Project completions drop significantly

    Window cleaners at work at a Makati skyscraper. (Photo by RHOY COBILLA)

    Colliers Philippines projects a significant decline in project completions across property sectors this year.

    In its report, the property consultancy cut all projections made earlier in the year due to the effects of the new coronavirus disease 2019 pandemic.

    Colliers said office space completion is likely to reach 385,000 square meters sq.m.), 64 percent lower than its forecast of 1.07 million sq.m.

    Colliers also sees delivery of new condominium units dropping by 59 percent to only 6,000 units not even half of its original estimate of 14,720 units at the start of the year.

    Colliers data also showed the completion of new malls is likely to total 53,100 sq.m., down 87% from its forecast of 393,700 sq.m. at the start of 2020.

    Colliers believes that landlords and investors should take advantage of a government- projected quicker pace of economic growth in 2021.

    It said office developers should provide options to tenants planning to implement alternative schemes such as hub-and-spoke and be accommodating to those planning to firm up short-term leases.

    Residential developers, meanwhile, should continue to touch base with investors and explore attractive price segments and locations for pre-selling condominium units.

    Colliers said mall operators and retailers should recapture the spike in consumer traffic by expanding offline-to-online strategies.