Get ready as more infra projects loom

CEBU, Philippines — The real estate industry in Cebu is warned to brace for more projects coming in, following the implementation of various infrastructure projects.

Based on the latest market analysis conducted by Colliers International Philippines, the various infrastructure projects lined up for completion from 2021 to 2024 should further boost Metro Cebu’s attractiveness as a key property destination outside Metro Manila.

Colliers believed that completion of the Mactan-Cebu International Airport in 2018 has raised Cebu’s attractiveness as a major business hub and “we see this contributing to greater office space take-up in the city’s business districts over the next three years.”

The expanded facility has also buoyed the demand for hotels and resort-oriented condominium projects, especially in Mactan.

The Philippine government’s ambitious infrastructure plan is being anchored by its decentralization push.

The traffic congestion in Metro Manila has compelled the national government to improve infrastructure connectivity and establish more business hubs outside of the capital region.

Colliers said that the Duterte administration’s massive infrastructure implementation and decentralization should offset the potential impact of the moratorium on ecozone approvals in Metro Manila.

According to Colliers’ latest Radar Report, a series of public projects led by the government should provide the impetus for developers to build more office buildings and residential projects.

“We expect this to help support the needs of tenants looking to lease space outside of Metro Manila,” the report indicated.

Colliers also sees the appetite for residential projects outside the capital region being buoyed by the government’s massive infrastructure program.

Based on the government’s infrastructure plan, Colliers expects Metro Clark, Metro Cebu, Iloilo, Bacolod, Bulacan province and Davao City to benefit from the Duterte administration’s infrastructure push.

This should result in a more buoyant property market in these areas.