Mar 1, 2017

Mandalay Land Prices Fall by 40%

The price of land in Mandalay’s out­skirts has dropped by up to 40 percent, with the city’s industrial zones being the most affected, according to the Manda­lay Region Real Estate Agent Development As­sociation.

The downturn in invest­ment in Mandalay’s real estate market is a result of the government’s crack­down on jade mining, the association said.

The NLD government has cracked down on jade mines deemed to be un­safe and environmentally damaging in the wake of recent landslides which killed hundreds of work­ers in Kachin State. Man­dalay is one of the coun­try’s jade centres with its raw gem markets a mag­net for potential overseas buyers.

”The plot prices werearound K80 million be­fore but now the price has decreased by half to K40 million,” said U Khin Maung Lwin, Member of Mandalay Region Real Estate Agent Develop­ment Association.

“But sales in wards Da, Dha, Na and Ye Mon Taung have been going well,” she added.
Mandalay real estate stakeholders have called on the government to sta­bilize prices and steer the market away from price manipulation.

“We want the market to stabilize and perform nor­mally with accurate pric­ing,” Ko Maung Maung Shwe, a Mandalay Region real estate agent, said.

Attracting foreign inves­tors could present one op­tion to rekindle demand in the market but Man­dalay’s tough restrictions on foreign investors own­ing land in its industrial zones pose an obstacle.

Real estate agents have predicted that the market will be buoyed over the next few years with com­pletion of a number of on­going commercial hous­ing developments.

Source: Myanmar Business Today