedroom apartment in a prime location building in Yangon can now reach up to $5,000 a month, while the rate for 2-3 bedroom apartments for lease is up to $8,000 a month.
The shortage of apartments is becoming worse because landlords increasingly are converting them to offices to rent them even at a higher rate.
Unfurnished apartments in older buildings in residential areas can cost between to $1,500 and $2,500 a month, a check at several rental agencies’ websites in Yangon shows. The few serviced apartment buildings in Myanmar’s financial capital have daily rates between $250 and $550.
Only in run-down buildings in less central areas and townships cheaper rentals at grassroot levels – at around $150 per month – can be found. But all of them, including dormitories for workers, have seen a steady increase and are occupied by Yangon’s indigenous middle class that can afford these rents.
Rents for Grade A and Grade B offices in Yangon are $100 and $80 per square meter per month, around 4 times higher than in Ho Chi Minh City, for example.
A stay at an old 4-star hotel costs $300-400 per night, this is what the Marina Bay Sands in Singapore charges for a deluxe room. However, the overpriced hotels in Yangon are always fully booked due to a supply shortage.
