Century Properties Inc., headed by Ambassador Jose E. B. Antonio, remains optimistic on the real estate market as remittances from overseas Filipino workers (OFWS) continue to grow.
“The trends and patterns we experienced in 2007 will continue in 2008. First, I predict that the positive impact emanating from OFWs will continue for the real estate sector,” Antonio said.
“OFWs, as a proportion of our total buyers, continue to rise. Despite the decline of the dollar and the buying power of would-be home owners, Filipinos abroad are still finding value in Philippine based homes vis-à-vis US domiciled houses, given the latter’s decline,” Antonio added.
The government receives at least $1 billion in monthly remittances from Filipino expatriates, which are mostly used in buying properties or new homes in the Philippines.
In 2006, remittances reached $12.6 billion, roughly 10 percent of the country’s 2006 Gross Domestic Product (GDP).
Real estate companies esti-mate that at least 30 percent of their sales came from overseas Filipinos.
“The “cool-down in the US housing market has not affected real estate in Asia. I believe the sub-prime melt-down has almost fully run its course. Even if more write-offs ensue, the Asian economy, particu-larly the real estate sector, will continue to roar, as evidenced by the sector’s overall health in the latter half of 2007,” Antonio said.
Antonio said he is confident that the increase in demand for residential housing would more than offset potential increases in developers’ costs.
Signifying the company’s confidence in the real estate market, Century Properties is going full blast with the construction of new and large-scale projects.
With more than $2 billion worth of assets under manage-ment, Century Properties has more than 40 projects in its portfolio.
Among its latest develop-ments include The Gramercy Residences, a P5-billion mixed-use condominium that will rise on the former International School Manila property; the P1.5 billion Soho Central and the South of Market.
Soho Central, the first trans-portation-oriented develop-ment in the Philippines, will have a total of 850 units which will be delivered 12 months ahead of schedule.
The South of Market, the country’s first fully-fitted and fully-serviced condo, is estimated to cost around P1.8 billion. It is expected to be turned over to residents in January 2008.
Another project of the group is the P1.5-billion Canyon Ranch, the first Wi-Fi-integrated community in the south. The project has already completed 60 homes, 27 of which has been turned over.