RETAIL SCIENCE C a m b o d i a – R e t a i l M a r k e t V i e w

April 2016

• Cover Page V. 1

1. RETAIL MARKET UPDATE

2. RETAIL TRENDS

3. CONSUMER SURVEY

C O N T E N T S

R E T A I L M A R K E T U P D A T E

C A M B O D I A

5 CLIENT NAME | PRESENTATION TITLE CBRE

RETAIL MARKET UPDATES – PHNOM PENH

Sorya Shopping Center to get $5 Million Make

Over

When Sorya Shopping Center announced its planned $5 million

investment earlier this week, investors hailed the opportunity to

boost the retail business through the planned renovations.

The mall’s facelift will host new international and domestic retail

brands offering jewelry, cosmetics, apparel and shoes for

women, men and children, and electronics. There will also be

banks, and room for recreational offerings such as playgrounds,

gyms, a spa centre, a cinema, and food and beverage outlets.

Naga City Walk (to be open in August 2016)

City Walk’s projects include a two-level walkway with retail

facilities covering 15,778 square metres called NagaCity Walk,

and a 9,934-square metre tourist park sited along the Tonle

Bassac River opposite Hun Sen Park.

China Duty Free Group (CDFG) is the sole tenant to occupy the

exclusive retail spaces.

6 CLIENT NAME | PRESENTATION TITLE CBRE

RETAIL MARKET UPDATES – SIEM REAP

DFS to Open T Galleria Store near Angkor Wat

SIEM REAP, Cambodia — Luxury travel retailer DFS is set to

enter Cambodia in 2016 with a 8,000-square-metre ‘T Galleria’

retail complex (the ‘T’ stands for traveller) to be housed in a

building shared with the Angkor National Museum in the

provincial capital of Siem Reap, gateway to the world heritage

site Angkor Wat which accounted for almost 30 percent of the 4

million international visits to the country in 2013.

The new retail space will sell fashion and accessories, watches

and jewellery and beauty from brands in DFS's portfolio of over

700 brands including Chanel, Dolce & Gabbana, Louis Vuitton

and Bottega Veneta, alongside a selection of locally crafted

pieces.

7 CLIENT NAME | PRESENTATION TITLE CBRE

P H N O M P E N H – E X I S T I N G S U P P L Y

Vattanac

Tower

Aeon Mall

TK Avenue

Sorya

Center

8 CLIENT NAME | PRESENTATION TITLE CBRE

AEON MALL • Location: Chamkarmon Dist.

• 104,000 sqm GFA

• Open: Q2, 2014

• Rentals: Revenue sharing scheme and fix rental

• Occupancy: 100%

• Positioning : Mid to High End

PHNOM PENH EXISTING SUPPLY

9 CLIENT NAME | PRESENTATION TITLE CBRE

VATTANAC TOWER • Location: Daun Penh Dist.

• 7,000 sqm GFA

• Open: Q1, 2014

• Rentals: Revenue sharing scheme and fix rental

• Occupancy: 70%

• Positioning : Luxury

PHNOM PENH EXISTING SUPPLY

10 CLIENT NAME | PRESENTATION TITLE CBRE

TK AVENUE • Location: Toul Kork Dist.

• 11,000 sqm GFA

• Open: Q4, 2013

• Rentals: Revenue sharing scheme and fix rental

• Occupancy: 95%

• Positioning : Mid to High End

PHNOM PENH EXISTING SUPPLY

11 CLIENT NAME | PRESENTATION TITLE CBRE

PHNOM PENH HIGH STREET RETAIL

Preah Sihanouk Blvd

Preah Norodom Blvd

Preah Norodom Blvd

12 CLIENT NAME | PRESENTATION TITLE CBRE

PHNOM PENH RETAIL SUPPLY OVERVIEW

Source: CBRE Research, Q1 2016

Phnom Penh Retail Supply by Grade 2008 – 2018F

13 CLIENT NAME | PRESENTATION TITLE CBRE

RETAIL FUTURE SUPPLY IN APAC 2016 - 2018

Source: CBRE Research, Q1 2016

0 5 10 15 20 25 30 35 40

Shanghai

Shenzhen

Guangzhou

Beijing

Bangkok

Metro Manila

Tokyo

Hong Kong

Seoul

Phnom Penh

Singapore

Sydney

Hanoi

Melbourne

New Delhi

Jakarta

Taipei

Mumbai

Brisbane

HCMC

Auckland

Adelaide

Perth

2016F 2017F 2018F

Million Sq.ft

14 CLIENT NAME | PRESENTATION TITLE CBRE

P H N O M P E N H – F U T U R E S U P P L Y

Exchange

Square

Parkson

PPCC

Parkson

Lion City

Aeon Mall 2

Naga City

The Bridge

Borey Peng

Huot

Olympia City

Orkide

15 CLIENT NAME | PRESENTATION TITLE CBRE

EXCHANGE SQUARE – Hong Kong Land • Location: Daun Penh Dist.

• 13,000 sqm GFA

• Opening Q4, 2016

• Positioning : Medium to High End

PHNOM PENH FUTURE SUPPLY

16 CLIENT NAME | PRESENTATION TITLE CBRE

PARKSON PHNOM PENH CITY CENTER – Hassan Group • Location: Daun Penh Dist.

• 70,000 sqm GFA

• Opening Q4, 2016

• Positioning – Medium to High End

PHNOM PENH FUTURE SUPPLY

17 CLIENT NAME | PRESENTATION TITLE CBRE

NAGA CITY WALK – Naga Casino

•Location: Daun Penh Dist.

•3,780 sqm GFA

•Opening Q3, 2016

•Positioning : Luxury

PHNOM PENH FUTURE SUPPLY

18 CLIENT NAME | PRESENTATION TITLE CBRE

RETAIL RENTAL RATE OVERVIEW

Source: CBRE Research, Q1 2016

Quoting Rental Rate by Type as of Q1/2016

Rental Rate Range Average Rental Rate

19 CLIENT NAME | PRESENTATION TITLE CBRE

RETAIL RENTAL RATE IN APAC OVERVIEW

Source: CBRE Research, Q1 2016

Prime Rental Rate and Prime Management Fee as of Q1/2016

0

10

20

30

40

50

60

0

300

600

900

1,200

1,500

1,800

Manag

em

ent

fee (

US

$/s

m)

Rent

(US

$/s

m)

Prime Rent Prime Management Fees

RETAIL TRENDS

COOL HOTELS

RETAIL TRENDS

JAPANESE FOCUS

RETAIL TRENDS

QUIRKY FOOD & BEVERAGE

21 CLIENT NAME | PRESENTATION TITLE CBRE

RETAIL TREND COOL HOTELS

SUN & MOON, URBAN HOTEL – A NEW MODERN DESIGN HOTEL

Located in the vibrant heart of Phnom Penh, Cambodia. Walking distance from the city’s landmarks and

tourist attractions, the hotel is located in a emblematic old quarter of Cambodia’s capital, a few hundred

meters from the busy and eclectic riverside.

22 CLIENT NAME | PRESENTATION TITLE CBRE

RETAIL TREND FOOD & BEVERAGE

Starbucks to open their second outlet at Aeon

Mall Phnom Penh

Starbucks had launched its first outlet at Phnom Penh

International Airport since Q4, 2015.

The second outlet was planned to open at Boeung Keng

Kang area but it appears in Aeon Mall before it and set to

open soon.

Fuji Japanese Restaurant to open their first outlet

at Aeon Mall Phnom Penh

Fuji Japanese Restaurants dominate the Thai Japanese

restaurant market with delicious, nutritious Japanese food.

The first outlet is now under renovation at Aeon and set to

open soon in Q2. 2016.

23 CLIENT NAME | PRESENTATION TITLE CBRE

RETAIL TREND FOOD & BEVERAGE

Japanese Restaurants just keep on opening….

Opened

Q4, 2015

Opened

Q4, 2015

Opened

Q1, 2016

Opened

Q1, 2016

24 CLIENT NAME | PRESENTATION TITLE CBRE

RETAIL TREND FOOD & BEVERAGE

Bassac Lane, small pub street with rum distillery, and other new trends in Phnom Penh…

25 CLIENT NAME | PRESENTATION TITLE CBRE

CONSUMER SURVEY

26 CLIENT NAME | PRESENTATION TITLE CBRE

CONSUMER SURVEY The two primary drivers for visiting any venue is specific merchandise and dinning

Source: TNS

27 CLIENT NAME | PRESENTATION TITLE CBRE

CONSUMER SURVEY Elements attracting shoppers to malls are largely similar across ages

Source: TNS

28 CLIENT NAME | PRESENTATION TITLE CBRE

CONSUMER SURVEY Varying widely by age, the top activities that consumers do most frequently for entertainment

Source: TNS

29 CLIENT NAME | PRESENTATION TITLE CBRE

CONSUMER SURVEY Most shoppers spend less than $1000 abroad and more than half purchase clothing, shoes or bags

Source: TNS

30 CLIENT NAME | PRESENTATION TITLE CBRE

CONSUMER SURVEY Each shopping venue has distinct products that attract consumers

Source: TNS

THANK YOU

©2016 CB Richard Ellis (Cambodia) Co. Ltd. The information above has been obtained from sources believed reliable. While we do not doubt its

accuracy, we have not verified it and make no guarantee, warranty or representation about it. It is your responsibility to independently confirm its

accuracy and completeness.

T H A N K Y O U F O R M O R E I N F O R M A T I O N , P L E A S E C O N T A C T :

Hang Vu +84 912450189

Hang.vu@cbre.com