The company behind a high-profile development near to Shwedagon Pagoda that was cancelled earlier this month will be offered a new site for the project “very soon”, according to a spokesperson.
The Ministry of Rail Transportation has cancelled a tender to redevelop the area surrounding the Yangon Central Railway Station, with plans to launch another in the future, according to a statement posted on the Ministry of Information’s web portal late last week.
Yangon has long struggled to provide affordable housing options to its lowest income citizens, due to a lack of financing options and high land prices. Real estate agents believe that new developments in Dagon Seikkan township may be the first step towards a solution.
The sale of units in built-operate-transfer (BOT) housing developments has slowed almost to a standstill, as buyers grow increasingly wary of the risks, according to commentators.
Off plan sales of condominium units in Yangon have slowed this year, following a three year boom. As a result, some developers are likely to be left without enough money to continue to build and will be forced to default on their projects, which could further hurt market confidence, say experts.
The Yangon Region government has issued a tender for the development of a new town project which would expand the city to the southwest, after parliament reapproved the temporarily-suspended project in June.