Author Name: Eden Lorren Pabalan
Fort Bonifacio is the latest addition to the financial districts sprawling around the Philippines. From an army post to an evolving business capital next to Makati, the Fort is proving its worth at present. As business prospers in the area, with luxury residential and office buildings rising left and right. Real estate developers and brokers are also expanding operations to the district to provide for this demand. The Philippines’ real estate industry boomed again with the increase in number of investors in the vicinity.
History states that Fort Bonifacio, formerly known as Fort McKinley, has a colorful past and is only known to be a historical landmark with an area of 25.78 square kilometers. Unlike today, Fort Bonifacio was home to the Armed Forces of the Philippines, and was a barren piece of land. Establishing malls and highrise buildings may seem ironic due to its proximity to the Libingan ng mga Bayani and the Manila American Cemetery. Despite this, its distance between Makati CBD and Ortigas made it the next top choice for real estate investors and clients.
In 2009, Fort Bonifacio had the largest number of new office space taken with around 62,000 square meters of space occupied. Despite the Global Economic Crisis, the Fort is still thriving at establishing businesses in the area and constructing infrastructure. Two Serendra is under construction, Shangri-La has started breaking ground, St. Luke’s Medical Center has established a Global City branch, and BPO companies continue to expand in the district. Investing in The Fort is the best pick for those who wish to live the Fort as it continues to grow and expand.
The Makati Central Business District which is home to many of the country’s top companies has declined in prime office space rental rates drastically at around 35% in the last quarter of 2009. Meanwhile, Fort Bonifacio’s rental rates only decreased by 17%. The Fort is currently the best alternative to Makati CBD in terms of real estate and office spaces.
Fort Bonifacio will also establish the country’s tallest building this year, beating Makati’s 52-story PBCom Tower. Federal Land will construct a 66-storey building in the heart of the Fort. The first 25 floors of the skyscraper will be occupied by the Grand Hyatt Hotel. Condominiums in the Fort are also competing in number against Makati’s prime condo units.
According to Michael McCullough, Director of Makati real estate brokerage company KMC-MAG Group, Fort Bonifacio has already seen increased demand starting 1st quarter of 2010. ”The prices are competitive with Makati and the buildings are designed with the BPO industry in mind.” says Mr. McCullough. “New buildings, first-class rental and selling rates, and a good location mean more BPO’s will be looking at the Fort as their next location.” The BPO industry is now the primary target of real estate investors and early investors in the Fort will be likely to thrive.
KMC-MAG Group can assist those who want to start and establish a business in The Fort, and other business districts as well. They provide assistance to clients who need office or residential space, whether for rent, lease or sale. KMC and it’s experienced team of brokers will guide you all along the way.