Real estate consultancy firm Santos Knight Frank is projecting an additional 1.2 million square meters of leasable space in the office market in the country this year. The office sector vacancy rate is also expected to increase in 2021 with these new supplies coming into the market.
According to Santos Knight Frank senior director for occupier services and commercial agency Morgan McGilvray, some of these projects were supposed to be delivered last year, but got delayed due to the pandemic.
Further, while most businesses are expected to downsize, McGilvray said large business process outsourcing (BPO) companies and multinational companies are likely to expand. BPOs are seen to expand, as the healthcare BPO is projected to enjoy huge growth this year.