Our March 2026 edition of the report provides the latest updates in the Philippine commercial real estate industry as well as insights on the local sectors.
General Property
The country's heavy reliance on oil imports has created a precarious situation, leaving it vulnerable to disruptions in global oil markets. While the real estate sector remains unaffected in the short term, a prolonged lack of government intervention could lead to a ripple effect, eventually impacting the segment. Proactive measures are essential to mitigate long-term economic vulnerabilities.
Office
Despite the Philippines' competitive workforce advantage, its low scores in digital infrastructure and business stability highlight underlying vulnerabilities that could challenge its ability to sustain long-term growth. As the global outsourcing market shifts towards more digitally advanced and stable environments, prompt action is required to address these gaps, ensuring the country remains competitive in an increasingly globalized and technology-driven landscape.
Industrial/Logistics
While other economies, such as Vietnam, have capitalized on the US-China trade fallout, largely due to their proximity advantage, the Philippines has also taken steps to enhance its international openness. Initiatives like the 99- year foreign lease policy and the expansion of industries open to foreign ownership, as outlined in the foreign negative list, are promising measures to attract more logistics and industrial locators. However, addressing long-standing structural issues that have hindered the Philippines from reaching its full potential remains critical. By resolving these challenges, the country can fully leverage its inherent strengths, such as a skilled labor pool and competitive costs, to achieve sustainable economic growth.
The above is an excerpt of the March 2026 report. Read the full report.
