Philippine real estate outlook remains promising, resilient
Provided by INQUIRER.net.
MANILA, Philippines — This year is seen to bring progress and notable shifts to the Philippine real estate landscape.
According to Colliers Philippines, retail is going experiential, hotels are expanding, and the residential market is moving more out of the city. Offices are going green and the industrial sector is heating up with cool innovations.
Developers and investors, take note: the game is changing anew. And those who adapt are more likely to win.
Retail revolution
Shopping, this year, will be all about the experience.
Malls will feel more like theme parks with immersive spaces, expansive food halls, and pop-up stores that make shopping fun. With foreign brands joining the scene and malls getting fancy makeovers, the retail landscape is stepping up its game.
The rise of e-commerce is also pushing physical stores to innovate. Colliers projected a 10 percent increase in retail space devoted to experiential areas like VR gaming zones and interactive product displays. Malls in key cities like Cebu and Davao are expanding, adding some 200,000 sqm of new retail space by end 2025.
Hotels go global
Tourism is booming, with arrivals expected to climb past 7 million. Hotels are riding this wave and big international names like JW Marriott and InterContinental Hotels are betting on the Philippines. This means more swanky places to stay, especially in tourist hotspots like Bohol and Cebu.
Colliers said it sees a 12 percent hike in hotel room supply nationwide, with luxury and upscale segments leading the charge. New developments in Palawan and Boracay will add over 5,000 rooms by 2025, catering to the growing demand from international and domestic tourists.
Residential reshuffle
The condo market in Metro Manila is cooling off amid existing inventory. This prompts developers to look more at the suburbs in Calabarzon and Central Visayas, and at horizontal projects. Leisure properties in scenic spots like Batangas and Palawan are also gaining traction.
Colliers forecasts a 15 percent growth in residential projects outside Metro Manila, driven by infrastructure projects like new expressways and rail lines.
Green is the new gold
Office spaces are getting greener. As companies prioritize sustainability, green-certified buildings are becoming hot property. Cities like Pampanga, Cebu, and Davao are emerging as hubs particularly for BPO firms seeking fresh grounds outside Metro Manila.
Green building certifications, such as LEED and BERDE, are becoming standard. Colliers projected a 20 percent increase in demand for green office spaces, with about 30 new green-certified buildings expected to rise across key business districts by 2025.
Cold is hot
The industrial sector continues to do well, thanks to the rise of electric vehicles and the food industry's need for cold storage. With a projected 8 perecnt growth in cold storage capacity, this sector is expected to continue thriving.
Colliers highlighted a surge in logistics and warehousing demand, particularly in regions like Central Luzon and Calabarzon. The cold storage segment alone is set to add over 500,000 pallet positions, driven by the growth of e-commerce and the need for efficient supply chains.
(2025/01/20-18:57)
INQUIRER
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