HEARD IT THROUGH THE GRIPE-VINE: OUR NEW ABNORMAL
The DOT Property Philippines Awards, the Lamudi Outlook Awards, and the Property Guru Philippines Awards; it looks like we’re in the midst of a season of real estate industry award-giving events. DOT Property Philippines held theirs two weeks ago, while Lamudi.com mounted theirs earlier this week, and we can look forward to the one of Property Guru Philippines this Friday. All around, it seems that our developers and the real estate industry found ways to stay afloat during the Covid health crisis, and some of these companies even recorded record growths.
Resilience and innovation have been keys to this, if you ask the developers. And it is interesting to note this, as the real estate industry would not have been the business sector most observers would have wagered to absorb the brunt of the health restrictions and economic disruption that we were subjected to for over two years. On the commercial spaces side of things, you’d have thought that WFH would have detrimentally affected the demand for office space, and that the lockdown would have spelled a death knell for a good number of mall tenants, freeing up store locations and causing vacancies. Stands to reason, right?
And yet, if you talk to the big mall developers, there were also very aggressive food and retail brands, ready to snap up any of the prime locations that were vacated. In that sense, business stayed the course for these malls, who had the “pisa” to weather the pandemic – and reports I heard, confirm that the mall-goers and spending are both back with a vengeance. So “back,” that some retail groups I know confided that their January to August sales of 2022, has already exceeded their January to August of 2019.
THE SMDC TEAM, led by Pres. Jose Mari Banzon, who took home the plum Developer of the Year award at Dot Property Philippines.
The office situation must have softened somewhat, given the WFH situation, but by innovating on their offerings – creating spaces where one can both live and work, there’s a brisk market for young, adventurous entrepreneurs. And don’t discount the move away from congested urban centers; as the attraction of enjoying better quality of life in countryside settings, just depending on your Wi-Fi to stay in contact with how you interface with the city or your business, became a real, viable proposition. Developers took note of this change in attitude and began offering the conveniences of the urban centers in a rural setting, and found a ready market.
LANDCO RECEIVES the Boutique Developer of the Year Luzon award at Lamudi.
On the residential front, it would seem that the recession-proof uber-rich are still in a buying mood, constantly adding to their portfolio of luxury dwellings. The rationale being that the price of real estate keeps going up, and make for sound investments. The premium properties that offer “green” and sustainable technology are very popular with ex-pats who come to work here, and rent. So our developers have taken note of that as they unveil their new projects.
TANYA PERALTA-YU, country head of Dot Property Philippines, welcomes guests.
The digital wallets, the online shopping platforms, even food delivery would have been more logical choices as pandemic “survivors;” and it goes without saying that those dealing with essential services and goods would have prospered. So why is everyone painting such a rosy picture for our real estate industry?
When the pandemic hit us, we were among the countries most severely affected; but the post-pandemic economic surge is as real as revenge travel and shopping. Despite the float of our peso (or instead of float, should we describe it as a free fall?), Our economists are predicting a GDP growth of 6.7 percent this year – on track to be the highest among major ASEAN nations.
Overseas remittances are on the rise, numerous infrastructure projects should provide economic stimulus; and the new Marcos administration has been making all the right moves and noises, turning their trips abroad into trade shows, courting foreign investments to establish a new “home” here. Mainstream and reputable technocrats have been appointed to key economic government positions, and that’s sent a strong note of reassurance to the financial world. Now, it’s whether we can be of true interest to them, and be a country where they’re ready to “park” their money and invest.
ANURAG VERMA, country head of Lamudi.com offering a toast during their event.
We see a reinvigorated residential real estate market. I hear that local demand is high, and with the expats and immigrants beginning to head back, the residential rental market can only get better. BPO companies continue as top buyers in our real estate market, so both office space and condo leasing will escalate. The trend of flexible, co-working spaces is for now the easy-fix solution for how WFH is still a lingering phenomenon. And let’s not forget how micro-cities are very popular with the millennials - who presently make up the majority of those hunting for homes.
It’s a digital generation, so it’s no surprise to find Dot Property, Lamudi, and Property Guru at the vanguard of how real estate searches, and transacting, are now done online.