A Signal from the Leasing Pipeline
Q1 2026 data from Colliers’ property market report shows a structural shift: within the active IT-BPM leasing pipeline of 114,000 square meters, third-party outsourcers still lead with 61%, but GCCs have claimed 39%—a meaningful leap. Overall, Metro Manila’s active leasing pipeline reached 227,000 square meters, split almost evenly between IT-BPM occupants and traditional tenants.
A Different Tenant Profile
GCCs are not merely tenants with a different label. They tend to invest more heavily in fit-outs and hire for more specialized, higher-value roles. They are not chasing the lowest cost per seat but building long-term capability hubs. Leasing patterns confirm this: 71% of the pipeline uses five-year terms, 23% three years, and 6% commits to seven years or more. These are not speculative tenants; these are companies planting flags.
Preferred Geography and Supply Tensions
Makati led Metro Manila transactions with 76,800 square meters in Q1, equivalent to 54% of the total 2025 figure, with 63% concentrated along Ayala Avenue. Bonifacio Global City remains tight with an 8% vacancy rate, while Metro Manila’s overall vacancy held at 18%. However, PEZA-accredited supply in prime locations is scarce. Of the roughly 7.9 million square meters of PEZA office stock in Metro Manila, only around 496,000 square meters are available in Makati, BGC, and Ortigas Center—about one-third of total availability.
Fresh Air from AO 45
The supply bottleneck is beginning to ease. On July 23, 2026, President Ferdinand Marcos Jr. signed Administrative Order No. 45, reopening processing of new IT Park and IT Center applications in Metro Manila after a seven-year moratorium. Colliers estimates that around 607,000 square meters of office space falling due between 2026 and 2030 have been proclaimed PEZA, and about 604,000 square meters more may qualify—totaling around 1.2 million square meters over five years. For GCCs requiring high-specification floors in prestigious locations, this is a long-awaited pressure release. Details on office market supply and PEZA-accredited space are tracked through Colliers Philippines research.
