POGO supply to go back to its pre-pandemic levels
The office supply from Philippine Offshore Gaming Operators (POGOs) is expected to pick up its pace this year, said property consulting firm Colliers Philippines.
In its latest market briefing, Colliers said that POGOs are slowly coming back to the Philippine shores as pandemic restrictions are lifted to their most-relaxed level in key cities and the country’s borders have reopened to foreign travelers.
The firm added that POGO supply for the rest of 2022 could mirror the 450,000 to 550,000 square meters (sq.m.) record between 2014 and 2016.
However, the industry will have to deal with the newly implemented POGO Law — which imposes a five per cent tax on gross gaming revenues (GGR) of offshore gaming licensees and a 25% withholding tax on foreign employees — to continue operating in the Philippines.
Meanwhile, for the remainder of 2022, Colliers estimates the completion of about 356,200 sq.m. of new office space. Among the buildings due to be completed are Makati Commerce Tower, PMI Tower, Studio 7, SM Fairview Towers, and Corporate Finance Plaza.
Moreover, from 2023 to 2026, Colliers projects an annual completion of about 543,300 sq.m. of new office spaces.
