Metro Manila office market to grow 1 million sq.m. yearly
The office market in Metro Manila is estimated to grow by 1 million square meters annually from 2019 to 2021, higher than the historical average of 400,000 to 500,000, according to Colliers International. The global commercial property services organization added that the demand for office space will be driven by the speed of the Philippine Economic Zone Authority’s (PEZA) investment application approvals for incentives. Joey Roi H. Bondoc, senior manager for research at Colliers International, said PEZA approvals are an important part of the investment decisions of occupiers, particularly outsourcing firms that are looking to expand. He said office towers that are PEZA-approved are quickly taken by occupiers. The office sector’s positive forecast is due to the various infrastructure developments across the country, which are encouraging developers and locators to expand. Bondoc said Metro Manila had total leasable space of 11.1 million square meters as of the first quarter of this year, with over 150,000 square meters added during the quarter, due to the completion of buildings in Quezon City, the Makati fringe, and the Makati CBD.