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Ortigas is one of the oldest central business districts in the Philippines, located in the middle of the borders of Quezon City, Mandaluyong City, and Pasig City. Prior to the the development of Bonifacio Global City, it was considered as the second most important CBD, home to several of the country's leading local firms such as San Miguel Corporation, Jollibee Foods Corporation, and Banco de Oro.
The CBD also houses the headquarters of the Asian Development Bank in the Philippines, the Philippine Stock Exchange, as well as a number of prominent international firms from various industries such as Parsons Brinckerhoff, Sinclair Knight Merz, and WSP Group (engineering); Maersk (cargo/shipping); Hewlett-Packard (technology); etc.
Aside from these, Ortigas also offers a wide variety of entertainment and shopping options, with 6 malls, including SM Megamall, the 3rd largest retail complex of the Sy conglomerate built on a 10-hectare land, with a total floor area of 506,435 sq m.
Occupier demand remains strong in Ortigas Center; the average rental rate in the submarket increased by 1.4% QoQ and 5.5% YoY, well above the growth rates observed in other business districts.
Similar to Makati, Ortigas also has a tightness in available space, thus vacancy rate continued on a downward trend to 1.7% in 1Q/2016 from 2.1% in 4Q/2015. During the quarter, net absorption in Ortigas Center totaled to some 2,300 sq m.
In terms of new supply, Ortigas won't be seeing new developments for the remainder of the year, and is only expected to have an estimated 100,000 sq m++ additional stock on 2017 and 2018.
This lack of supply along with the sustained demand for office spaces in Ortigas Center are likely to support rental rate increases in the business district for the remainder of the year.
|Development:||The 30th Corporate Center||IBP Tower|
|Building Grade:||Class A||Class A|
|GLA:||47,000 sq m||35,000 sq m|
|Floor Plate:||2,100 sq m||1,363 sq m|
|Completion Date:||1Q 2017||2Q 2017|
Download a full copy of the Office Briefing 1Q 2016 here.