Bahan apartment building under development by Thiri Family Construction Company.

ELITE location, peaceful surroundings and guaranteed electricity and water supplies have helped prevent the property market in the area near the famous Shwedagon Pagoda in Bahan township from plummeting, say real estate agents in Yangon.

Because the pagoda is a symbol of Myanmar, visitors and Yangonites alike jump at the chance to stay or live within view of the magnificent structure.

Much of the real estate close to the pagoda is taken up by donation halls, monasteries, and flower and donation material shops, but it is also the location of large numbers of single- and double-storey houses with gardens, many of them occupied by senior members of the public and private sectors.

Daw Mya has lived in Bahan her whole life.

“The thing I enjoy about living here is that this is downtown Yangon, but it is still secluded and elite,” she said.

As the city expands day by day, Bahan is becoming increasingly upscale, a primary reason being its nearness to Shwedagon, she said.

The Thiri Family Construction Company has built several apartment buildings within a five-minute walk of the pagoda.

“I have developed 10 buildings in Bahan township since 1999 and the sales have been good since then,” said U Kyaw Myint, the managing director of the company.

“Although the property market in general is cool, we are doing well by selling apartments in the area near the pagoda at reasonable prices,” he said.

“Good location, good reputation and great quality are the main reasons our company attracts buyers,” he said.

One veteran real estate agent said that most people planning to move into the area look for a house within walking distance of Shwedagon.

“People like houses that are not too close to the pagoda, but that are close enough so they can walk there early in the morning,” he said.

U Kyaw Thura, the landlord of a house in the area, said because of the good location he never has difficulty finding tenants willing to pay a good price for rent.

“Although the property market, especially the sales market, is cool, the rental market for detached houses in good locations is very active,” he said.

However Ma Thara Phu, from the Moe Myint Thaw Tar real estate agency, said that the sales market for houses near Shwedagon Pagoda was quite slow.

“The property prices in this area are higher than those in other areas of the city, and right now people are only interested in low-cost property,” she said.

“Apartments costing more than K10 million are difficult to sell, and nothing in Bahan township is priced lower than that, which is why only the rental market is active in the area,” said Ma Thara Phu.

She said apartment building developers have asked real estate agents to help them sell the apartments, as it is hard for them to find buyers by themselves.

“When I first entered the construction business in 1997, it was easy to find buyers so we did not have to ask real estate agents for marketing help,” said one developer.

“But now I am developing two projects in Bahan and I have found that not many people are interested in buying,” said the developer.

“But I don’t think the downturn will last long because locations like this will always be popular with people in a Buddhist country like Myanmar.”

Ground-floor apartments on main roads in Bahan township sell for about K35 million to K40 million, while those on smaller lanes are priced from K20 million to K25 million. The rent on a ground-floor apartment varies from K250,000 to K350,000 a month depending on the location.

Hotels in the area also benefit from the proximity of Shwedagon.

“Most of our customers make reservations before they arrive at the hotel so they can get a room with a good view of the pagoda,” said a spokesperson from the 11-floor Yuzana Hotel on Shwegondaing Road.

“Two-thirds of our customers prefer rooms with a pagoda view,” said Ma Thaung Thaung Aye, a member of the hotel’s reservation staff, adding that the price of these rooms is slightly higher than those that face away from the famous landmark.

“Guests can also hear the tinkling sounds of the pagoda’s bells from the open area on the roof of our hotel,” she said.