TEHO International Co Ltd, the company behind The Bay—a $500 million mixed-use real estate project on Chroy Changvar peninsula—said in a filing on Friday that it has suspended construction of The Bay’s residential towers.
“There is a heightened risk of oversupply of condominiums as condominium supply is expected to increase significantly through to 2018,” it said. “In the best interests of the Group’s ‘The Bay’ project, and having considered the market conditions in Phnom Penh and other factors, the Group and its joint venture partner have decided to put on hold the residential development phase of the project.”
The Bay was formally launched in Febraury 2015. The project is composed of six towers ranging from 45 to 55 floors, with a total of over 2,000 residential units, and a 250-room luxury hotel. Its first phase, comprising 688 condo units, was slated for completion by 2019.
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