A real estate consultancy firm said despite a noticeable slowdown in the broader secondary condominium market in Metro Manila and a tepid response in the pre-selling sector, demand for luxury and ultra-luxury units remains robust.
“Demand for these segments is primarily driven by a consumer base awash with cash, as well as investors banking on these units’ capital appreciation potential. Astute investors also utilize these properties as hedges against inflation,” said Colliers director and head of research Joey Roi Bondoc.
The return of expatriates to the Philippines is also playing a role in bolstering demand, particularly for luxury units which has seen a significant upswing since 2022.
Preferred locations among expats are Fort Bonifacio, Makati CBD, Ortigas Center and Rockwell Center where there are larger unit sizes and because of their proximity to essential amenities like offices, schools, hospitals and retail establishments.
These properties maintain high occupancy rates and stable rents due to their meticulous upkeep and hotel-like amenities and services.
The exclusivity and prime location of these units make them the top choice for high-ranking executives of multinational corporations (MNCs) and diplomats, Colliers said.
Rockwell, for example, consistently maintains occupancies between 90 percent and 95 percent. The sustained demand is driven by the convenience, accessibility and exclusivity that these properties offer to tenants.
Prime residential buildings in Makati continue to attract consular officials and top executives due to their proximity to Ayala Avenue’s corporate offices.
Meanwhile, Fort Bonifacio’s upscale to ultra-luxury units enjoy high occupancy rates, complementing the growing presence of multinational knowledge process outsourcing (KPO) firms in the area.
Major players like Google, JPMorgan and PwC have established operations in Fort Bonifacio, further attracting expats and driving demand for luxury condominiums.
The presence of international schools also makes the district particularly appealing to expatriate families.
Upscale residences offer a comprehensive package that includes 24/7 security, state-of-the-art gyms, resort-style pools, ample parking and high-quality interiors, on top of proximity to major shopping hubs, Colliers said.