Resilient bright spots in Metro Manila
Confidence in Metro Manila’s property market remains strong, driven by robust demand in established districts, the emergence of high potential growth areas, and continuous innovation in residential and commercial developments.
Resilience
Amid local headwinds, supply pressures in peripheral areas, and shifting demand patterns, established hubs like the Makati central business district (CBD) and Bonifacio Global City (BGC) continue to show resilience. These locations, offering strong value propositions, remain to be dependable investment destinations, driven by sustained economic activity, corporate leasing, and increasing appeal for both local and expatriate buyers.
According to a Colliers Philippines’ report, vacancy rates in these key districts are notably lower than in areas with larger inventories, reflecting sustained interest in top-tier locations. As the economy expands and major infrastructure projects come to fruition, these areas continue to also attract long term investment and drive residential growth.
Strategic developments in bright spots
Leading developers, like Ayala Land Inc., continue to showcase the market’s strength through strategic, long-term developments in the traditional “bright spots” and emerging areas.
The property giant, in particular, showed a stellar performance in the first three quarters of 2024, with residential sales rising by 31 percent to P63.4 billion. This only proves that demand for high quality, well located properties is as strong as ever. It also highlights sustained market confidence in Ayala Land developments—both in core districts and emerging growth centers.
Indeed, beyond the traditional business hubs, Metro Manila’s property market has been expanding to cater to the growing demand for integrated, sustainable communities.
Among the more notable examples include Ayala Land’s Circuit Makati, Arca South in Taguig City, and Vertis North in Quezon City, which are all rapidly emerging as dynamic extensions of Makati and BGC. These masterplanned developments in emerging districts offer forward thinking designs that bring together residential, commercial, and lifestyle components to create complete, self-sustaining communities where businesses and residents can thrive. Beyond offering high quality living options, these communities also present economic opportunities and a higher standard of urban living.
This is why discerning investors and homebuyers continue to place their confidence in Metro Manila’s property market, with developers like Ayala Land consistently demonstrating their commitment to build developments that address current demands and future needs.
A favorable outlook
For investors, encouraging figures would point to a favorable outlook.
Data from a recent report showed that rental rates in BGC have rebounded by 7 percent from pre-pandemic levels, averaging P1,179 per sqm, while Makati’s residential rents remained competitive at an average of P1,006 per sqm. These data demonstrate the consistent strength of these core locations, supported by strong leasing demand, accessible infrastructure, proximity to employment hubs, and high-quality amenities.
Ayala Land’s developments in these bright spots, such as Arbor Lanes in Arca South and One Vertis Plaza, exemplify the kind of high value opportunities investors can expect from the property giant. These projects are designed with sustainability in mind, ensuring they remain attractive to both tenants and buyers in the long term.
A balanced market perspective
While certain areas in Metro Manila face supply challenges, the overall landscape remains diverse. Ayala Land’s performance is proof of the lasting value of prime, well-connected locations—further reinforcing the appeal of these “bright spots” in the capital region.
Core business districts and masterplanned developments continue to thrive. By focusing on well-established locations and trusted developers, investors can navigate market dynamics with confidence, securing long term value in resilient investment destinations.
