Philippine Property Market: REIT Deals, Batangas Expansion, and Makati's Busway Push

Today's roundup looks at a major REIT restructuring, an industrial estate expansion in Batangas, a transit infrastructure proposal in Makati, and evolving demand patterns across the residential sector.

AREIT eyes year-end approval for P17.3-B Ayala asset swap

AREIT, Inc. is targeting Securities and Exchange Commission approval before the close of 2026 for its planned P17.33-billion property-for-share swap involving Ayala Land, Inc. and several of its subsidiaries. Under the deal, AREIT would issue over 462 million new common shares priced at P37.48 apiece in exchange for six properties from ALI's portfolio. Once completed, the transaction would shift AREIT's asset mix toward offices, which would make up more than half of its holdings, with retail, hotels, and land rounding out the rest. According to BusinessWorld, the company is optimistic about securing regulatory sign-off within the year.

Aboitiz estate eyes 500-ha LIMA expansion, P7-B office pipeline

Aboitiz Economic Estates is growing its LIMA Estate footprint in Batangas by 500 hectares, bringing the total area to 1,600 hectares, alongside a P7-billion investment in seven new office towers. Most of the added land will go toward industrial use, while a stretch facing Maharlika Highway is earmarked for a new commercial business district. The move signals continued confidence in Batangas as an industrial and mixed-use growth corridor. According to BusinessWorld, the expansion was announced this week.

Makati moves forward with ₱18-billion electric busway proposal

Makati's city government is advancing a roughly ₱17.76-billion electric busway project designed to ease congestion in its central business district, which would become Metro Manila's second bus rapid transit system. The proposal follows a hybrid build-operate-transfer structure, allowing a private proponent to design, build, and run the system for a set concession period before handing it over to the city. Beyond mobility, the project could influence property values and leasing activity within the CBD over time. According to Manila Bulletin, the city is now assessing the plan.

Demand rising: Houses and lots outside NCR, affordable condos in Metro Manila

Residential demand is showing distinct patterns, with house-and-lot developments outside Metro Manila and economic-to-affordable condo segments within the capital emerging as the strongest performers. Metro Manila still carries around 80,000 unsold condo units as of the second quarter of 2026, with 32,000 already ready for occupancy. Industry groups are pushing to remove the VAT exemption cap on residential units to widen affordability for middle-class buyers. According to The Manila Times, these trends define the current residential landscape.