GLOBAL real property services company Colliers International Philippines is projecting a higher demand for residential condominium units in Bacolod City.
The firm reported that about 560 condominium units were sold in 2018, about 93 percent higher than the 290 units taken up in 2017.
Among the top-performing condominium projects during the period were the two towers of Mesa Virre Garden Residences by Cebu Landmasters Inc. and Manors Majorca by Camella Homes.
From 2019 to 2021, Colliers sees an annual take-up of an estimated 330 units per year with affordable units amounting to P1.7 million to P3.2 million or US$32,000 to US$60,000 per unit fuelling the increase.
The company cited four factors that will support the demand for condominium units: the development of major townships such as Megaworld’s The Upper East and Northill Gateway; implementation of key infrastructure projects such as the Sugar Road and coastal development covering the south portions of the city; continued deployment of overseas Filipino workers (OFWs); and expansion of outsourcing and non-outsourcing businesses.
Colliers believes that condominium units are becoming an attractive investment option for OFWs and local businessmen.
These unit owners are anticipating the condominium projects’ potential for leasing once they have been completed, the real property firm said.
“The business process outsourcing (BPO) sector will probably continue to be a driver of condominium leasing in Bacolod City,” it said, adding that “foreign employees as well as higher-earning local outsourcing workers are among the targeted occupants.”
In a previous report, Colliers said affordable condominium as well as house and lot projects dominate Bacolod City.
It has observed that it is the affordable and economic segments that drive residential take-up in the city.
Condominium and house and lot projects falling under these categories are sold for P450,000 to P3.2 million or US$8,500 to US$60,400 per unit.
“We encourage developers to continue offering affordable and economic residential units to the market,” Colliers said, adding that they should also gradually assess the buyer’s capacity for the high and mid-income projects over the next two to three years.
The prices for high-priced and mid-income projects range from P3.2 million to P6 million or US$60,400 and US$113,200. (Erwin P. Nicavera)