Renowned real estate services firm Jones Lang LaSalle recently said business process outsourcing (BPO) operators in the Philippines are attracted to Bonifacio Global City (BGC) in Taguig. According to the head of project leasing markets at Jones Lang, Sheila Lobien, BPO firms prefer BGC because of the quality of office space and infrastructure development of the business hub. She also mentioned that of the 26 rising business hubs in Metro Manila, BGC posted the highest occupancy rate for 2013.
Nearly 220,000 square meters of office space had already been occupied in BGC - 60 percent of which are from BPO firms and the remaining 40 percent are from traditional office operations.
Lobien added that large multinational companies such as Proctor and Gamble, Philam Life, Coca-Cola, among others are also setting up in the area.
Other factors that make BGC a favored destination for businesses operations are the pleasing environment and new offices that are at a similar price range compared to Makati. The hub also levies lower tax rates for occupants which is a crucial reason considered by business operators.
Office rentals are said to have increased by 29 percent in Makati. In 2012, per square meter rates are at the P600-P800 range and in 2013, rates were at P600-P1, 200. On the other hand, average rental rates in BGC rose by 15 percent from P600-P750 in 2012 to P700-P850 in 2013.