Future-proof office real estate – Malaya Business Insight
Real estate consultant Colliers International said adopting green and sustainable features “plays a crucial role in the sustainability of office towers beyond the pandemic.”
“As part of occupant retention as well as attraction strategies, Colliers believes that existing homeowners and developers should focus not only on wellness attributes, but also on green renovation activities,” said he declared.
Colliers recommends that developers upgrade their buildings by “creating a seamless and efficient overall experience for today’s workforce.”
“This can be done by incorporating technological and design improvements into office spaces, as we see the increasing importance of LEED (Leadership in Energy and Environmental Design) and WELL certified options in attracting major tenants,” he said. -he declares.
“Overall, Colliers anticipates a market that should be upgraded due to changing tenant profiles that meet the most demanding of Knowledge Process Outsourcing (KPO), Multinational Corporations (MNCs) and traditional occupants. With this in mind, the market is moving from basic structures to more spacious and LEED certified buildings, with more energy efficient systems, thus improving the overall experience for employees and visitors, ”he added.
Citing data from the Philippine Statistics Authority, Colliers noted that between 2010 and 2019, Filipino health spending grew an average of 7.9% per year, faster than growth in other sub-sectors. consumer spending such as hotels and restaurants (7.6 percent), food and drink (5.4 percent), communication (5.0 percent), and clothing and footwear (1.8 percent).
“This indicates that health and wellness are top priorities for Filipinos. We are seeing employers and employees put more emphasis on health after the pandemic. Landlords and tenants are likely to implement health and wellness initiatives to retain occupants and employees, ”he said.
As developers accelerate construction of office towers in Metro Manila, Colliers said product differentiation plays a crucial role in ensuring buildings are responsive to tenant needs given growing market options.
“Colliers Philippines believes that today’s workforce is also more perceptive in choosing which companies to work in and what type of workspace is critical to attracting and retaining top talent,” he said. -he declares.
In a survey conducted by insurer Cigna in 2017, around 66% of respondents said it was important for their employer to have a wellness program in place and 59% said such a program would have an impact. on their decision whether or not to join a new employer.
Green building certifications then become a seal of authenticity for end users for standard green building practices, Colliers said, noting that these widely accepted standards tend to be appreciated by Filipino occupants and mid-to-high multinational corporations. range.
“LEED, BERDE (Building for Ecologically Responsible Design Excellence), WELL and Excellence in Design and Greater Efficiency (EDGE) are green building certifications widely used in the Philippines. These rating systems complement each other with unique criteria that meet a common goal: to support the Philippines’ commitment to reduce emissions by 70% by 2030, ”he said.
“The immediate benefit of applying green building standards is to promote a safe environment, improve health and well-being, and start tackling the environmental impacts of real estate development,” he said. he adds.
Colliers expects LEED buildings to account for 37% of the new office supply from 2021 to 2023.
“We are already seeing more developers constructing LEED certified buildings to meet the demands of an increasingly large and demanding clientele. Some of the LEED certified buildings due for completion from 2021 are One Ayala Tower 1, SM Mega Tower, The Glaston Tower, Primex Tower and Glas Tower, among others, ”Colliers said.
Another major building to be completed during the period is the Cebu Exchange Tower in Arthaland, the largest office tower built in the Visayas-Mindanao region with a gross leasable area of 108,500 square meters.
Colliers said Cebu Exchange will offer large floor plates (around 5,000 m2), flexible unit cutouts and a smart building management system. It is registered with the US Green Building Council, LEED, Philippine Green Building Council and BERDE.