Philippine Property Market Showing Early Signs of Rebound
The Philippine real estate market could recover faster than expected as it is already seeing signs of improvement, a property services firm said.
In a statement, Leechiu Property Consultants president and CEO David Leechiu said 2021 would not be all smooth sailing.
“But we will recover faster than expected due to a confluence of factors ranging from sustained BPO expansion, a low interest rate environment for the Filipino home buyer and easier access to work and tourism sites due to the massive injection of infrastructure,” he said.
“An even bigger bonus could be the possible resurgence of the POGO (Philippine offshore gaming operator) sector,” Leechui said.
He said one indication that the worst is over include the recent sale of a Bonifacio Global City property at a record value. He added that the BGC lot sale in December was 12 percent higher than the last recorded transaction in 2019.
“The 2020 pre-sales of residential developers and a 2021 pipeline demand of 300,000 square meters for office space further confirmed that things are looking up once again across the industry segments,” Leechiu said.
He said earlier that take-up in the country’s office market is projected to hit around 400,000 sqm to as high as 600,000 sqm this year, with a pipeline of 300,000 sqm that want to get transacted in the early part of 2021.
Meanwhile, Leechiu said a recent Supreme Court order preventing the imposition of new taxes on POGOs has slowed down the online gaming firms’ exodus.
“They are likely to resume operations once the gaming firms and government agencies come to a solution,” he said.
LPC associate director Tam Angel sa