Integrated Real Estate Investment Trust (REIT) Services
After a decade of being enacted, Republic Act (RA) 9856 or the REIT law, was intended to “democratize wealth” by allowing Filipinos to invest in the real estate market without owning actual property or the disadvantages of high transaction costs and illiquidity. The Philippine government enacted the measure to develop the country’s capital market, broaden developers’ fundraising options, unlock the value of real estate firms’ properties and expand developers’ leasable portfolio. But the launch of REITs was stalled by a number of regulatory roadblocks, including the taxation issues and a high public ownership requirement. Amendments have recently been passed and we could see the listing of the first REIT in the country this year.
PHP 13.5Bn
Size of Ayala Land's REIT listing composed of commercial office assets in the Makati CBD. Ayala land proceeds from its initial REIT.
4.8%
Average divident yield of the prime Asian REIT markets of Hong Kong, Singapore, Malaysia, Taiwan, Japan, and South Korea
33%
The minimum public ownership (MPO), agreed by the Securities and Exchange Commision (SEC), a decrease from the previously proposed 40%-67%.
12M sqm
As of Q2 2020, the total leasable office space in Metro Manila and the maximum potential size of the office REIT market.
Who We Are
Colliers is a leading real estate professional services and investment management company with operations in 68 countries. In the Philippines, we are well-positioned to help businesses and investors take advantage of future opportunities and accelerate their success.
Our experts give professional property development and investment advice, providing solutions to your real estate and business needs and working as your trusted advisors.
Our Successes
Successful listing of Ayala REIT (AREIT) Inc.
Colliers was among the experts engaged to provide industry reports for the first Philippine REIT listing. Our Advisory Services team, led by Director Theresa Teodoro, Associate Director Karla Domingo and Senior Manager Alessandra Sotero, provided the industry report covering the office property market in Metro Manila and Cebu City, whicinth served as an attachment to the REIT Plan submission from Ayala REIT (AREIT) Inc., to the Philippine SEC and Stock Exchange. Our market-leading expertise and best-in-class research database supported the success of this milestone in the Philippine real estate industry and, as a result, AREIT has listed 503 million shares with proceeds of Php13.5 billion.
Our REIT Expertise
At Colliers, we support Real Estate Investment Trusts (REITs) to maximize opportunities by leveraging our integrated real estate advisory services, which includes valuation, consultancy and research, to unlock property values and drive profits.
Global Expertise and Solutions
Backed by a global enterprise, our experts have access to market-leading platforms and employ regional best practice methodology and tools to deliver the highest intelligence and global support network for all our REIT clients.
Industry Leadership in REIT
Your success is our success. We are dedicated to driving exceptional results for REITs and is trusted in the Philippine real estate industry in providing in-depth and accurate market analysis. Our best-in-class approach led us to be among the experts engaged to provide industry reports for the first successful Philippine REIT listing.
Our Market Insights
We are an industry leader in providing critical market insights for our clients and the real estate sector. Our team of researchers works in partnership with our client service professionals to produce actionable insights spanning every major property type in markets around the globe.
Access our latest insights on REITs below.
The Philippine government enacted the Real Estate Investment Trust (REIT) law in 2009 with a stated goal of “democratizing wealth” and attracting more foreign investment into the property sector. Due to a number of regulatory roadblocks, including taxation issues and a high public ownership requirement, REITs are only now being prepared for launch.
Colliers recommends that developers use REITs to access a cheaper source of capital and renovate and reposition assets such as offices, malls, and warehouses. Given the dearth of developable land and surging land values in Metro Manila, firms may also use REIT proceeds to develop integrated communities in key cities outside the country’s capital such as Cebu, Davao, Iloilo, Bacolod and Pampanga. We also encourage provincial players that meet the capitalization requirement to tap REIT.
Expert Insights
Accreditations
REACH OUT TO US TODAY
OUR COLLIERS REIT TEAM
Calvin Javiniar
Senior Director
Capital Markets & Investment Services
+63 917 633 0306
calvin.javiniar@colliers.com
Joey Roi Bondoc
Senior Manager
Research
+63 977 805 0513
joey.bondoc@colliers.com
Paul Ramirez
Director & Head
Valuation Services
+63 917 627 0093
paul.ramirez@colliers.com
Theresa Theodoro
Director
Advisory Services
+63 917 807 1305
theresa.theodoro@colliers.com