Office and residential leasing activities in the Philippines are expected to remain low over the next 12 months due to the extended work-from-home (WFH) arrangement and the upcoming national elections, said real estate services and consultancy firm JLL Philippines.
During a webinar, JLL Philippines head of research and consultancy Janlo de los Reyes stated that leasing decisions may be pushed until Q4 or next year as companies are still uncertain about their space requirements.
The office supply in the country is forecasted to peak mostly in 2022 for most sectors — including an anticipated new stock of 714,000 sqm for office, 535,300 sqm for retail, and 6,300 rooms for hotels.
de los Reyes added that the real estate market is still going to be a “continuous fluid environment”.
In its recent report, JLL Philippines said that office and residential lease activities slowed down to 72,000 sqm in the third quarter, down 35.7% year-on-year, due to the ECQ implementation last August.