As Assistant Manager, Valuation at Colliers International Myanmar, Joan Mae Lee is responsible for providing a well-supported appraisal for local and global client's properties.

WILLIAMS MEDIA spoke with Joan Mae Lee about her experience in real estate and Myanmar's property market.

When did you first start working in the property industry? 

I started working in the industry in 2015 and started my career as a Research Analyst for CB Richard Ellis in the Philippines, also as a licensed real estate broker.

My regional expertise has led me to Colliers Myanmar in 2017, and have been engaged in multiple exciting requirements relating to advisory and valuation since then.

Can you tell me a little bit about your role as Assistant Manager at Colliers International Myanmar?

Coming from a strong research background, Myanmar (despite lack of available information), has in fact been a good opportunity for me as a valuer to develop creative solutions to address these challenges.  

As assistant manager for valuation, I lead in engaging with local and global clients alike, and help them achieve their goals by going the extra mile in providing a well-supported appraisal for their properties.

What are some of the defining moments in the Myanmar real estate/expat history?

There have been several notable moments for Myanmar’s real estate market perhaps the most notable of which was sometime before 2011 when the market first opened up to the global sphere.

Prior to this there was rampant speculation on the value of land with the anticipation of high transactions from foreign investors leading locals to buy and sell land at premiums exuberantly higher than its actual value. This led to an overvalue of land which investors were unwilling to partake in.

Creative measures in the form of joint venture agreements and other investment strategies have allowed for more reasonable transactions between local and foreign entities however adjustments in land prices are still integral for future projects to become feasible.

Where are the key emerging markets/sectors that people should be looking to in Yangon that you think will have upside? What are the key marketplace opportunities? 

Retail is notably the strongest sector in the market given the high occupancy levels and healthy rental rates. Mid-tier serviced apartments and business hotels are also to watch out for.

Apart from this, the government has likewise shown keen interest in developing industrial estates. Execution is however crucial and should be reinforced with incentives to lure investors further.  

Myanmar’s geographic location as well as the country’s low labour cost prove strong potential for industrial and manufacturing. 

What advice do you have for people looking to buy property in Yangon? Advice for people looking to sell in Yangon?

For those looking to buy property, proper due diligence is a must. As mentioned above, transactions executed based on inflated rates have resulted to values that do not necessarily reflect what the property is really worth.

We recommend buyers to be aware and practice proper due diligence before engaging in negotiations. For sellers on the other hand, transactions would probably move easier upon showing of proof of the actual value of land.

Apart from this we have observed that several land owners have also opted for other schemes that would aid them in earning profit; Joint Venture agreements with land as contribution of capital in kind have grown more common in recent years. 

Are there any particular trends in demand or foreign investment you are seeing at the moment?

Investments from Asian countries are anticipated as they have shown more confidence than their Western counterparts and are likewise more familiar with investing in markets like that of Myanmar.

Likewise, the government has also implemented favourable regulations to ease the course of business between the country and its neighbours. 

Where do you see the Yangon property market in 10 years and what needs to happen to get us there?

Yangon shows much potential for development that much is for certain however numerous improvements from both public and private sectors need to take place for it to reach its full potential.

Improvements in infrastructure, access to utilities, transparency in transactions, clarity and legislations, as well as openness to negotiations from both buyers and sellers are a few of the points for improvement.

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