PROPERTY REVIEW SEPT 2019 Eastern Manila and Ortigas
Property Management and Consulting Services Authored by: Ramon Fernando Balbin
1
2
P
Philippine Snapshot
3
P
Market Overview Metro Manila Population Manila's 2019 population is now estimated at 13,698,889 Comprise 12.6% of entire population
Median Age
24.4 years old
Labor Force
73.1 Million
Literacy Rate
96.5%
4
P
Demand Drivers Foreign Expat 2017-2018 Total of 99,529 alien employment permits
Foreign nationals with AEP are employed in the following major industries based on 2017-2018 Philippine Standard Industrial Classification • • • •
Administrative and support services (43% or 42,608) Manufacturing (13% or 13,029) Information and Communication (12% or 11,714) Arts, Entertainment and Recreation (9% or 8,638) Construction (6% or 6,400)
POGO Employee’s where given Php10,000 budget for housing allowance
5
P
Philippine Work Force BPO Sectors still takes up the majority of Philippine workforce.
Household Median Income = PHP 563,042/annum
6
P
Tourism
7
P
Philippine Property Overview *Global Property Guide Price/SQM in USD
Rental Yield
P/E Ratio
8
P
Property Management and Consulting Services; The main objective of this research is to scan property across Metro Manila where price is still below Php150,000/sqm as we believe this price is not vulnerable to any price correction.
9
P
Eastern Manila NEW CBD ON THE RISE \
10
P
11
P
\
Travel time cut down to 12 minutes between 2 CBD Area BGC and Ortigas
12
P
Circulo Verde Google Map Street View Market Driver Pogo BPO Students Businesman Investment Highlight • Gated Quite Community • Bike, Pet, Skate & Park, Basketball Court, RC Track and Soccer Field • Ready For Occupancy • 106k/sqm • Bigger Cuts • Exceptional Property Management
DEVELOPER: Strategy: Buy Rent Hold Status Sold By Unit Size Property Type Foreign
Ready for Occupancy Owner/Bank 45 1 Bedroom with Balcony With Allocation
Secondary Market
Developer Price
Parklink North Tower
Purchase Price
4,800,000.00
6,300,000.00
6,543,096.00
4,971,428.64
Price/Sqm Current Rental Rate
106,666.67
140,000.00
272,629.00
207,142.86
25,000
25,000
30,000
25,000.00
6.25% 8.52x
4.76% 11.19x
5.50% 11.62x
6.03% 8.82x
Gross Yield Price to Rent
Verdant Tower Ortigas East
13
P
Cirrus \
Google Map Street View
Demand Driver Pogo BP Students Businesman
DEVELOPER: Strategy: Buy Hold Sell Status Sold By Unit Size Property Type Foreign
Purchase Price Price/Sqm Current Rental Rate Gross Yield Price to Rent
New Development/ Off the plan Developer 24 Studio No Allocation
Investment Highlight • Mixed Used Community (Township) • C5 corner Ortigas Ave • Flexible Payment term 13k/monthly • 7% rental yield • 5 Mins to Ortigas Centre
Developer Price
Parklink North Tower
Verdant Tower Ortigas East
4,262,600.00
6,543,096.00
4,971,428.64
177,608.33 25,000 7.04% 7.6x
272,629.00 30,000 5.50% 11.62x
207,142.86 25,000.00 6.03% 8.82x
14
P
Ortigas CBD
Ortigas Center is a central business district located within the joint boundaries of Pasig, Mandaluyong and Quezon City, within the Metro Manila region in the Philippines. With an area of more than 100 hectares (250 acres), it is Metro Manila's second most important business district after the Makati CBD
15
P
Supply and Demand - Office
Office Rental
Ortigas and Alabang is still the lowest office rental /sqm on a CBD Area
16
P
Prominent companies at Ortigas
17
P
2018 Average PSM in Ortigas PHP140,400/psm *exclusive of vat and oc
18
P
Ortigas Rental Price
19
P
Maven Google Map Street View
Demand Driver Pogo BPO Students Businesman
DEVELOPER: Strategy: Buy Hold Sell Status Sold By Unit Size Property Type Foreign
Purchase Price Price/Sqm Current Rental Rate Gross Yield Price to Rent
New Development/ Off the plan Owner 24 Studio With Allocation
Investment Highlight • High End Mixed Used Community (Township) • Walking distance to future subway station • 7% rental yield • Central Business District • Upward Trending Market
Secondary Market
Developer Price
SMDC Shine Residences
Pearl Place Residences
4,200,000.00
5,500,000.00
5,000,000.00
4,500,000.00
175,000.00 25,000 7.14% 7.45x
229,166.67 25,000 5.45% 9.76x
272,629.00 25,000 6.00% 8.8x
207,142.86 25,000.00 6.67% 7.99x