Chinese real estate developer Guangzhou R&F Properties is planning to invest $3 billion to build luxury hotels in Cambodia's Phnom Penh and coastal Preah Sihanouk province over the next five years.
Guangzhou R&F Properties Chairman Zhang Li said that his firm has partnered with Cambodia's Royal Group, run by Kith Meng, for the projects. The plan was announced when Zang met with Cambodian Prime Minister Samdech Techo Hun Sen.
Hun Sen, for his part, welcomed the investment plan, and noted that the deal could be beneficial to both parties because Kith Meng has land while Guangzhou R&F Properties has capital.
Furthermore, Hun Sen said that Cambodia has several factors that make boost its appeal for real estate developments: "The country has political stability, good infrastructure, and sound economic growth."
Cambodia is seeing some notable development by luxury hotel brands. In the fall, an affiliate of Hyatt Hotels Corporation entered into a management agreement with Cambodian conglomerate Chip Mong Group for a Hyatt Regency hotel in Phnom Penh. Expected to open in 2020, Hyatt Regency Phnom Penh will be the first Hyatt Regency hotel in Cambodia.
In 2014, Shangri-La International Hotel Management signed a memorandum of understanding with a Cambodian partner to launch the kingdom’s first Shangri-La Hotel in Phnom Penh, also slated for 2019.