As pre-pandemic activities resume, the return to the office seems to be the next big move towards normalcy.
The latest Lamudi data revealed significant trends in commercial property demand, with leads for warehouses, offices and buildings for rent showing double-digit growth from the fourth quarter of 2021 to the first quarter of 2022.
The uptrend is aligned with the recent Philippine Economic Zone Authority announcement ordering return-to-office for all registered information technology-business process outsourcing BPO firms starting April 1, 2022. The mandate is consistent with existing laws requiring all companies to operate within the ecozones to avail themselves of tax incentives.
CBD-hosting cities in Metro Manila are brewing with strong commercial property appetite.
Upticks in residential rental inquiries in the same period point to a return to the metro as employees gear for face-to-face work.
In the financial capital Makati, the P100,000 to P200,000 price range attracted the largest share of leads for commercial properties to rent in Lamudi in the first quarter of the year.
Offices followed by buildings and retail were the most popular commercial subcategories on Lamudi in the same period.
Demand for residential rentals in Makati grew significantly with leads increasing by roughly 40 percent from the fourth quarter last year to the first quarter of 2022. Inquiries from property seekers outside of the metro increased during this period, with seekers from Cebu City and Calamba joining Imus and Angeles as top sources of leads for the city.
In Pasig, the city hosting Ortigas Center, the leads for commercial properties saw a double-digit increase in percentage from fourth quarter 2021 to the first quarter of the year. In terms of the most popular price segment for commercial properties for rent, the P100,000 to P200,000 generated the most leads in the first quarter of this year. In the same period, offices overtook warehouses as the most searched subcategory for commercial properties in the city. This coincides with an uptick in inquiries for residential rentals, which shot up by 28 percent quarter-on-quarter in 1Q 2022.
The leads for commercial properties in Quezon City had a double-digit increase in percentage from the fourth quarter of 2021 to the first quarter of 2022, with commercial rental properties priced P100,000 to P200,000 garnering the most leads.
For two years, work-from-home (WFH) has become the norm amid the pandemic. However, with the favorable trends now, the number of coronavirus cases declining and lockdown restrictions easing, more businesses are urging workers to come back to the workplace.
“While this offers promising opportunities for real estate players, it also presents challenges, primarily in making commercial spaces appealing to employees who have become used to working from home,” said Kenneth Stern, Lamudi chief executive officer.
Stern said it is essential to have value-adding amenities that promote work-life balance.
These include daycare facilities that allow working mothers to bring their children to the workplace, and fitness centers that make it easy for professionals to embrace an active lifestyle.
