Metro Cebu remains the biggest and most important residential property market in the Visayas region. As the economy recovers and borders re-open, demand is likely to gradually return – driven by increased commercial activity, demand for leisure properties, and remittances from OFW.
Colliers sees Metro Cebu recording a healthy demand from residential investors and end-users. Hence, we expect developers to become relentless in land-banking and in completing projects beyond 2022. We also see residential developments benefitting from the completion of vital infrastructure projects around Metro Cebu.
Demand for condominium units will partly be driven by a recovery in office leasing, especially within Metro Cebu’s integrated communities, including the Cebu Business Park and the Cebu IT Park, and the opening-up of borders for condominium projects positioned in the leisure market. Meanwhile, take-up for horizontal projects will be fueled by an improving economy, and sustained remittances from overseas Filipino workers (OFW).
According to Karla Domingo, Colliers Director of Advisory Services: “Even with the challenges posted by Covid-19, Cebu will remain the biggest and most potent market for residential developments in the Visayas region. As the economy recovers and borders re-open, demand is likely to gradually return – driven by increased commercial activity, demand for leisure properties, and remittances from OFW.” Domingo further said that to seize the opportunities in the future, developers should be proactive in assessing gaps in the market to provide the proper product type that will capture pent-up demand.
Colliers recommends that real estate developers be proactive in assessing the gaps in the market for horizontal developments in terms of product and price, and in tapping the demand for mixed-use communities. Developers should also remain strategic with their land-banking initiatives.