3. About KMC MAG Group
Incorporated in 2009
Has offices in two major business
districts:
New Headquarters: Sun Life
Centre, Bonifacio Global City
Branch Office: Rufino Pacific
Tower, Makati
Has a pipeline of over 1 million square
feet
1.5 Billion (Php) in Capital Markets
transactions in 2013
4. KMC MAG Group key facts
Strong Media
Exposure
600,000+
square feet of commercial &
residential properties which were
leased and sold for 2013
300+ companies
assisted in the last few years in
their business set up in the
Philippines
Recognized globally.
#1 Best in Real Estate
Agency awarded
Over 100 staff employed
5. International Network
KMC MAG Group is an international Associate of Savills
Savills is a leading international real estate services group
listed on the London Stock Exchange
Savills has approximately 25,000 employees and 500 offices
worldwide
The services of Savills include residential, office, industrial,
retail, leisure, healthcare, hotel and mixed use development
schemes
6.
KMC MAG Group is an international Associate of Savills
Savills is a leading international real estate services group
PHILIPPINES
listed on the London Stock Exchange
Manila
Savills has approximately 25,000 employees and 500 offices
worldwide
The services of Savills include residential, office, industrial,
retail, leisure, hotel and mixed use development schemes
7. Service lines overview
Research &
Development
Consulting
& Research
Construction
Operation
Tenant
Representation
Asset Management
Residential Services
Property
Management
Hotels and Leisure
Facilities
Management
Project Marketing
Project Management
Investments
Valuation
Serviced Offices
Offshore Corporate Services
10. Philippine key facts
100,000,000
2013 Philippine population
2nd
Fastest growing
economy in Asia after
China in 2013
th
108
30 notches up in World
Bank International
Finance Doing Business
95.4 %
Literacy rate
Scored its
1st
investment grade
rating ever Fitch Rating
last March 2013
129th
6 notches up in Global
Peace Index
93.5 %
Employment Rate as of
Oct 2013
94th
11 notches up in
Transparency International
Corruption Perception
Index
11. Philippine economy key figures
7.0%
GDP growth
for Q3 2013
258
Companies
registered in PSE
US$
23.6B
Remittances
projection for 2014
US$
3.4B
Total FDI Inflows for
2013
PHP
1.5 T
Total retail sales
for 2013
258
Companies
registered in PSE
Identified as the
5th
hottest stock market
in the world in April 2013
Stable exchange rate
since 2012
12. Gross domestic product (GDP)
GDP growth (%) 2013 - Placed 2nd after China
Source: Trading Economics
Japan
Vietnam
Thailand
Taiwan
Singapore
Philippines
Malaysia
Korea
Indonesia
India
Hong Kong
China
%
0
2
4
6
8
10
20. Tourist Arrivals
Millions
Tourist Arrivals
Source: Department of Tourism
6
Tourism Awards & Recognitions
for Philippines in 2013
5
4
3
2
1
0
2009
2010
2011
2012
2013
Department of tourism projects 10 million tourist arrivals
by 2016
Best Tourist Destination,
China’s Oriental Morning
Post – World Travel-Special
Trips Awards
New Frontiers Award,
Middle East’s Arabian
Travel Market
Best Tropical Island
Destination, Shanghai
Morning Post Tourism
Awards
No. 8 in CNN Travel’s
World’s 50 Best Dive Sites
Ranked 8th in Lonely
Planet’s Best in Travel 2013
24. Monthly Rent (USD) per SQM
Average Residential Rent Levels
and Capital Values (by Submarket)
25
20
15
Main CBDs are still significantly
10
5
more expensive than emerging
0
districts
Capital Value (USD) per SQM
High End locations such as
4,000
3,500
3,000
2,500
2,000
1,500
1,000
Rockwell, the lease rates can be
double the ones in emerging
markets like Quezon City which is
the largest city in Metro Manila
500
0
Source: KMC MAG Group Research
25. Residential New Supply Forecast
90,000
80,000
70,000
New Supply
60,000
Eastwood City
50,000
Rockwell Center
40,000
Ortigas CBD
30,000
BGC
20,000
Makati CBD
10,000
0
2013
Location
Makati CBD
Rockwell Center
BGC
Ortigas CBD
Eastwood City
Total
2014
END-2012
16,228
3,718
15,491
10,987
6,830
53,254
2015
2013
2,081
3,798
934
440
7,253
2014
1,596
441
1,276
792
278
4,383
2016
2015
2,812
2,977
1,560
7,349
2016
779
3,741
405
988
5,913
Total
23,496
4,159
27,283
14,678
8,536
78,152
Source: KMC MAG Group Research
27. CBD’s: Stock, new supply and vacancy rates
central business district,
having the highest
concentration of the
country’s commercial
establishments
Makati
BGC
Ortigas
Current Stock
1,100,000
650,000
450,000
Increase
70,000
140,000
100,000
Vacancy Rate
5.6%
2.9%
2.5%
Prime Yield
7.5% - 11.0%
6.5% - 8.5%
5.0% - 9.0%
Makati City is the prime
Bonifacio Global City
(BGC) is becoming the
Upcoming
Commercial
Developments
V Tower
RCBC Savings Bank
Cyberscape Alpha
Corporate Center,
& Beta
SM Aura
most active business
district, generating
almost 50% of the
growth in the property
market
Source: KMC MAG Group Research
28. CBD Office New Supply
Prime Office Space (sqm)
1,400,000
Currently, there is
only one ongoing
1,200,000
office developments
1,000,000
in Makati
800,000
Makati CBD
BGC
600,000
Ortigas CBD
Developers are
400,000
mainly looking to
200,000
open projects in
BGC, four projects in
0
2008
2009
2010
2011
2012
2013
F2014
the pipeline at the
moment
Source: KMC MAG Group Research
29. Makati CBD Vacancy Rate
12.0%
Vacancy rate increased
temporarily due to the
10.0%
addition in supply but is
8.0%
expected to decrease
6.0%
4.0%
2.0%
0.0%
Q1
08
Q3
Q1
09
Q3
Q1
10
Q3
Q1
11
Q3
Q1
12
Q3
Q1
13
Q3
Source: KMC MAG Group Research
30. CBD Prime Office Rent Levels
District
Premium and Grade A Office Asking Rent Levels
Average Net Average Net Rent Monthly
Average
Grade
Rent (Q4 2013)
(Q2 2014F)
Dues Escalation Rate
In PHP
Premium
Makati CBD
Grade A
Makati CBD
Grade A
BGC
Grade A
Ortigas CBD
In USD*
Premium
Makati CBD
Grade A
Makati CBD
Grade A
BGC
Grade A
Ortigas CBD
*Exchange rate: 1USD =
44PHP
1,065.6
759.4
735.3
571.5
1,143.2
747.6
790.5
595.3
191.6
148.3
146.1
93.0
6.1%
7.7%
6.0%
8.2%
25.2
16.3
17.4
13.0
26.0
17.0
18.0
13.5
4.4
3.4
3.3
2.1
6.1%
7.7%
6.0%
8.2%
Source: KMC MAG Group Research
31. CBD Prime Office Rent Levels
Locations Prime Office Rental Index (2010Q2=100)
Strong demand keeps rents
160
rising, which is backed by
140
high escalation rates
120
2013 Q4 QoQ growth was
100
recorded at 1.8% and 6.5%
80
YoY in Makati CBD
60
Rent levels will reach the
40
before financial crisis level
on the latter half of the year
20
Q1 08
Q1 09
Q1 10
Makati CBD
Q1 11
BGC
Q1 12
Q1 13
Ortigas CBD
Source: KMC MAG Group Research
33. Prime Retail
1,200
Total
Hong Kong
US$ per sqm /month
142.6
HCMC
126.6
Manila
200
172.9
Hanoi
400
262.0
Seoul
600
629.6
Taipei
800
1,023.5
Singapore
1,000
61.5
0
HongKong
Singapore
Taipei
Seoul
Hanoi
HCMC
Manila
Source: Savills Research and KMC MAG Group Research
34. Prime Office Benchmark
250
Total
Hong Kong
US$ per sqm /month
200
Singapore
Taipei
150
Seoul
Hanoi
100
HCMC
50
Manila
199.3
113.2
66.0
89.1
49.1
50.9
28.0
0
HongKong
Singapore
Seoul
Taipei
HCMC
Hanoi
Manila
Source: Savills Research and KMC MAG Group Research
35. Prime Hotels Benchmark
Room rate
(US$/Room/Night)
Hong Kong 509.8
Singapore
418.5
Taipei
325.0
Seoul
386.9
Hanoi
126.6
HCMC
155.8
Manila
248.8
600
US$ per room per night
500
400
300
200
100
0
Hong Kong Singapore
Seoul
Taipei
HCMC
Hanoi
Manila
Source: Savills Research and KMC MAG Group Research
36. Luxury Serviced Apartments Benchmark
140
Total
Hong Kong
US$ per sqm /month
39.9
HCMC
30.4
Manila
40
108.4
Hanoi
60
46.7
Seoul
80
114.6
Taipei
100
119.3
Singapore
120
49.7
20
0
HongKong
Seoul
Singapore
Taipei
Hanoi
HCMC
Manila
Source: Savills Research and KMC MAG Group Research
37. Looking to invest in the Philippines?
Contact us today!
kmcmaggroup.com
(02) 403-5519
