Full Steam Ahead: PRIME Philippines Accurately Foresees Industrial and Manufacturing Boom

by PRIME Philippines Marketing and Communications Department  June 14, 2018

Being effective forward thinkers entails having a strong sense of present conditions and an even stronger ability to interpret these in order to accurately picture what future trends will be. As a leading real estate consultancy firm, PRIME Philippines is at the forefront of identifying key shifts and significant movements in the industry. This puts us in the best vantage point to fine-tune our services in order to provide the most innovative and sound solutions; anticipating opportunities that will be beneficial to our clients.

Two years ago, PRIME Philippines Founder and CEO Jet Yu spoke at several real estate forums and forecasted a coming boom in the industrial sector. According to him, residential and office sectors each experienced significant flourishes in real estate but that from 2016 to 2021, industrial will take the spotlight “because as people see their purchasing power increase, retail companies that serve them are definitely going to need more storage facilities in the country, which is where logistics and manufacturing facilities come in”.

Read more: https://www.rappler.com/business/industries/175-real-estate/141509-industrial-factory-real-estate-boom

Today, this forecast has proved to be accurate as more and more foreign investments have already set up manufacturing operations in the country. Beginning in 2016, Japanese-owned bicycle maker Shimano and German automotive parts manufacturer Zama Group set up shop while Ayala Automotive Corporation Holdings’ KTM Philippines also invested in an industrial hub in Laguna. 2017 saw a steady streamline of more local and foreign investors taking advantage of the development of renewable energy and solar panels which solve the expensive electricity costs that once hindered industrial expansion. This year, industrial developments are also moving towards the north, starting from a notable 2.5 - 3-hectare development in the works in Valenzuela City, all the way through Bulacan and Pampanga, where demand for properties for industrial developments are observed. A 3.9-hectare property in Iloilo has also been cited as a future industrial hub.

Industrial requirements are increasing as a result of retail companies responding to high consumer demand. No trial runs for industrial as it takes the main stage and is full steam ahead for the coming years.

2017 rental rates in Metro Manila experienced a low of Php180 per square meter and a high of Php270 per square meter. In the same way, Greater Metro Manila which comprises of Cavite, Laguna, Batangas, Rizal, Bulacan, and Pampanga saw a low of Php150 per square meter and a high of Php250 per square meter.

In line with this, PRIME Philippines receives a steady streamline of inquiries for industrial purposes for Bulacan, Cavite, Laguna, CDO, and Davao as development is gearing outside Metro Manila. With the saturation of Metro Manila, demand for industrial developments in strategic locations such as those near existing and upcoming infrastructure developments is key. Our team assures that your products are manufactured and stored at the perfect location for your logistical and industrial needs.

For more information on our Industrial Warehouse and Manufacturing solutions, you may contact us at  (+632)442 888 or (+63)917 555 8222. Alternatively, you may send us an inquiry at inquiries@primephilippines.com.

 

 

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