PHNOM PENH RETAIL MARKET - CBRE CambodiaApr 24, 2018 · PHNOM PENH RETAIL MARKET Presented By...

PHNOM PENH RETAIL MARKETPresented By Richard Leech, Executive Director, CBRE Cambodia

24 April 2018

2CBRE CAMBODIA

P H N O M P E N H R E T A I L

TOP STORIES – RETAIL MARKET

3CBRE CAMBODIA


RETAIL TRENDS 2018

COMMUNITY MALLS as a new trend from 2018

Growth of CONVENIENCE STORES

1

2

Continued expansion of FOREIGN RETAILERS3

Fintech & E-commerce4

4CBRE CAMBODIA


RETAIL TRENDS 2018 – COMMUNITY MALLS

Midtown Mall

Noromall

The Park Downtown 93

Tropics Mall

5CBRE CAMBODIA


RETAIL TRENDS 2018 – CONVENIENCE STORE

• New convenience stores to enter Cambodia;

• Aggressive expansion of existing convenience stores;

6CBRE CAMBODIA


RETAIL TRENDS 2018 – CONTINUED EXPANSION OF FOREIGN

RETAILERS

Source: CBRE Research, Q1 2018

New Entrants – F&B Q1 2018• New entrants focusing on

F&B and mid-range fashion;

• Continued expansion of foreign retailers within new retail complexes;

7CBRE CAMBODIA


RETAIL TRENDS 2018 – FINTECH & E-COMMERCE

Key Stats about Cambodia

46% 49% 5%

8m

MOBILE SUBSCRIPTIONS

29.20 m

3G 4G Wifi3.4m 660k 440k

+6% growth per year and181% vs. total population+43%

vs. 2017

FintechE-commerce

7m 7m

Active Social Media Users

InternetUsers

Active Monthly Facebook User

43%penetration

50%penetration

Source: We Are Social; Geek in Cambodia

PHNOM PENH RETAIL SUPPLY

9CBRE CAMBODIA


OVERVIEW OF PHNOM PENH RETAIL MARKET

Shopping Mall Shopping Centers Community Malls

Retail Podiums Retail Arcades Supermarket

10CBRE CAMBODIA



RETAIL SUPPLY

0

50,000

100,000

150,000

200,000

250,000

300,000

350,000

400,000

450,000

500,000

550,000

600,000

2009 2010 2011 2012 2013 2014 2015 2016 2017 2018F 2019F 2020F

Shopping Mall Shopping Center Community Mall Retail Podium Other Retail

11CBRE CAMBODIA



RETAIL SUPPLY TIMELINE

2003Sorya Center Point

2008Sovana Shopping Center

2009Bayon SupermarketCity Mall

2011Ratana Plaza

2013SteungMean CheyCenter

2014Tk AvenueVattanac CapitalAeon Mall

2016Naga City Walk

2017Exchange SquareMakro

2018The ParkAeon Mall 2MIDTOWN MallThe BridgeDowntown 93The Olympia Mall

2019Noro MallPhnom Penh Megamall

2020Orkide The RoyalThe PeakPH Diamond Plaza

2021Eco Mall

12CBRE CAMBODIA


Vattanac Capital

Exchange Square

Naga City Walk

AEON MallCity Mall

Steung MeancheyCenter

TK Avenue

Sovanna Mall

Ratana Plaza

Makro

CURRENT SUPPLY MAP

Sorya Center Point

13CBRE CAMBODIA


AEON Mall 2

PP Mega Mall

Midtown Mall

The Bridge

Olympia Plaza

KEY FUTURE SUPPLY

70,500 sqm

70,200 sqm

5,000 sqm

30,000 sqm 24,000 sqm

Orkide the Royal Mall

30,000 sqm

The Peak

20,000 sqm

Downtown 93

4,000 sqm

The Park

4,000 sqm

Eco Mall

50,000 sqm

PH Diamond Plaza

30,000 sqm

7,000 sqm

Tropics Mall Noro Mall

9,300 sqm

14CBRE CAMBODIA


CURRENT VS. FUTURE SUPPLY

Key>70,000 sqm50,000 – 69,999 sqm30,000 – 49,999 sqm10,000 – 29,999 sqm<9,999 sqm

Existing Supply

Future Supply

RETAIL MARKET REGIONAL

BENCHMARKING

16CBRE CAMBODIA


Source: World Bank / World Population Review / CBRE Research

REGIONAL RETAIL MARKET BENCHMARKINGPhnom Penh, Cambodia

GDP Growth ‘17 6.9%

GNI Per Capita US$1,140

Population 1.9 Million

Retail Space (m²) 220,000

Retail per Capita 0.12

Hanoi, Vietnam



Population 8.6 million



Bangkok, Thailand




Retail Space (m²) 7.4 million


Singapore, Singapore




Retail Space (m²) 4.5 million


Ho Chi Minh, Vietnam






Yangon, Myanmar






Vientiane, Laos



Population 783,000



17CBRE CAMBODIA


RETAIL SUPPLY VS DEMAND


95%92%

95%

89%

82%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

0

1,000,000

2,000,000

3,000,000

4,000,000

5,000,000

6,000,000

7,000,000

8,000,000

9,000,000

Bangkok Singapore Ho Chi Minh Hanoi Phnom Penh

Supply as of Q1'18 New Supply in 2018 Occupancy as of Q1'18

+4%

+2%

+26% +21%

+95%

18CBRE CAMBODIA


NO. OF NEW RETAIL ENTRANTS IN 2017

0

10

20

30

40

50

60

70

80

90

Hong K

ong

Taip

ei

Tokyo

Sin

gapore

Shenzhen

Beijin

g

Bangkok

Shanghai

Chengdu

Phnom

Penh

Chongqin

g

Wuhan

Hanoi

Kuala

Lum

pur

Guangzhou

Seoul

Ho C

hi M

inh C

ity

Chennai

Kolk

ata

Shenyang


F&B

54%

Fashion &

Accessories

33%

Other

13%

Thailand

25%

The US

17%

Denmark

8%

France

8%

Other

42%

Asia PAC

54%EMEA

33%

Americas

13%

PHNOM PENH RETAIL RENTS

20CBRE CAMBODIA


PHNOM PENH RETAIL RENTS

$31.6 $30.6

$26.8

$32.0

$-

$10.00

$20.00

$30.00

$40.00

$50.00

$60.00

$70.00

Prime Shopping Mall Prime Retail Podium Community Mall Prime High Street

Rental Rate Range Average Rental Rate


Note: Rents shall exclude service charge and VAT where applicable and do not include those of anchor tenants

21CBRE CAMBODIA


PRIME RETAIL COMPARISONS


Note: Prime retail rents for ground floor and first floor only

$0

$50

$100

$150

$200

$250

Singapore Hanoi Bangkok Ho Chi Minh Phnom Penh

22CBRE CAMBODIA


FORECAST RETAIL RENTAL GROWTH 2018

-8%

-6%

-4%

-2%

0%

2%

4%

6%

8%

Phnom

Penh

Singapore Bangkok Ho Chi

Minh

Hanoi Kuala

Lumpur

Beijing Shanghai Hongkong Taipei Tokyo


THANK YOU

Richard Leech

Executive DirectorE: [email protected]

Thyda Pov

ManagerE: [email protected]

Sivmey Prak

Leasing ExecutiveE: [email protected]

Anna Dungca

Leasing ExecutiveE: [email protected]

Retail Services Research

James Hodge

Associate DirectorE: [email protected]

Muyngim Lim

Senior ManagerE: [email protected]

Sonic Sovuth

AnalystE: [email protected]

Kimsea Chea

AnalystE: [email protected]

THANK YOU

© 2018 Advantage Property Services Co., Ltd, trading as CBRE Cambodia, part of the CBRE affiliate network. All materials presented in this report, unless specifically indicated otherwise, is undercopyright and proprietary to CBRE. Information contained herein, including projections, has been obtained from materials and sources believed to be reliable at the date of publication. While we do notdoubt its accuracy, we have not verified it and make no guarantee, warranty or representation about it. Readers are responsible for independently assessing the relevance, accuracy, completeness andcurrency of the information of this publication. This report is presented for information purposes only, exclusively for CBRE clients and professionals, and is not to be used or considered as an offer or thesolicitation of an offer to sell or buy or subscribe for securities or other financial instruments. All rights to the material are reserved and none of the material, nor its content, nor any copy of it, may bealtered in any way, transmitted to, copied or distributed to any other party without prior express written permission of CBRE. Any unauthorized publication or redistribution of CBRE research reports isprohibited. CBRE will not be liable for any loss, damage, cost or expense incurred or arising by reason of any person using or relying on information in this publication.

THANK YOU

CBRE Cambodia | +855 23 964 099 | [email protected] | www.cbre.com.kh

PHNOM PENH RETAIL MARKET - CBRE CambodiaApr 24, 2018 · PHNOM PENH RETAIL MARKET Presented By...

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