Gary Lam Director, Business Development +855 98 856 611 garylam@growretailasia.com Michael Vong Managing Director +855 313 799 799 michaelvong@growretailasia.com RETAIL PULSE ISSUE 2 – FEB 2021 PHNOM PENH CITY CENTER SUBMARKET SNAPSHOT Grow Retail Asia (GRA) welcomes you to another exciting installment of Retail Pulse . This second issue contains a comprehensive overview of Phnom Penh City Center’s (PPCC) retail real estate activity by covering: PPCC RETAIL ACTIVITY PPCC PROPERTY DEVELOPMENTS AND RENTS A breakdown of real estate developments contained with PPCC by development status and type. PPCC TENANT ANALYSIS An analysis of notable retailers occupying Phnom Penh City Center by square meters in Q4 2020 . PPCC’S RETAIL SUPPLY BY RETAIL FORMATS A Q4 2020 analytical breakdown of PPCC’s existing and pipeline retail supply by retail format. PPCC’S RETAIL SUPPLY BY RETAIL USE An analytical breakdown of PPCC’s existing retail supply by retail use as of Q4 2020. PPCC RETAIL MARKET Phnom Penh City Center has evolved as a focal point of new development in Phnom Penh . Growing and improving Phnom Penh City Center’s retail is easier when it is being recognized as Phnom Penh’s CBD (Central Business District). In PPCC , a retail concentration has emerged and is successful. The successful community mall retail is drawing customers from a broad geographic customer base supported by PPCC’s location along multiple significant roads , providing ease of accessibility into the area, further supports retailers present within PPCC. PPCC RETAIL ESTATE INVENTORY The number and retail supply (Net Lettable Area) of existing and pipeline retail estates within PPCC as of Q4 2020. RETAIL PULSE ISSUE 2 – FEB 2021 PHNOM PENH CITY CENTER SUBMARKET SNAPSHOT Phnom Penh City Center is a 111.6-hectare integrated township that incorporates a network of various types of real estate developments within its residential, business, retail, and recreational zones. As of Q4, Phnom Penh City Center has a total of 9 confirmed real estate developments in various phases of development. Out of these confirmed developments, 5 projects have seen completion , with another 4 projects currently under development Residential developments make-up 33% of the total confirmed real estate developments, while another 33% are pure retail centers . About 22% of confirmed real estate developments in PPCC are Mixed-Used developments consisting of offices , residences , and small-scale retail Standalone offices account for 11% of PPCC’s confirmed real estate developments as of Q4 2020, with Lamborghini’s showroom being the latest addition to PPCC , and the brands first entry into the Cambodian market. There is still more space (land) to fill-up in Phnom Penh City Center , making it possible to accommodate more real estate developments and recreational facilities with construction and planning underway for a sports complex and a central park PPCC RETAIL RENTS PPCC PROPERTY DEVELOPMENTS Phnom Penh City Center’s average retail rental stood at $23.50 per Square meter as of Q4, 2020 . This average rental rate is typically lower than pre- COVID-19 rates as retail was the most exposed sector towards the pandemic, resulting in numerous store closures , and ultimately weakening retail demand and rents Gary Lam Director, Business Development +855 98 856 611 garylam@growretailasia.com Michael Vong Managing Director +855 313 799 799 michaelvong@growretailasia.com Property Name Property Type Development Status Community Mall Under Development Residence 90 Eden Garden The Edge Complete Mixed-Use Residential Complete Khalandale Community Mall Complete View Park Community Mall Under Development Office / Showroom Lamborghini Complete The Lane (By One Park) Mixed-Used Under Development Residential / Hotel Flatiron Under Development One Park Residential Completed RETAIL PULSE ISSUE 2 – FEB 2021 PHNOM PENH CITY CENTER SUBMARKET SNAPSHOT PPCC RETAIL ESTATE INVENTORY As of Q4 2020 , PPCC contains 2 completed and operational retail estates, with the deliveries of Eden Garden and Khalandale Mall which launched in 2018 and 2020, respectively. By 2021 , PPCC will accommodate a total of 4 retail estates with the deliveries of View Park and The Lane (By One Park) which are both expected to be complete and operational by Q2 and Q3 2021, respectively. PPCC TENANT ANALYSIS The unique blend of retailers in PPCC (illustrated above) is reflective of its extensive trade area due to the ease of access into PPCC. Chip Mong Supermarket and Aeon Max Valu are the most prevalent grocery stores in PPCC as they cater to the surrounding residential community Legend Cinema remains the only cinema within PPCC, predominating the list of largest retailer by square meter FIGURE 1: PPCC EXISTING & PIPELINE RETAIL SUPPLY: (SQUARE METERS) – Q4 2020 Source: Grow Retail Asia (2021) 53% 47% 17,800 Square Meters Of existing retail supply 15,900 Square Meters Of retail supply under construction FIGURE 2: NOTEABLE RETAIL TENANTS IN PPCC BY SQAURE METERS 50-100 sq.m 101-150 sq.m 151-200 sq.m 201-300 sq.m 301-400 sq.m 2101-2500 sq.m Yellow Cab Pizza, The Barber Shop, Glimmer Salon, Pepper Lunch. Two Cows Steakhouse, Geylang Lor9, Kyoka Sushi, HELP Pharmacy, The Lobster Bay. S&P Thai Restaurant & Bakery, Dim Sum Emperors, Starbucks, Huat Huat BBQ. Chip Mong Supermarket, Baby Outlet, Aeon Max Valu, Brown Coffee Zando, The Pizza Company Legend Cinema Source: Grow Retail Asia (2021) Gary Lam Director, Business Development +855 98 856 611 garylam@growretailasia.com Michael Vong Managing Director +855 313 799 799 michaelvong@growretailasia.com RETAIL PULSE ISSUE 2 – FEB 2021 PHNOM PENH CITY CENTER SUBMARKET SNAPSHOT SUPPLY BY RETAIL FORMAT By 2021 , more than half of PPCC’s retail supply will originate from community malls , as this retail format will account for 22,600 sq.m of PPCC’s total retail supply by the end of 2021 . The remaining 11,100 sq.m of retail supply will be contributed by retail podiums by the end of 2021. SUPPLY BY RETAIL USE Food & Beverage retailers make-up the largest portion of occupied space, occupying 5,734 sq.m of PPCC’s retail supply stock. 2,400 sq.m and 124 sq.m is occupied by non-retail use such as Cinemas and banks, respectively. Supermarkets have occupied 594 sq.m of PPCC’s supply stock FIGURE 3: PPCC’S RETAIL SUPPLY BY RETAIL FORMAT FROM 2020 to 2021 Source: Grow Retail Asia (2021) Community Malls Retail Podiums FIGURE 4: PPCC EXISTING RETAIL SUPPLY BY RETAIL USE (Q4 2020) Food & Beverage (5,734 sq.m) Entertainment (2,400 sq.m) General Merchandise, Apparel & Household (1,803 sq.m) Health, Beauty & Lifestyle (1,620 sq.m) Supermarkets (594 sq.m) Services (238 sq.m) Bank (124 sq.m) Source: Grow Retail Asia (2021) 46% 19% 14% 13% 5% 2% 1% Gary Lam Director, Business Development +855 98 856 611 garylam@growretailasia.com Michael Vong Managing Director +855 313 799 799 michaelvong@growretailasia.com