More Projects Underway Amid Market Headwinds
Completion of four residential projects transpired during Q4 2019, bringing the total existing unit stock to surpass the 12,000 mark. In the near term, a surge in project completion is expected, especially in 2020 as it is set to receive an addition of more than 4,100 units. However, delays will remain an overall trend in the coming years, hence, cautionary action is advised amongst developers. Meanwhile, the cumulative citywide absorption level and the average selling prices trended upwards despite the relatively challenging market condition. However, these improvements appear momentary, hence, indicating that the sector has yet to recover. When potential buyers are wary in buying an apartment, developers have to provide more incentives, as well as become more competitive on pricing. Likewise, developers are repeatedly encouraged to cater more to the sweet spot of units under the mid and lower segments.