Bridge project stirs property prices in Dala
07 Jan 18 - Source: Myanmar Times - Property prices in Dala Township are rising after construction of a bridge linking Dala to downtown Yangon was finally given the green light on December 24, 2018 after six years of deliberation.
Expected to be completed in three and a half years, the US$138 million South Korea-Myanmar Friendship Bridge, will connect Phone Gyi Street, in Lanmadaw Township, Yangon and Bo Min Yaung Street in Dala Township, making travel between Dala and downtown Yangon much easier.
First announced in 2012, under the U Thein Sein government, the project was suspended due to issues involving land and bridge measurements.
As a result, Dala had been left behind in terms of development compared to Yangon. Now though, locals expect more progress will come to Dala after the bridge is completed and property prices near Dala are already rising, say real estate agents.
"Now that the bridged is definitely being built property prices are gradually rising," said real estate agent Ko Phyo Thu Aung, adding that this will be a change from the past where the market was quiet.
"At present, transactions mostly involve business people from China taking up properties to run businesses, and locals looking for homes in quieter areas away from the city centre," said Ko Phyo Thu Aung.
"Prices for 110 square metre (1200 square foot) parcels of land along the inner streets of Dala Township were previously around K25 million (US$16,000), but some owners are now asking for double after the ground-breaking ceremony for the bridge," Dala Real Estate Agency managing director U Ko Ko Zaw.
Around 2014, before the delays to the dridge, the price of farmland close to the main road in Dala rocketed to nearly K100 million per acre. Today they are being offered for about K50million, said Daw Moh Moh Aung, general secretary of Myanmar Real Estate Services Association.
Although parcels measuring 220 square metres along Bo Min Yaung Road and Myawadi Min Gyi Road in Dala and close to the bridge project used to be priced from K150 million to K200 million, prices today are closer to K300 million, according to property websites.
''Currently, people are more interested in the plots along the streets rather than on the main roads," said U Ko Ko Zaw, adding that there is greater demand for plots priced between K30 million and K60 million, while few people are keen on parcels priced higher than K100 million for now.
''When the bridge is complete, I expect Dala to become the second Yangon," he said.
As people can get to Yangon directly via the Dala Bridge once it is completed, the flow of goods and commerce will improve and this will support economic development, said U Ko Ko Zaw.
The fruits of development that will be brought by the bridge will cover not only Dala Township but also adjacent areas like Kawhmu and Kungyangon townships.