Real estate prices in Sittwe triple over five years: property group

By Nyan Hein 10 Dec 2020

Nyan Hein | DMG
10 December 2020, Sittwe

Real estate prices in the Arakan State capital Sittwe have risen by up to three times their going rates of five years ago, and the local government has a responsibility to keep prices in check, said U San Shar Maung, secretary of the Arakan State Real Property Development Association.

The price of a 40x60 land plot in Sittwe’s Tayartheesu, Baukheesu, Sanpya and Myothugyi wards was around K100 million in 2015, and has reportedly risen to over K300 million in 2020, according to the Arakan State Real Property Development Association.

“There is one thing the government can do to reduce the price of land. The government should sell the land plots at a discount and build a housing project around Sittwe so that ordinary people can buy land plots and houses,” U San Shar Maung told DMG. “The government also has a responsibility to reduce the price of land.”

“The price for a land plot in key areas is set at over K500 million. Some landowners are asking for more than K800 million. I can no longer predict land prices,” said Ko Yai Yan Phyo from Sittwe Service Agency, a local real estate company.

Real estate prices have skyrocketed since migrants began bidding on land in Sittwe, according to U Khin Maung Gyi, vice chairman of Rakhine Economic Initiative Public Co., Ltd.

“In my opinion, the increase in the price of land is due to the fact that conflict-affected people are not living in their [home] areas and have taken refuge in Sittwe. I think the IDPs are buying land in Sittwe, and landowners are raising prices,” he said.

Ko Aung Kyi Moe, a Sittwe resident, told DMG that businesspeople in the Arakan State capital have bought up real estate, adding that owning a house is unaffordable for many due to speculation.

“Ordinary people cannot buy the land plots because a group of businessmen monopolise the real estate market. They [businesspeople] sell the land plots at high prices,” he explained.

DMG attempted to contact responsible officials from the Arakan State government for comment on Sittwe’s current real estate market, but they could not be reached.