OVERVIEW
The 1H 2025 Regional Report by Savills Philippines provides insights into the performance of key regional office markets across the Philippines. The report examines office supply, leasing demand, vacancy trends, rental performance, and market opportunities in major regional business hubs, helping occupiers, investors, developers, and landlords make informed real estate decisions.
KEY FINDINGS
- Regional office markets in the Philippines are recovering unevenly across key cities
- Cebu, Clark, Bacolod, and Davao saw delayed or limited new office supply due to construction and timing issues
- Iloilo was the exception, delivering the most notable new office completions
KEY INSIGHTS
- Recovery outside Metro Manila is not synchronized across regions
- Supply delays in 2025 are temporarily easing vacancy pressure in some cities
- Regional markets remain sensitive to developer caution, financing conditions, and project timelines
MARKET IMPLICATIONS
- New office supply will likely be pushed into 2026, especially in Cebu and Davao
- Regional vacancy levels may remain stable in the short term due to delayed completions
- Recovery will be city-specific rather than nationwide, requiring localized investment strategies
- Developers are likely to remain cautious, slowing speculative regional office expansion
FAQ
What is the 1H 2025 Regional Report?
It is a Savills Philippines research report that analyzes the performance of regional office markets across the Philippines during the first half of 2025.
Who should read this report?
Office occupiers, investors, developers, landlords, brokers, and businesses evaluating opportunities in regional commercial real estate markets.
What topics does the report cover?
The report covers office supply, leasing demand, vacancy rates, rental trends, and market performance across major regional business hubs in the Philippines.
