Vacancy rates in Metro Manila’s premium office space market hit 20.3 percent in 2022, staying in the double-digit zone recorded in the last two years as the market segment continued to struggle to recover to prepandemic levels. | AldenMonzonINQ /PDI
In 2020, it was also lower than last year’s, reaching only 9.30 percent.
Sought for comment during the press conference, KMC Savills managing director Michael McCullough offered two reasons why the market segment is struggling to return to levels before the outbreak of the coronavirus pandemic. “The main driver is actually the occupants. And when you look at the foot traffic studies. If a foot traffic of a company with a hundred employees has ten people coming in everyday, that’s going to reduce demand especially when those leases expire,” McCullough said.“The other thing that really artificially inflated rates is the Pogo demand in 2019,” he added.
Despite this, net absorption—a metric used to measure occupancy rates—remained positive at 270,900 square meters during the fourth quarter of 2022.On the other hand, net rental rates continued to decline for the third straight year, registering a 0.77 percent decrease leading to an average rent of P820.65 per sqm across six Metro Manila submarkets during the fourth quarter.In 2021, net rental rates decreased by 1.83 percent, while contracting 0.35 percent in 2020.
Bonifacio Global City followed with P1,031.8 per sqm, Bay Area with P813 per sqm, Quezon City with P706.8 per sqm, Ortigas Center with P687 per sqm and Alabang with P632.9 sqm. INQSubscribe to our daily newsletter
Philippines Latest News, Philippines Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Malls lift SM Prime 2022 income | VG CabuagSM Prime Holdings Inc. said its net income in 2022 rose 38 percent to P30.1 billion from P21.8 billion in 2021 on the recovery of its malls. Consolidated revenues rose 29 percent to P105.8 billion from the previous year’s P82.3 billion. “We are pleased to report that we ended 2022…
Read more »
LANDBANK loans to agriculture, fisheries sectors top P261 billion in 2022 - BusinessWorld OnlineLAND BANK of the Philippines (LANDBANK) said on Tuesday that it granted loans to farmers and fisherfolk totaling P261.7 billion in 2022, supporting 3.5 million borrowers. It added in a statement that more than 766,000 or 22% of these were in the Philippines’ 20 poorest provinces. The bank said it hopes to lend to 3.6 […]
Read more »
GCash among top PH apps in 2022, report says
Read more »
The Strategic Plan for Judicial Innovations 2022-2027 | Santiago F. Dumlao Jr.THIS is an invitation for the business community to be acquainted with the “Strategic Plan for Judicial Innovations,” or “SPJI.” This was launched last October 14, 2022 by the Supreme Court and details the specific programs and projects being undertaken or to be undertaken for judicial reform. It has become…
Read more »
PAO accomplishment report: Rulings favoring poor litigants increase in 2022MANILA, Philippines—The Public Attorney&039;s Office (PAO) favorable disposition rate in cases handled in 2022 has increased by 15 percent compared to 2021. In its accomplishment
Read more »
288,752 cases resolved favorably for litigants helped by PAO in 2022The Public Attorney’s Office (PAO) garnered an 82.69 percent favorable disposition rate with 288,752 out of 349,185 cases successfully resolved in favor of persons it extended legal assistance in 2022.
Read more »