There's no secret that the Philippines and China enjoy warm ties, and this is finally being cemented through real estate investments on the part of China. China's Country Garden Group, in particular, is eyeing expansion in the Philippines through real estate projects.
Manila Bulletin reported Trade and Industry Secretary Ramon M. Lopez' revelations, with the secretary adding that the firm is also after investments in the country. Country Garden isn't the only investor interested in opportunities in the Philippines. The secretary said that the country's stable economy, as well as the state of doing business under the current administration, are key factors in the budding interest of doing business.
Country Garden's interest in the country was evident during the China International Import Expo. General Manager Wang Xingjun was seen with the DTI chief at the sidelines, discussing the possibility of partnering with Filipino real estate developers to ease the entry of the Country Garden Group, particularly its Country Garden and Rise Land branch. The investments will be spread into hotels as well as affordable residential properties.
Colliers have taken notice of the warmer ties between the Philippines and China playing a role in creating possibilities for the partnership to blossom. According to Inquirer, aside from the middle-class, the real estate projects targets include the countless Chinese professionals plying their trade in the country. Developers would be wise to offer their ongoing and finished real estate projects to these groups.
Aside from residential property opportunities, Chinese investment should also target office space development. In return, Manila real estate will also receive a needed boost in market sales. Chinese investors and workers are also instrumental in driving the residential demand in the metro, alongside local counterparts working in the CBDs.
Vacancies have declined at a steady rate, further evident in the Colliers forecast. Vacancy in Metro Manila fell by 11.3 percent from 12.4 percent early in the year, where the Makati CBD, Manila Bay Area, Ortigas Center, and Rockwell contributed in the decline. There are also 30,000 units that have been pre-sold during this span of time. That value is seen to go all the way up to 60,000 units pre-sold by yearend estimates.
These discussions all lead up to the visit of Chinese president Xi Jinping, who is expected to bring further projects and cooperation between the Philippines and China in his November trip to the country.
