THE PropertyGuru Philippines Property Awards said the country’s real-estate sector is expected to deliver a sterling performance in 2018 as huge demand for flexible workspaces and the growth of residential and similar markets—further boosted by the current administration’s “Build, Build, Build” agenda—will carry the growth momentum.
“The significant economic growths, as well as the diversified factors that cut across markets in office, retail and warehousing, residential and other industrial sectors, are perennial drifts that materialise such strong performance in the industry,” the group said in a news statement.
PropertyGuru also pointed out five trends will dominate the sector this year.
It said that the Duterte administration’s ambitious plan to disburse more than P8 trillion on consignments of ambitious projects targeted from 2017 to 2022 will be a great boost to economic development. These accelerated groundwork initiatives are envisioned to increase the productive capacity of the economy and, likewise, create jobs, increase incomes and fortify the investment climate leading to sustained inclusive growth.
As demand for condominium units continue to grow in major cities, such as Metro Manila, the group said developers carry on venturing into infrastructure projects in residential spaces across the country.
For the longest time, the business-process outsourcing (BPO) sector has consistently driven the demand for residential condominiums and office spaces in the country. However, a shift geared toward the growth of offshore gambling may eventually steer such trend this 2018.
Citing a recent study by Colliers Philippines, the group said offshore gambling was revealed to have filled the gap left by the BPO sector, which reduced its pace last year due to the US’s protectionism stance. Likewise, gambling investments and activities has, in fact, boosted condominium sales and office occupancies in some cities in Metro Manila and even Cebu.
The groups said there will be more demand for office space. In Metro Manila alone the office inventory counts for a gigantic 9.7 million square meters, and is even expected to increase at a doubling rate in the coming years. Factors, such as growth in population and increasing urbanization demand for better and more flexible working spaces are some of the factors that continue to drive the growth.
The group also sees a lot of developers going green as buildings or architecture, in general, are weighty contributors to climate change, accounting for 36 percent of the national energy consumption.
To ensure a sustainable environment, the Philippine Green Building Council (PhilGBC), promotes the dissemination of knowledge on green building practices to the property industry, campaigning for the transformation of design, construction and management methods toward creating greener buildings and spaces. PhilGBC developed Berde (Building for Ecologically Responsive Design Excellence), a local green rating scheme.
Currently, real-estate developers in the Philippines are already realising the importance of practicing green architecture that meet with the global standards. Currently, more than 30 structures across the country are given certification by the Leadership in Energy and Environmental Design (LEED). LEED is a world-renowned green building certification method developed by the nonprofit organization US Green Building Council (USGBC). The efforts of ArthaLand, one of the leading green developers in the country, were recognized not only domestically, receiving the Special Recognition in Sustainable Design at the 2016 PropertyGuru Asia Property Awards regional grand final in Singapore, for its Berde- and LEED-certified development in Bonifacio Global City.
Returning in its sixth annual year, the PropertyGuru Philippines Property Awards is motioning for builders and developers across the country to emerge and make their mark in the industry across the Asia-Pacific region.
This year new categories for Best Township Development, Best Township Design and importance of special awards for corporate social responsibility, sustainable development and universal design, surface for the taking among aspiring entrants.