by: Sarah Joson
Thursday, October 15, 2015 | Outsourcing News |
Property advisory and services firm CB Richard Ellis (CBRE) Philippines, Inc. said due to the increasing rents in Manila’s renowned business districts such as Makati and Bonifacio Global City (BGC), business process outsourcing (BPO) firms are now looking at other cities outside Metro Manila as well as provinces.
CBRE, which is celebrating its 20th anniversary this year, stated that Alabang, Quezon City, and the Bay Area are some of the locations that are being considered for expanding BPOs.
Rick M. Santos, chief executive officer and founder of California-based CBRE Philippines, the local arm of CBRE Group, Inc. said these locations are home to a rising hub of retail and commercial developments which are helping attract new office growth. He added that secondary options for office properties opened up, which could mean old or former offices, and would be available soon.
A CBRE report showed that during this year’s second quarter, Metro Manila is still one of the prime rental locations in Asia even if rate is a bit more expensive than neighboring business hubs such as Bangkok, considering that it is not a BPO destination. Metro Manila offers $32 per square foot per annum while Bangkok’s is $30.
Santos also pointed out that key factors that are driving outsourcing companies to put up and expand operations in the country are steadily improving infrastructure, telecomunications, and rising volume of public-private partnerships.
Morgan Mcgilvray, director of CBRE’s corporate agency and brokerage department, said BPO hubs are expected to emerge in provinces such as Cavite, Pampanga (Clark), Baguio, Laguna, Cebu, Iloilo, Bacolod, Cagayan de Oro, and Davao.
We can help you understand the possibilities. Reach out to us today.