A New Industry City, LIMA Estate is the first fully-integrated township of AboitizLand with LIMA Technology Park at its core.

Even after local economists (like those from the UnionBank of the Philippines) and global firms (such as JP Morgan Chase and JLL Global) lowered their local GDP forecasts because of fluctuating real-estate investment, Soriano is one of the people who would still “bet their last centavo on real estate.”

The local real-estate market is overall seen to be quite resilient, with the large unmet demand for housing a large contributing factor. It is seen to continue being a local, long-term play with attractive relative returns compared to other asset classes. “Behaviorally, in any downturn, the real-estate market will naturally correct itself. In due time, it will start picking up again,” Soriano added. “The upside is clear: it is a very resilient sector struggling to cover more than 6 million housing units; all these housing requirements are based on real demand.”

Commercial and office real estate mainly resilient

According to a Cushman & Wakefield report dated February 2020, commercial real estate would be the most resilient, owing to the long-term nature of properties that will allow losses to be regained sooner than later. In addition, real-estate services company Santos Knight Frank (SKF) identified key trends that would help shape the industry as a whole throughout the year. These include office-sector-driven growth, mainly from the BPO sector as it expands within and outside the metropolis. Real-estate companies like AboitizLand continue to prepare for this expected upswing with its continuous planning of integrated townships, such as LIMA Estate in Lipa, Batangas, where it plans to develop commercial buildings and sell commercial lots in its upcoming business district.

The industrial and logistics sectors are also seen to expand outside Manila with the increasing demand for warehouses and distribution centers, especially as e-commerce booms. The hot spots for expansion are seen to be Calabarzon, Cebu and in the Nlex-SCTEx-TPLEx corridors in North Luzon.

AboitizLand, one of the premier property developers in the country, remains prepared for this inevitable expansion amid the pandemic with industrial hubs like LIMA Technology Center in Batangas, and MEZII and West Cebu Industrial Park (WCIP) both located in Cebu.  Plans are under way for LIMA and WCIP expansions to create additional inventory to take advantage of this demand.

What about the homebuyers and other investors?

Opportunities are also present for the homeowners looking to invest in, live in and rent out properties. With buyers wary of current stock values, relatively stable real-estate investments are becoming more attractive.

According to SKF, real-estate investment trusts or REITs, which may help democratize the Philippine property market by allowing smaller investors to participate in high-value real-estate assets, are seen to pick up this year.

Environmentally conscious developments will also become more attractive to people who look toward low-density areas that offer house-and-lot type properties with green, open spaces. Best-of-both-worlds developments that are located away from but accessible to dense Metro Manila cities are eyed as the best in this area.

AboitizLand developments such as Seafront Residences, The Villages at Lipa in Batangas, and Ajoya, a mid-market horizontal development in progressive areas in Central Luzon, are examples of these developments.

And for those wishing to stay in the bustling city, Metro Manila remains to be a prime residential market especially with the rising popularity of co-living spaces. Micro-studios such as Point Blue Microstudios built in partnership with AboitizLand, will increasingly become the accommodation of choice for employees and young professionals who work in CBDs but require the cozy privacy of a studio.

Real estate bounce back

Once things go relatively back to normal, consultancy Colliers International Philippines noted that high demand and low interest rates will benefit the residential market greatly.

The general consensus from various other sources? Buy property now versus when economic recovery from Covid-19 begins. People with cash on hand, especially, could benefit from being able to negotiate for better, discounted prices on select properties.

Read more: https://businessmirror.com.ph/2020/04/28/the-resilience-of-the-real-estate-industry-in-the-face-of-a-pandemic/

Suggested Articles

AboitizLand Continues to Support COVID-19 Relief Efforts May 12, 2020

AboitizLand, the real estate arm of the Aboitiz Group, is continuously providing aid to several host communities in Visayas and Luzon in response to the COVID-19 pandemic. 

Read More
AboitizLand to PH Families: Go for house and lot Feb 20, 2019

Majority of Filipinos still prefer living in house and lots. This is the finding of an online real estate comparison, which also reveals a surge in property searches in the provinces because of the rapid organization of roads and highways outside of Metro Manila.

Read More
Seafront Residences Construction Updates Q2 2019 Jul 22, 2019

Read More
AboitizLand Partners with Point Blue, Enters Metro Manila Real Estate Scene with Integrated Microstudios Sep 23, 2019

With AboitizLand’s national expansion in full swing, the real estate arm of the Aboitiz group enters into a 50/50 partnership agreement with Point Blue, a pioneer in the integrated microstudio market.

Read More
AboitizLand Introduces Contactless Homebuying Apr 15, 2020

Real estate developer AboitizLand Inc. recently offered digital-based home buying options to their clients who want to accelerate the property buying process from the safety of their homes.

Read More
AboitizLand Sets Itself Apart Jun 3, 2020

ABOITIZLAND has reached its quarter-of-a-century milestone with an expanding presence nationwide. 

Read More
AboitizLand Boosts its Batangas Township, Launches Robinsons Supermarket at LIMA Exchange Dec 20, 2019

LIMA Estate, the New Industry City of AboitizLand, is slowly taking shape staying true to its promise of delivering a work-live-play experience. 

Read More
The Villages at Lipa Breaks Ground for its Model Village Nov 26, 2019

Brisk sales take-up followed right after the highly successful launch of The Villages at Lipa earlier this year. Keen to keep the momentum going, AboitizLand marked the start of the model village construction with a groundbreaking ceremony held last 23 November 2019. 

Read More