DEMAND for backup office space outside Metro Manila is emerging even if the national capital remains the top choice for businesses to locate in, a real estate consultancy firm said.
In a recent interview, Prime Philippines managing director Jet Yu told The Manila Times that some companies based in Manila are also looking at putting up another branch in locations outside of the country’s capital either for expansion purposes or to serve as an emergency office in times of calamities.
“In terms of expansion, moving out of Metro Manila is a viable thing. Some offices in Metro Manila are putting up another branch outside of Metro Manila,” Yu said.
In addition, he said, “They have what they call this emergency office in terms of major catastrophe like earthquakes.”
He said Laguna and Cavite are some of the locations that companies are looking at as areas for their backup offices.
From a developer’s perspective, Yu said: “The reason why developers are moving out or expanding out of Metro Manila is because of, number one, the lack of developable land– lack of sizable and developable land, that’s number one. Number 2, the reason why they’re looking out is because they want to decongest Metro Manila.”
Jones Lang Lasalle Philippines country manager Lindsay Orr said the expansion efforts of developers towards the regions is in line with the goal of spreading the growth of the economy to the other parts of the country.
“I think it’s really a question of opening up the country in all aspects. We’ve been too focused on Metro Manila. If you’d take a look at the amount of developments in the BPO sector, roughly 80-85 percent is in Metro Manila,” Orr said.
Yu agrees with this view, noting that the concentration of business activities in Metro Manila could cause the downfall of the economy in case of a major catastrophe.
“Why can’t we try of spreading that growth all over the country? In one earthquake, 50 or 60 percent of the Philippines will be wiped out because all of our activities are in Metro Manila,” he said.