OFFICE/O&O

​The newest global enterprise and technology solutions (ETS) hub and soon-to-be main office of Unilever Philippines was recently inaugurated at Bonifacio Global City (BGC). Located at Bonifacio Stopover Corporate Center, the new head office is likely to strengthen the O&O sector as it is expected to provide an additional 500 jobs to its current 1,800 employees. This Unilever ETS Philippines is the fourth ETS hub in the world and is deemed the second largest, next to Bangalore.  The third delivery centre of Pointwest Technologies Corporation has been inaugurated at Rockwell Business Center in Ortigas CBD, Pasig City. Named Pointwest Digital Center, it will offer digital services such as digital transformation consulting, data analysis and management, and mobility services such as digital application development and management. Pointwest Technologies Corporation is a Filipino-owned offshoring and outsourcing (O&O) company and has spear-headed several nation- building activities such as Project NOAH, which is a mobile application of the Department of Science and Technology, for weather and flood monitoring as well as the Nexus of Forces, also known as SMAC digital services, which strengthens the connection between companies and consumers.  DMCI Homes, the real estate arm of DMCI Holdings, Inc. through its subsidiary DMCI Project Developers, Inc., has revealed plans to venture into the office property sector. The property developer aims to launch a 36-storey office tower along Chino Roces Avenue, Makati City with an estimated GLA of over 40,000 sqm. DMCI Homes is the property developer of known residential developments such as Bonifacio Heights, Brio Tower, and Flair Towers. 

Photo & Post Credits as Reported by:  JLL Philippines

Image credit: Shutterstock through JLL
​
It’s been a busy year for the real estate industry – and we’re not just talking about bumper deals or ever more ambitious developments moving from blueprint to reality.

The speed at which the changes are driving the industry forward – whether through technology or the movement of people – is increasing and it’s having a big impact on the design of buildings and cities, the way that industries from hotels to warehouses operate and how we go about our daily lives.

Here Real Views picks out some of the key trends of 2015.

Urbanization
Every day more people are moving to join the throng of city life – and they all need their own bit of space to call home. Problem is, land is scarce and cities are becoming ever more overcrowded and expensive. For some cities, for example in China, growing outwards is a possibility, which is creating big challenges for the government both in terms of how the make these urban areas sustainable as well as successful.

For New York, one option is to build ever higher – and apartment prices are rising as fast as the skyscrapers. In contrast other U.S. cities, such as Atlanta, Chicago and Los Angeles,are welcoming a new influx of people – mainly millennials – into their inner city areas after suffering the effects of suburban flight over the past few decades.

In Asia it’s a very different story with developers shrinking the size of apartments to keep prices within the realms of affordability. However, density doesn’t need to be a dirty word when it comes to city development – it’s all about creating well-designed developments include a mixed use of land that provides people with liveable and spacious areas in which to work, relax and enjoy a high quality of life.

In Europe some cities are seeing changes to their historic skylines as new developments take them into a new era. In London there are at least 39 new residential towers in the pipeline while Paris is getting ready to welcome a new addition to its own skyline with the Tour Triangle.

Technology
Innovative new technologies are fast making inroads in real estate. Warehouses areembracing smart technology to improve processes and efficiency while the growing expectations of online shoppers are driving retailers to pursue ever faster delivery times across their logistics networks.

Retailers are also increasingly turning to technology to connect with consumers and improve their shopping experience. And offices are embracing the concept of virtual reality to allow investors, potential tenants and future office workers to ‘see’ their space months or even years before it is built.

Innovation
This year has really seen the rise of the robot. From improving productivity in the workplace to manning the reception desk in hotels, robots are revolutionizing the real estate industry. Asia is staying ahead of the curve with high-tech indoor agriculture toolstransforming farms into factories.

Elsewhere, 3D printing is gaining traction with Dubai unveiling plans for the world’s first fully functional 3D printed office, hot on the heels of Chinese company WinSun which unveiled a five storey apartment building and a 1,100 square meter villa earlier in the year.

The Philippines followed up with the world’s first 3D printed hotel suite and is exploring the potential of 3D printed buildings to provide housing in low income and disaster struck areas.

Equally innovative are the flatpack skyscrapers from Chinese company Broad Sustainable Building. Earlier this year it completed the world’s tallest flatpack skyscraper at 57-storeys in just 19 days.

Sustainability
Sustainability has grown from being a ‘nice to have’ to a ‘must have’ for companies, developers and city planners. Even countries such as China are investing time and money in improving their environmental footprint while others, such as Canada, are showing the world why sustainable buildings are important.

Buildings are also becoming increasingly equipped with sophisticated sustainability measures such as photo-chromic glass and lighting systems. And a growing number aresporting green roofs providing space for residents to relax as well as delivering environmental benefits. However, the real change happens when communities work together to create green districts which are springing up all over the world from South Korea to Germany.

By:  Rhian Nicholson of JLL Philippines (December 21, 2015)

THE REAL ESTATE TRENDS THAT SHAPED 2015

Investors look beyond emerging markets
“We’ve seen emerging markets partly fall out of favour in 2015, with investors spooked by China’s equity market correction, the effects of lower commodity prices on many emerging economies and the potential negative impact of rising US interest rates on foreign exchange rates in emerging markets. As such, we’ve seen direct commercial real estate investment into emerging markets (excluding China) fall by a third in the first three quarters of 2015 from 2014 levels.

“But when we start to unpick the dynamics, we’re seeing a greater divergence in the real estate performance of emerging cities. The more agile emerging cities and those that are successfully transitioning to higher-value business services and IT are bucking the trend – I’m thinking of places like Shanghai and Shenzhen in China, and Bangalore and Hyderabad in India.

“Nevertheless, investors still have an appetite for risk, and so they’re targeting secondary and tertiary cities in the mature economies – with strong interest in smaller New World Cities like Munich, Stockholm, Austin, Seattle, Melbourne and Auckland.”

Developing trends, economic growth stories and new innovations have all played a part in shaping the global real estate industry in 2015.
As it draws to a close we ask JLL experts from around the world for their highlights of the past 12 months and the implications of these both within real estate and the wider business world.
From the growing strength of Chinese companies to rising investor interest in emerging batch of New World Cities to new construction materials with huge potential for our future towers, click through the slides above for a snapshot of the standout real estate trends and developments of 2015.

By:  Jeremy Kelly, Director, Global Research, JLL (December 28, 2015)
​

On December 10, 2015, BCDA signed a lease agreement with Sunray Power Inc. for the lease of a 260-hectare area in Clark Green City to build a 100-megawatt solar power facility worth P11.75 billion. BCDA President Arnel Casanova said the use of renewable energy to energize ‪Clark Green City‬ is part of BCDA’s commitment to address the effects of climate change.
Clark Green City is set to be the Philippines’ first green metropolis and one of the country’s answer to climate change.  It will generate over 800,000 jobs and will play a huge role in the nation’s economic growth.


Source: 
http://clarkgreencityphils.com

The Bases Conversion and Development Authority (BCDA) yesterday signed a lease agreement with Sunray Power, Inc. (SPI) for the lease of a 260-hectare area in Clark Green City to build a 100-megawatt solar power facility worth P11.75 billion.

Under the agreement, SPI has committed to invest $250 million (roughly P11.75 billion) within two years. BCDA will receive annual lease payments and shares in the revenues of generated power.

SPI also has committed to employ 1,000 workers during the construction and at least 250 workers during operations.

The term of the lease is 25 years and this may be renewed for another 25 years, subject to renewal negotiations. The location is a reserved space for green development programs such as renewable energy (RE), urban farming and forest reserves.

“We look forward to the long-standing partnership with SPI to provide clean and renewable energy not only to Clark Green City but also to the neighboring areas in Central Luzon,” saidArnel Casanova, BCDA president and chief executive officer.

Casanova said RE facilities such as the solar farm will lead to the establishment of technology development centers focusing on green and smart technology. As part of the agreement, BCDA and SPI will invest in training young Filipinos on the latest developments in green and smart technology in line with the company’s corporate social responsibility program.

He added the use of RE such as solar power to energize Clark Green City forms part of BCDA’s commitment to address the effects of climate change and global warming.

“We are very mindful of the impact of climate change in the Philippines and there is no other recourse but to adopt renewables as the main source of energy to power Clark Green City,” Casanova said.

He noted that BCDA’s commitment to renewables is also in line with the thrust under the recent COP21 Paris Climate Summit to transition to a green and sustainable economy to address climate change.

SPI is a Philippine corporation formed to develop, construct and own utility-scale power generating facilities for the production, generation, sale and storage of electricity harnessed from RE sources such as solar, wind and waste-to-energy technology. 

SPI and its consortium of green technology companies have expertise in RE and the power industry, and possess proprietary licenses for solar photovoltaic, wind, waste-to-energy and storage equipment not available in the Philippines.

It can be recalled that last July,BCDA also signed a lease agreement with SSR C-Solar Power, Inc. to build a solar energy farm in Clark Green City capable of generating some 20 megawatts of electricity, with the latter committing to invest some P1 billion for the project within the next two years.

The entire Clark Green City is a 9,450-hectare master planned property within Clark Special Economic Zone in the province of Tarlac. It is envisioned to be the first smart, disaster-resilient and green city in the Philippines.

At full development, it will have some 1.12 million residents and 800,000 workers, and contribute a gross output of approximately P1.57 trillion per year to the national economy or roughly four percent share in the county’s gross domestic product.

Clark Green City is positioned strategically between highly urbanizing cities of San Fernando, Angeles and Olongapo in Central Luzon as well as the cities of San Carlos, Dagupan and Urdaneta in Northern Luzon. It is also near the Clark International Airport and the Subic Seaport.

The strategic location and its connectivity to major cities in Central Luzon through North Luzon Expressway, Subic-Clark-Tarlac Expressway, Tarlac-Pangasinan-La Union Expressway and soon the Central Luzon Link Expressway will allow the convergence from north, east, south and west, and serve a catchment population of some 12 million people.


December 10, 2015
http://www.malaya.com.ph/business-news/business/p11b-100mw-solar-power-plant-rise-clark-green-city

THE Bases Conversion and Development Authority (BCDA) is now finalizing its plans for the Clark Green City, as it aims to ink its deal with property developer Filinvest Land, Inc. within the month.

“We are finalizing the draft for the contract… And yes, (it will be signed) within the month,” BCDA President and Chief Executive Officer Arnel Paciano D. Casanova said in a phone interview on Tuesday.

The Gotianun-led property developer last September submitted its bid to develop a 288-hectare area in the Clark Green City in Tarlac province. Filinvest Land was the lone proponent that submitted a valid bid amounting to P160 million, payable upon the signing of the contract.

Once the contract is signed, Filinvest Land will form a joint venture (JV) company with the BCDA -- with a 55%:45% ownership structure -- to undertake the project. The JV, will be valid for 50 years and renewable for another 50 years.

Mr. Casanova said the groundbreaking for the project would likely be held in the first quarter of the 2016. He said President Benigno S. C. Aquino III would be invited to lay a time capsule for the project.

The entire 9,450-ha Clark Green City -- envisioned to be the country’s first smart, green and disaster-resilient metropolis -- lies in Clark Special Economic Zone. When fully developed, it will have government; central business; academic; agro-forestry research and development; as well as wellness, recreation and eco-tourism districts.

The BCDA official noted Clark Green City would be disaster-resilient and “will be much safer for people to live.”

By Katrina P. Heredia
December 8, 2015
http://www.bworldonline.com/content.php?section=Corporate&title=plans-for-clark-green-city-being-finalized&id=119890

Malacañang has issued Memorandum Circular No. 87 directing all national and government agencies to submit an inventory of idle lands that may be used for socialized housing.

The said Memorandum likewise creates an inter-agency task force to identify lands and sites for socialized housing.

The Inter-Agency Task Force will be composed of the Interior and Local Government Secretary as the chairman; and the Environment Secretary; chairperson of the Housing and Urban Development Coordinating Council (HUDCC); Housing and Land Use Regulatory Board (HLURB) chief executive officer; National Housing Authority (NHA) general manager; National Mapping Resource Information Authority (NAMRIA) administrator; Land Registration Authority (LRA) administrator; and Land Management Bureau director as its members.

The Memorandum was signed on December 1, 2015 by Executive Secretary Paquito Ochoa Jr. in behalf of President Aquino.

“All National Government agencies and instrumentalities, including government-owned or -controlled corporations (GOCCs), are hereby directed to submit to the Inter-Agency Task Force, an inventory of their idle lands and provide information as to the purpose for which it has been reserved, and its status,” the memorandum read.

“The DILG, through the local government units (LGUs), shall conduct an inventory of government-owned idle lands in urban centers in their respective territories,” it said.

“For this purpose, the DENR and the LRA shall make available its land records, such as but not limited to approved subdivision plans and surveys, cadastral maps, title information and abstracts of registry, to the DILG and LGUs, subject to such limitations as may be provided by law, rules and regulations,” it added.

Idle lands would include those not used for the purpose for which they have been reserved for the past 10 years; lands with existing structures and owned by any government entity but can be set aside for socialized housing; and lands owned by any government entity currently inhabited by informal settler families.

Inventory of lands by government agencies, and local government units (LGUs) shall be submitted by the end of December, 2015 while a list of identified government lands as possible sites for socialized housing shall be submitted to the Office of the President on or before February 29, 2016.


Office of the President of the Philippines
Malacañang

MEMORANDUM CIRCULAR NO. 87

DIRECTING ALL NATIONAL GOVERNMENT AGENCIES AND INSTRUMENTALITIES, INCLUDING GOVERNMENT-OWNED OR -CONTROLLED CORPORATIONS, TO SUBMIT AN INVENTORY OF THEIR RESPECTIVE IDLE LANDS, AND CREATING AN INTER-AGENCY TASK FORCE TO IDENTIFY LANDS AND SITES FOR SOCIALIZED HOUSING

WHEREAS, Republic Act (RA) No. 7279 or the “Urban Development and Housing Act of 1992,” directs the local government units to conduct an inventory of lands and the concerned government agencies to identify sites for socialized housing;

WHEREAS, despite the explicit task given to local government units and government agencies, constraints on land identification for the purpose of socialized housing still occur; and

WHEREAS, the Philippine Congress, through the Joint Committee of the House of Representatives Committee on Housing and Urban Development and the Senate Committee on Urban Planning and Shelter and Resettlement, has initiated a multi-sectoral National Summit on Housing and Urban Development (“Summit”) to identify immediate solutions to the increasing number of informal settlers in urban centers, and to ensure the availability of lands for socialized housing, the Joint Committee resolved to come up with an inventory of lands.

NOW, THEREFORE, the following are hereby ordered:

SECTION 1. Inventory of Lands. All National Government agencies and instrumentalities, including government-owned or -controlled corporations, are hereby directed to submit to the Inter-Agency Task Force created under Section 3 hereof, an inventory of their idle lands and provide information as to the purpose for which it has been reserved, and its status.
The Department of the Interior and Local Government (DILG), through the local government units (LGUs), shall conduct an inventory of government-owned idle lands in urban centers in their respective territories.

For this purpose, the Department of Environment and Natural Resources (DENR) and the Land Registration Authority (LRA) shall make available its land records, such as but not limited to approved subdivision plans and surveys, cadastral maps, title information and abstracts of registry, to the DILG and LGUs, subject to such limitations as may be provided by law, rules and regulations.

SECTION 2. Government Idle Lands. For the purposes of the inventory, government idle lands shall be categorized into the following:

1. Lands owned by any government entity that have been idle and have not been used for the purpose for which they have been reserved for the past 10 years;
2. Lands with existing structures and owned by any government entity but can be set aside for socialized housing; and
3. Lands owned by any government entity currently inhabited by informal settler families.

SECTION 3. Creation of an Inter-Agency Task Force. There is hereby created an Inter-Agency Task Force to facilitate the inventory of lands. The Task Force shall be composed of the following:

• Chairman: 
• Secretary, DILG


• Members: 
• Secretary, DENR
• Chairperson, Housing and Urban Development Coordinating Council
• Chief Executive Officer, Housing and Land Use Regulatory Board
• General Manager, National Housing Authority
• Administrator, National Mapping Resource Information Authority
• Administrator, LRA
• Director, Land Management Bureau

SECTION 4. Functions. The Task Force shall have the following functions:

1. Ensure the timely submission of inventory of lands by government agencies, and local government units by the end of December 2015, in time for the preliminary report of the Summit;
2. Review and assess the inventory of lands submitted by government entities and identify which are suitable for socialized housing and resettlement areas;
3. Submit a list of identified government lands as possible sites for socialized housing to the Office of the President on or before 29 February 2016; and
4. Perform such other functions as may be necessary for the successful implementation of this Circular.

SECTION 5. Repeal. All issuances, orders, rules, and regulations or parts thereof which are inconsistent with the provisions of this Circular are hereby repealed and/or modified accordingly.

SECTION 6. Separability. If any provision of this Circular is declared invalid or unconstitutional, the other provisions unaffected shall remain valid and subsisting.

SECTION 7. Effectivity. This Circular shall take effect immediately.

DONE, in the City of Manila, this 1st day of December in the year of Our Lord, Two Thousand and Fifteen.

​By the President:
(Sgd.) PAQUITO N. OCHOA, JR.
Executive Secretary


By Madel Sabater - Namit
December 6, 2015
http://www.mb.com.ph/idle-govt-owned-lands-eyed-as-sites-for-socialized-housing/

​The idea of an economic bloc in Southeast Asia is finally coming to fruition after 30 years of discussion.  

When it does, the ASEAN Economic Community (AEC) will create a single market of over 600 million people, making the region more attractive than any single nation would be on its own and boosting its long-term prospects. 

Much of the progress is being driven by urbanization, supported by a young, literate population and growing middle class, coupled with competitive labour costs. However, amid this potential, much of Southeast Asia faces challenges of transparency, legal and political risks, and corruption. 

​JLL Real Views looks at the emerging picture for four of the biggest countries in the economic bloc: Indonesia, Thailand, Vietnam and the Philippines.

Photo Credits & Postings By:  JLL Philippines 

December 03, 2015 /http://www.malaya.com.ph/business-news/special-features/top-10-real-estate-news-sets-direction-sector
 
Top real estate news that hogged the headlines this year were a mix bag of optimistic and not-so positive events that are telling of the direction of the property sector.

According to property portal MyProperty.ph, 2015    was a roller-coaster ride for real estate issues that affected everyone involved in the real estate business.  

Either way, these happenings helped shape the local real estate scene to what it is now, and could give us an indication of what’s in store for 2016. 

Here is a lookback of the biggest real estate-related news of the year as culled by MyProperty.ph:

A way to monitor real estate prices. The Bangko Sentral ng Pilipinas (BSP) is preparing to launch a residential real estate price index (RRPI) that aims to track property prices in Metro Manila, as well as nearby provinces. According to the BSP, the RRPI, which will include information on costs of construction materials and types of houses being built, will help determine the formation of a housing bubble so that preventive actions can be taken.

Rise of the townships. The year 2015 saw the rise of townships all over the country by different property giants. Megaworld Corp. alone launched five townships this year: Sta. Barbara Heights (Sta. Barbara, Iloilo), The Upper East and Northill Gateway (both in Bacolod, Negros Occidental), Westside City (Bay City, Parañaque), and a still-unnamed township in San Fernando, Pampanga. Ayala Land added two townships to their growing portfolio: Cloverleaf in Balintawak, Quezon City; and Capitol Central in Bacolod. Meanwhile, Vista Land and Lifescapes, Inc. is ramping up the development of Vista City, a 1,500-hectare “communicity” located at the boundaries of Cavite, Laguna, Las Piñas and Muntinlupa; and SM Prime is continuing to expand the Mall of Asia Complex in Pasay.

Pampanga’s continuous boom as a real estate destination. Pampanga is experiencing a gradual rise in real estate activity with the launch of several big-ticket developments this year. One is the aforementioned San Fernando township project by Megaworld, which plans to incorporate a cyberpark into the development to accommodate the city’s growing BPO sector. Also located in San Fernando, Century Properties’ Azure North is the brand’s addition to their line of resort-inspired developments. Filinvest Land will be working alongside Bases Conversion and Development Authority to develop the 288-hectare Clark Green City, which is designed to be the country’s first-ever smart, green, and disaster-resilient metropolis.

SM Group dominates Philippines Property Awards 2015. This year’s Philippines Property Award saw the domination of the SM Group as it took home several recognitions, including the most-coveted “Best Developer” for SM Prime Holdings. SM Prime was also awarded “Best Retail Development” and “Best Retal Architecture” for SM Megamall’s Mega Fashion Hall. SM Development Corporation (SMDC) bagged the “Best Landscape Architectural Design” for Shell Residences, “Best Affordable Condo Development (Metro Manila) award for Mezza II Residences, and several “Highly Commended” certificates for various categories.

The opening of the Muntinlupa–Cavite Expressway (MCX). Presenting an opportunity to further boost the viability of the south as an investment destination was the launch of the Muntinlupa–Cavite Expressway (MCX), a 4-kilometer, 4-lane toll road that connects Bacoor, Cavite, to the South Luzon Expressway (SLEX). According to the Department of Public Works and Highways, the MCX will cut travel time between southern Metro Manila and Cavite by an average of 45 minutes, providing quick and easy access to the major real estate developments in the Cavite, Las Piñas, and Muntinlupa area.

Lower Pag-IBIG housing loan interest rates. Aspiring homeowners received good news when the Pag-IBIG Fund announced that they will be charging lower interest rates for housing loans. On June 1, 2015, Pag-IBIG began implementing a 6.5 percent interest for loans with a threeyear fixed period. Additionally, the following rates were implemented alongside their corresponding fixed-term periods: 7.270 percent for 5 years, 8.035 percent for 10 years, 8.585 percent for 15 years, 8.8 percent for 20 years, 9.05 percent for 25 years, and 10 percent for 30 years.

Tighter standards in bank loans for commercial real estate. In the second quarter of 2015, banks continued to implement stricter lending standards in terms of loans granted to property developers. According to the results of the second quarter 2015 Senior Bank Loan Officers’ Survey, there was a net tightening of overall credit standards for commercial real estate loans that, according to Bangko Sentral ng Pilipinas, was attributed to the said “perceived stricter oversight of banks’ real estate exposure along with banks’ reduced tolerance for risk.”

A second chance for broker exam non-passers. For aspiring real estate brokers, the May 24, 2015, licensure exam would have been their last chance to earn their license even without earning a real estate management degree, which meant bad news for non-passers. However, the Professional Regulation Commission – Board of Real Estate Service (PRBRES) announced that it will give non-passers a second chance by offering another brokers’ exam on February 28, 2016. According to PRBRES Chairman Eduardo G. Ong, this move was done “to show that our industry and the real estate service profession is a very robust profession, that we want everybody to be on board.”

Disasters that call for change. As news of the devastating earthquake in Nepal back in April resonated across the world, the Philippine Institute of Volcanology and Seismology (PHIVOLCS) revealed that a greatly damaging 7.2-magnitude earthquake caused by the West Valley Fault can potentially occur in Metro Manila in our lifetime. PHIVOLCS warned homeowners of the importance of choosing a home built away from fault lines, and one that’s disaster-resilient at that. Meanwhile, worsening traffic conditions in Metro Manila seem to have hit an all-time high this year, leading netizens to choose the area as the city with the worst traffic conditions in a survey conducted by navigation app Waze. As the Metro Manila Development Authority asks the public to brace itself for another 15 years of road gridlock, several possible solutions are raised, such as moving to homes closer to work to eliminate the need for commuting or driving and better project planning to avoid adding to traffic in highly congested areas.

The Torre de Manila case. No condominium made more headlines this year (albeit for adverse reasons) than DMCI Homes’ Torre de Manila, a residential condo rising 49 stories along Taft Avenue. In 2014, a petition was filed by the Order of the Knights of Rizal asking the Supreme Court to halt the construction of Torre de Manila as it is said to taint the iconic sightline of Luneta Park’s Rizal Monument. A temporary restraining order was issued by the Supreme Court in June 2015 to halt the project’s construction, although a final decision on whether to demolish the tower or allow DMCI Homes to complete it has yet to be reached.