A recent seminar organized by the Philippine Daily Inquirer brought together leading real estate experts from JLL Philippines, Cushman & Wakefield Philippines and Colliers Philippines. The event looked at a postpandemic path for the Philippine property market.
Several bright spots were highlighted with growth sectors, such as the industrial and logistics market, providing investors with new opportunities that weren’t on the radar prior to the COVID-19 pandemic.
“For the longest time, no one’s really looking at these (sectors)… Now, in terms of prospects, industrial and logistics are up there ahead of the other sectors, and I think this is where we’re going to see a lot of interest from local and foreign players in the market,” Janlo de los Reyes, Head of Research & Consultancy Services at JLL Philippines, told the newspaper. “We have managed to find resiliency and growth in the (property) sector, and we incorporate these new things (which will) elevate the real estate industry in the Philippines.”
Investment opportunities on the postpandemic path for the Philippine property market
The postpandemic path for the Philippine property market contains opportunities for investors if they know where to look. That being said, most people are wanting to reduce risks should the effects of the pandemic linger into 2022 and beyond.
“Everybody now is looking for flight to safety. Due to the prolonged pandemic, most investors would like to minimize risks,” Claro dG. Cordero Jr., Director of Research, Consulting & Advisory Services oat Cushman & Wakefield Philippines, said. “Another thing we’ve seen in the past is flight to quality. Investors tend to prefer quality, recession-proof developments and developments with amenities that provide safety nets against the spike of the virus. Another is flight to necessity. All these perceptions are themes likely to emerge in the mid- to long-term.”
Ultimately, all three experts believe a postpandemic path for the Philippine property market will see a recovery in the near future. Several favorable factors, including low mortgage rates and predicted economic growth in the country will support this moving forward.