09/29/2011 [ tribune.net.ph ]
Bullish on the business process outsourcing sector (BPO) boom, the real estate unit of the Lucio Tan group Eton Properties Philippines Inc. said it will take advantage of the BPO space shortage, increasing its planned its BPO building development up to seven more.
Eton Properties president Danilo Ignacio said demand for office space every year is 300,000 square meters (sqm) and the window on the shortage for BPO space will last until December 2012.
“By that time, we will be able to complete three more of our BPO buildings. If demand continues to be strong, we may add more (BPO buildings), we may double it,” he said.
Eton Centris, a 12-hectare township development at the corner of Edsa and Quezon Avenue is situated at the gateway of Quezon City’s emerging Triangle Park Central Business District. It is master planned to be a self-contained, fully-integrated community integrating live-work-play concepts. Ignacio noted that the original masterplan for Eton Centris comprises seven BPO buildings butthey may double it due to demand.
The firm has recently fully leased out the first two buildings of its office space project Eton Cyberpod Centris in Eton Centris and will proceed with the construction of two more BPO buildings in response to increasing office space demand.
The first building, One Cyberpod Centris, which has 13 storeys and about 18,000 sqm of office space, has been fully leased out to some of the most successful BPO companies which include Wipro Technologies, Genpact Services LLC, Unisys Philippines Limited, Integrim BPO Solutions and Pascual Laboratories among others.
Meanwhile, the entire 18,063 sqm office space in Two Cyberpod Centris, the second 13-story building set for completion by year-end, has been fully leased to a Fortune 500 company.
“The third and fourth Cyberpod Centris buildings are at the design stage and are scheduled to be completed by end of 2012. Given the strong demand for office space, the buildings are expected to be pre-leased even before turnover,” Ignacio said, noting that both towers will each have 17 storeys and about 34,000 sqm of office space.
Office space is currently the company’s strongest contributor of recurring income as it continues to develop its property portfolio. “If the market for office space continues to be strong, we are considering some adjustments in the Eton Centris masterplan to accommodate future demand for office space. There is a marked increase in demand for office space in the northern part of Metro Manila, given the outsourcing industry’s thrust to tap the manpower pool in the area,” according to Ignacio.
He added that the firm is leasing the BPO spaces in Quezon City at P500/sqm per month with yearly excalation. He also noted that the leasing price in the Ortigas area is above P500/sqm per month, while about P800/sqm per month is in the Makati area. Danessa O. Rivera
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