The Quiet Rise of Katipunan’s Real Estate Sector

by PRIME Philippines  January 18, 2018

Katipunan Avenue, or commonly known as “Katip”, has experienced numerous changes in the past— from multiple traffic schemes to targeted road widenings to the gradual development of properties in the area. 

Primarily known for the presence of three major schools and the presence of Upper C and above residential areas, Katipunan is the top-of-mind district for family gatherings and food trips because of the numerous restaurants in the area. As developments rapidly rise in the area, the market of Katip also shifted. What was one known as ball pits and play areas transitioned to becoming cafes and other on-the-go establishments, increasing Katip’s food places and catering the fast-paced environment that the avenue is having.

Barangay Loyola Heights, a residential subdivision, experienced massive changes with the rise of residential confominiums like Xavierville, Varsity Hill, La Vista, and Loyola Grand Villas. Aside from this, Residencia de Regina, SM Berkeley Residences, and SM Blue Residences added their towers into the mix. Smaller scale residential developments are also present, offering units or bed spaces for rent to cater to the work force and students of Katipunan.

Residential condominiums have been one of Katipunan’s most sustainable industries because of its proximity to high-caliber universities and colleges such as the University of the Philippines, Ateneo de Manila University, and Miriam College. These schools attract students from all over the country, adding speed to the take-up of residential units. Leasing out a condominium unit is another option that owners can choose. Because of the convenience of these units, condominium rentals are around 800php per sqm per month, totaling to around 16,000php per month for studio type condos. The establishment of Ayala’s UP Town Center also added value to the location. When it was built in 2013, it provided Katipunan a much-needed retail presence to cater to the dominant residential and institutional area.

Today, Katipunan is still a strategic area for large developers. In fact, Rockwell and Vista have upcoming residential developments in the area, adding more residential options to the market. Rockwell’s Arton is set to be a three-tower development that will have upscale facilities. Buyers will have options ranging from a Studio Type unit to three-bedroom units priced at Php 4.1 Million to Php 16 Million. Vista Pointe by Vista will cater the market with smaller units priced from Php 3 Million to Php 4.6 Million. 

Katipunan’s rise is not as upfront as with the other business districts in the country. However, with all these recent and upcoming developments, land values in Katipunan will continuously increase. Last year, the area’s land value is around Php 300,000, a major jump from the previous years’ values priced at around Php 240,000 to Php 280,000. While land values increased, it is forecasted to increase more in the coming years. Because of this, Katipunan’s property owners have a very high opportunity in the next coming years. With this, there is not better time to penetrate the Katipunan market than now. With land values still on the rise, having a foothold today will give an edge for investors in the area.

 

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