Zillenium Group, a leading real estate marketplace in Cambodia, has announced a partnership with the Securities Exchange Regulator of Cambodia (SERC) and Trust Regulator (TR), aiming at providing a broader understanding of the Securities and Trust sectors, while the move is paving the way for the real estate industry player to take advantages of these two potential sectors.
On September 16th, 2022, the MoU was signed at Raffle Le Royal Hotel with the presence of H.E. Sou Socheat, Delegate of Royal Government in charge as Director General of SERC, H.E. SOK Dara, Director General of TR, Mr. Kuy Vat, Group Chairman of Zillenium Group, Chrek Soknim, President of the Cambodian Valuers and Estate Agents Association (CVEA), Mr.Gao Shan, Business Relation Director at Zillion Trust PLC, and Mr. Lem Chansamrach, CEO of Cambodia Investors Capital Partners Plc.
The MoU was inked separately at the same time, with a common objective: Zillenium Group signed the MoU with SERC and TR. CVEA announced the partnership with SERC and TR, and another MoU was signed between Zillion Trust PLC and Cambodia Investors Capital Partners Plc.
Group Chairman of Zillennium Group Mr. Kuy Vat has said that the cooperation is a new chapter joining hand between private and government sectors to raise awareness and broadens public horizons in securities and the newly-established trust.
He said, “Today’s collaboration has marked a milestone between private and government sectors which will make a more positive impact and bring great results.” He added that the real estate sector shares a deep relationship with securities and trust sectors, and the growth of these two sectors will certainly complement the real estate market.”
Zillennium is a real estate marketplace, founded in 2018 by a young energetic team having over 90-year cumulative experience in real estate and business management. The Group owns about 30 businesses, mostly in real estate.
H.E Sok Dara, Director General of Trust Regulator, said that the MoU is an important opportunity for both private and government sectors to cooperate, support, and promote the potential of the Trust and Securities sectors to the public, as well as the members of Zillenium Group.
“The advancement of the Trust sector is a new chapter for the development in Cambodia and has attracted lots of attention from the public, specifically private sectors,’’ said H.E Sok Dara.
He went on to explain that the trust sector has played a crucial role in contributing to and driving more investments in real estate because the trust sector will be an additional new investment pool where investors can rely on. “For investors especially foreigners who do not either have enough information or experience in Cambodia’s real estate market. They still can do so with a licensed trustee who will be responsible for the investment and manage the property lawfully on their behalf.”
TRUST refers to the fiduciary relationship in which the trustor places trust and confidence to manage, administer and act on behalf and for the benefit of the beneficiaries. Trust Law is promulgated on January 2019, aiming to set out rules and procedures to establish, register, manage and control four types of trusts which are Commercial Trust, Public Trust, Social Trust, and Personal Trust.
The issue of buying and investing in real estate, according to Gao Shan, Business Relation Director at Zillion Trust, might be made easier by the Trust sector. He said, “given that, our collaboration will motivate foreigners to purchase real estate, which will, in turn, increase foreign investment in the nation. As a result, Zillion Trust will be able to represent foreign investors who want to make investments in Cambodia with credibility.
“This sector will lessen the challenge for individual local, foreigners, and enterprises who wish to lawfully purchase property in Cambodia through Trust,’’ said Gao Shan.
Zillion Trust was incorporated in August 2020 with the Trust Business License from the Securities and Exchange Regulator of Cambodia in the Collective Investment Scheme (CIS), and in June 2022 Zillion Trust was granted the Certificate of Trustee Operator in Securities Sector from the Trust Regulator to carry out its trust business.
Chrek Soknim, President of the Cambodian Valuers and Estate Agents Association mentioned that this MoU demonstrated the government is ever ready to assist the private sector in developing new mechanisms. Particularly, real estate investment through the trust sector. The new scheme would make it simpler and less complicated for investors to invest in the real estate industry, luring more foreign capital into the country.
“The presence of more foreigners and their investments in the nation helps to boost economic growth by raising demand for real estate, including land for industrial construction, land for commercial buildings, and land for condo projects,’’ said Chrek Soknim, “additionally, buying land for investment purposes required hiring a firm with a trust license to represent the property to the overseas investor.