The condominium of Metro Manila reached a record high last year, with unsold units that are expected to take more than eight years to be completely absorbed by the market, according to Colliers Filippines.
Non -sold units rose by 77% in 2024 to P158 billion in inventory, to P89.6 billion in 2023, Colliers Philippines and head of research Joey Roi H. Bondoc said during a briefing on Wednesday.
In the current market absorption percentage it would take up to 8.2 years or 98 months before these units are sold compared to only 3.2 years in 2023, Mr. Bondoc said.
The total residential percentage of Metro Manila reached 23.9%. With a decreasing occupation in the capital, Mr. Bondoc said that there is a strong demand for housing projects in areas outside Metro Manila.
Moreover, he noted that growth opportunities on the pre-selling market, especially in the luxury and luxury segments.
In general, Colliers Philippines said that the real estate market is expected to support growth despite headwind, powered by infrastructure projects and industrial expansion.
Mr. Bondoc quoted current infrastructure developments such as the Metro Rail Transit Line 4 (MRT-4), MRT-7 and the Taguig City Integrated Terminal Exchange as important drivers of real estate growth.
The hotel sector also shows signs of recovery, supported by rising international arrivals and increasing occupancy rate, he said.
Foreign hotel brands are expanding in the Philippines, a trend that is expected to further strengthen the sector, he added.
In 2024, the Ninoy Aquino International Airport (Naia) registered an increase of 11% in the total passenger volume, and surpassed 50 million, driven by an increase in flights and a strong domestic travel question.
Data from the Manila International Airport Authority (MIAA) showed that in 2024 Naia treated 50.26 million passengers, an increase of 10.9% compared to 45.30 million in 2023 and 4.9% higher than the pre-landemic level of 47.90 million in 2019.
From January to December 2024, domestic passenger traffic rose by 8.1% to 26.89 million from 24.88 million in 2023, while international passenger traffic rose by 14.4% to 23.37 million of 20.42 million.
Mr. Bondoc said that current infrastructure developments, in particular in Naia and other regional airports, are expected to attract more travelers to the Philippines and support the growth of the hotel sector in 2025.
The industrial sector is also ready for continuing expansion in 2025, powered by continuous investments, especially in Luzon, he said.Ashley Erika O. Jose