Last week, I came across an article published by Knight Frank, one of the world’s leading independent real estate consultancies based in the United Kingdom, on its website. It mentioned that emerging markets in the Asia-Pacific region, including the Philippines, have become global hotspots for branded residences due to stronger domestic demand and overall growth prospects.
The report further stated that starting this year, Knight Frank foresees a substantial increase in branded residence developments, with the Philippines expected to see a significant rise in the number of units.
“Branded residences, offering a blend of high-end living and hotel-style services, are experiencing rapid growth, particularly in emerging Southeast Asian markets like Vietnam, Thailand, and the Philippines, supported by strong GDP growth—Vietnam at 6.5% and the Philippines at 6.1% in 2025,” it said.
In its latest Asia-Pacific outlook report, Knight Frank highlighted that Asia currently hosts nearly 200 branded residence developments, accounting for about 20% of the global supply. The report anticipates a significant increase of 43,100 units through 180 upcoming projects from 2025 onwards, nearly doubling the region’s supply. This growth is expected to be driven by emerging markets, particularly Vietnam, Thailand, and the Philippines, with projected unit counts of approximately 18,000, 16,300, and 13,000, respectively.
Another notable insight from the Knight Frank feature is the growing importance of sustainability for luxury homebuyers. According to the Knight Frank Next Gen Survey 2024, 75% of ultra-high-net-worth individuals (UHNWIs) are actively seeking to reduce their carbon footprint by prioritizing eco-friendly homes. Developers are responding to this demand by incorporating energy-efficient features, green spaces, and sustainable materials into their projects.
Reflecting on the insights from the Knight Frank report, I am pleased to share that Italpinas Development Corporation (IDC) has long recognized the importance of sustainability and the inclusion of branded residences in its portfolio.
Since its inception in 2009, Italpinas has been at the forefront of developing green residences in emerging locations. Two years ago, we began forging strategic partnerships with renowned brands in the hospitality sector, starting with Ascott Ltd and its Citadines brand.
Both located in key industrial and business hubs, Citadines Miramonti Santo Tomas Batangas and Citadines Primavera Cagayan de Oro are set to be part of our prime mixed-use developments, which will also include residential, office, and retail components. Collectively, these properties will add a total of 380 units to The Ascott Limited’s portfolio in the Philippines, with their concurrent openings in 2028.
Just before 2024 ended, we announced another partnership, this time with Thailand’s Dusit International, in a joint venture that will transform the hospitality landscape of Northern Mindanao. This will further enhance our presence in emerging locations. The Dusit Princess Moena and Dusit Princess Firenze hotels will be standout features in IDC’s Moena Mountain Estate and Firenze Green Tower projects, respectively.
In IDC’s 16th year, I hope to share with you soon another collaboration of IDC with a major global hospitality brand, which will further solidify our commitment to sustainability and innovation in the real estate industry. All of IDC’s upcoming projects will not only enhance our portfolio but also contribute to the overall growth and development of the Philippines as a premier destination for luxury living and eco-friendly residences.
The growth of branded residences in the Philippines is not only beneficial for the real estate market but also a significant driver for the country’s tourism industry. As the government continues to invest in necessary infrastructure, these private sector-led initiatives will help boost tourism by providing high-quality accommodations and enhancing the overall visitor experience for a diverse range of travelers.
The Knight Frank report projects that the number of UHNWIs in the Philippines will grow significantly in the coming years, further driving demand for luxury real estate. This growth is expected to attract more international investors seeking secondary homes in the country.
The multifaceted nature of branded residential developments, encompassing a variety of locations, types, brands, and designs, remains a key attraction for this distinct property category. This rich assortment, combined with the dependability, exclusivity, and security they guarantee, plays a vital role in upholding the sector’s thriving growth trajectory.
Beyond enhancing tourism, the development of branded residences significantly contributes to the local economy by generating jobs and stimulating related industries. These projects create employment opportunities for many Filipinos, ranging from construction workers to hospitality staff. After all, the government has set an ambitious five-year National Tourism Development Plan for 2023-2028, with the Department of Tourism (DOT) aiming to achieve an accumulated total of 51.9 million tourist arrivals and 34.7 million tourism-related jobs by the end of President Ferdinand Marcos Jr.’s term.
The Philippines’ emergence as a global hotspot for branded residences is a testament to the country’s potential and the efforts of property developers. With continued investment in infrastructure and strategic partnerships with world-renowned brands, the future looks bright for the Philippines’ real estate and tourism sectors. The synergy between private developers and the government will be crucial in ensuring sustainable growth and maximizing the benefits for the country and its people.
