The Philippine property sector is expected to continue to grow this year as the country is seen as one of the best investment sites in ASEAN and as the business process outsourcing (BPO) sector continues to expand and create demand for office space as well as other real estate developments, according to consultancy fir
The Philippine property sector is expected to continue to grow this year as the country is seen as one of the best investment sites in ASEAN and as the business process outsourcing (BPO) sector continues to expand and create demand for office space as well as other real estate developments, according to consultancy firm CBRE Philippines.
“The Philippine property sector will continue to accelerate in 2014, taking off from last year's stellar performance. Despite recent calamities, the country's real estate sector is a buoyant market and global investors are starting to recognize the country as a top investment spot in Asia Pacific,” said Rick Santos, chairman and founder of CBRE Philippines.
In terms of office space, he noted that from the estimated take-up of 550,000 sqm last year, occupancy is seen to rise to 600,000 sqm this year, fueled by the demand primarily from BPO firms.
“What's holding companies here is the quality of labor force,” he said. Aside from BPO firms, demand for office space is seen from firms engaged in the insurance, logistics, human resources, medical, banking and finance and computer and hardware electronics industries, which are likewise growing.
“Office is the creator of demand. Once you have offices, there is a need to develop a place to live in, for retail, cinemas, etc.,” said Santos.
For the residential sector, CBRE Philippines senior director for research and consultancy Jan Paul Custodio said that take-up has been strong across all markets.