Demand for safe and regulated hostels in Yangon to house migrant workers from other states and regions in Myanmar is rising fast, according to Colliers International Myanmar.

Almost 60 per cent of migrants in Yangon live in rented hostels, with the hostel sector accounting for 30 per cent of the entire rental market.

In Yangon, it's common for hostels to consist of a space small enough to accommodate only a single mattress.

These rooms are rented out for as little as K20,000 per month, while bigger quarters can go for up to K60,000 per month.

Colliers International Myanmar says the lack of affordable accommodation options in Yangon has always been a major gripe in the local property market.

"Despite the decline in rental rates, apartments in Yangon are still considered to be more expensive compared to the neighbouring countries given the quality being offered," Colliers says.

Colliers says the emergence of hostel-type accommodation option is a good way to tap the demand coming from migrant workers who are looking for a place to stay at a price that they can afford, which is actually a significant amount.

However, Colliers recommends regulating the market in order to make sure the living conditions are acceptable.

Source: Colliers International, The Myanmar Times.

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