Philippine Property Market: Mile Long Reverts to PMO, BSP Eyes More Rate Hikes
Government land disposal, Makati office leasing, rate forecasts and Cavite housing progress make today's headlines
Written by PropVela Editorial TeamPublished 2 min read
Today's roundup covers a major government land transfer in Makati, fresh office leasing activity, a central bank rate outlook with implications for homebuyers, and continued momentum in socialized housing development.
Immediate disposal of Mile Long site ordered
President Ferdinand R. Marcos, Jr. has shifted control of the 22,924-square-meter Mile Long property in Makati's central business district back to the Privatization and Management Office, taking it away from the Bases Conversion and Development Authority. Under Administrative Order No. 50, signed September 30, the PMO must now move quickly to prepare a privatization plan designed to secure the best possible value for government coffers, subject to sign-off from the Privatization Council. According to BusinessWorld Online, the directive calls for immediate action on disposing of the prime parcel.
PNB Holdings signs new office tenant in Makati
PNB Holdings Corp., which recently listed publicly, has landed creative agency RNDMD as a new tenant at PNB Makati Center on Ayala Avenue. The roughly 35,000-square-meter building is now about 86% leased, the company said. This deal arrives as PNB Holdings reportedly explores additional property acquisitions across Metro Manila to grow its portfolio. Details were reported by BusinessWorld Online.
BSP seen raising lending cost to 5.5 percent by year-end on peso, growth pick-up
MUFG analysts expect the Bangko Sentral ng Pilipinas to raise rates twice more this year — in October and December — lifting the policy rate from 5% to 5.5%. The call follows a less pessimistic view on the peso and economic growth, even as the currency is projected to weaken past 62.50 to the dollar before recovering toward 62.00 in 2027. Rising global oil prices and firm US interest rates are adding pressure on the peso, a dynamic that could push mortgage rates higher for Filipino homebuyers. Read more via Manila Bulletin.
Megawide tops off two towers in Cavite socialized housing project
Megawide Construction Corp., through subsidiary Megawide Dreamrise Residences, Inc., has completed the structural framework for two towers in its Cavite socialized housing development. The milestone, marked on October 1, signals that developers continue pushing forward in the affordable housing segment despite broader caution across other parts of the property market. For more, see BusinessWorld Online.