Colliers: Average office space rent drops 30% in Metro Manila | Andrea E. San Juan

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Colliers: Average office space rent drops 30% in Metro Manila | Andrea E. San Juan
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Colliers, a leading real-estate services and investment management firm, said outsourcing firms and traditional occupiers should take advantage of office rents in major business districts as average office rents in Metro Manila.

Colliers, a leading real-estate services and investment management firm, said outsourcing firms and traditional occupiers should take advantage of office rents in major business districts as average office rents in Metro Manila dropped by as much as 30 percent compared to pre-pandemic rates.

In a Property Market Report released in April, Colliers noted the increasing inquiries for flexible workspaces as occupiers implement their business continuity plans and explore the viability of plug-and-play offices and swing spaces for their employees. In 2022, Colliers expects new supply hitting 821,900 sq meters , 30 percent higher than the 633,900 sq meters in 2021.

The report noted that Colliers recorded about 146,100 sq meters of office deals in the first quarter of 2022, up from the 134,100 sq meters in the fourth quarter of 2021. The Philippine Economic Zone Authority required Information Technology and Business Process Management firms to implement a hybrid work model following 30 percent work-from-home and 70 percent on-site scheme . This was after the Fiscal Incentives Review Board had denied Peza’s petition to extend the 90-10 percent ratio until the end of September 2022.

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