Online gaming firms to boost office demand
BY REICELENE JOY IGNACIO ON APRIL 19, 2017BUSINESS
ONLINE gaming companies are expected to take more office spaces this year, next to the information technology and business process outsourcing industry, according to a real estate consultancy.
The Philippine Amusement and Gaming Corp. issued 35 offshore gaming licenses last year.
“Each of these companies is expected to take up 10,000 to 20,000 square meters (sqm)this year,” Leechiu Property Consultants Chief Executive Officer David Leechiu told reporters on Tuesday.
Online gaming offices have five- to 10-year leases, reflecting the “growing trend of 10-year leases in the market.”
Leechiu said the online gaming sector could potentially reach the BPO industry’s demand numbers within its first year of entry in the market.
The property consultant expects the demand from the BPO industry to reach 750,000 to 800,000 sqm this year.
“Now they (BPO) have somebody chasing space in the market,” Leechiu said. The “online gaming can easily consume 400,000 to 500,000 sqm office space this year.” he noted.
“Amount of focus is dedicated to grow certain sectors,” Leechiu said.
The consultancy sees the supply and demand in office spaces achieving a balance this year, with Bonifacio Global City the “biggest producer of office space and still the preferred location over other districts.”