REIT ASIAPAC
Teleperformance Building , Cebu
resilient driven by growth in foreign investments into the sector . Colliers notes that total investments into transportation and storage reached PHP 23.5 billion ($ 488 million ) in the first nine months of 2020 , making up 31 % of total foreign direct investments . Continued growth of the sector will be driven by demand from manufacturers of essential items and growing warehousing space requirements of e-commerce players .
Eventually as retail stabilises , the potential to unlock retail assets in the Philippine market is also quite large . Retail that are close to residential communities and whose tenancy are skewed towards appliances , and essential home basic goods like grocery , food , drug stores , home appliances and IT gadget stores may show earlier signs of recovery . Given the large population of the Philippines as well as a high-consumption-driven economy , as public transport increase capacity , the retail sector can benefit from a recovery .
The residential market due to the very large demand and backlog for housing needs in the Philippines continue to remain strong and we believe local hospitality / tourism will also rebound . Despite the short-term disruption of Covid-19 , the longterm drivers of the sector continue to be intact supported by solid macroeconomic fundamentals . The low revenues and environment , resilient overseas remittances and BPO revenues and favourable demographics with a young working class will drive the sector to rebound once the economy reopens .
How will the expansion of a REIT market in the Philippines affect the overall property landscape in the country , as well as the bourse and the economy ?
Telus Building
This 2021 , other developers have also announced their plans to REIT , and we do hope that this will gain traction . With the significant amount of commercial properties in the Philippines , we hope that the country will also be recognised among its peers
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