Due to the incessant expansion of business process outsourcing (BPO) companies in the country’s central business districts (CBDs), Rick M. Santos, chairman of the local property consultancy firm CB Richard Ellis Philippines, Inc., predicted an increase in demand for office space, saying that leasing in the Philippines is much cheaper - only one-twelfth of the rates in Hong Kong.
Mr. Santos sees a 30% or roughly 350,000 sq. m. increase in office space leasing compared to 2010. “Last year, we hit 275,000 sq. m. It will be up this year because BPOs will expand,” he said.
Bonifacio Global City in Taguig, Pasay, and Eastwood City in Quezon City will still remain as “growth areas” for both BPO and KPO companies.
According to the quarterly report of CB Richard Ellis entitled “Market View: Asia Pacific Offices”, office space rent in Metro Manila (about $20.22 per square feet in the first quarter) is still the second cheapest in Asia Pacific.
Also, Mr. Santos said 20% of the Zuellig Building is now reserved for office use. This is the first ever US Green Building Council’s Leadership in Energy and Environmental Design (LEED)-certified structure in the country.