Property management in Yangon is a tough business for everyone involved.Landlords who have ruled the market with an iron fist for years are starting to find themselves stacked up against new competition with more experience and a focus on property management.Colliers acts as a consultancy group to help determine what its clients are looking for, where they can find space and help negotiate a lease amongst other property related tasks.
The property consultancy company is producing an Office Leasing Guide, a sort of newcomer’s guide to help prepare potential clients for the ups and downs of office rentals in Myanmar.
Many companies believe they can hit the ground running in Myanmar, but often get caught up in the bureaucracy and other challenges the country presents when trying to conduct business.
What a company may think should only take a few months, may end up taking two years. Often, these companies will rent out a space that is far larger than what they need and end up paying for space they don’t use due to slow growth of the business.
Many clients of Davies’ end up starting with small offices to complete their initial country work before moving into a larger space to accommodate growth.
Many new companies moving into Yangon often migrate to sectors within the city that house many similar businesses, Davies said, for the ease of doing business and the ease of transportation.
When these like-minded companies start moving in and setting up a business region of the city, the infrastructure tends to build around the area.
These companies then have a cooperative voice that can demand better facilities and services such as internet and electricity. Restaurants and leisure-service businesses then begin migrating to the area to scoop up some of the new customers in the city.