Metro Manila Area Guide
Metro Manila, officially known as the National Capital Region (NCR), is the political, economic, and cultural heart of the Philippines. Covering an area of about 619 square kilometers, the region is composed of 16 highly urbanized cities and one municipality, including Makati, Manila, Quezon City, Taguig, Pasig, and Mandaluyong. It serves as the country’s financial center and the most dynamic real estate market in the Philippines.
Population and Demographics
Metro Manila is the most densely populated region in the country, with a population of approximately 14 million residents. If we expand to “Mega Manila,” which includes adjacent provinces, the population climbs to more than 26 million, making it one of the largest metropolitan regions in Asia.
Quezon City is the most populous, with nearly 3 million residents.
Manila City and Caloocan each have over 1.5 million.
Taguig, home to Bonifacio Global City (BGC), continues to attract young professionals and expatriates.
The large, diverse, and growing population provides a strong base for both residential and commercial property demand, from affordable housing to high-end developments.
Economic Development
Metro Manila generates roughly one-third of the Philippines’ GDP, solidifying its role as the country’s economic powerhouse. The economy is service-oriented, with major contributions from:
Trade and Tourism – 31%
Finance and Business Services – 29%
Manufacturing – 13%
Makati City is the Philippines’ financial hub, home to the Philippine Stock Exchange, multinational companies, and Grade-A office towers. Taguig’s BGC has emerged as a modern CBD with premium residences, retail, and corporate headquarters. Meanwhile, Ortigas Center and Quezon City are rapidly growing as alternative hubs for business process outsourcing (BPO) firms and mixed-use developments.
This economic diversity ensures resilient demand for office space, retail, and residential projects across various income levels.
Real Estate Market Performance
Residential Market
Metro Manila has one of the most dynamic housing markets in Southeast Asia:
Luxury Residential Growth: Manila topped the global luxury property index in 2023, with prime residential prices soaring 26.3% year-on-year, surpassing Dubai and Miami. This was driven by returning overseas Filipino investors and rising international interest.
Rental Trends: After a decline during the pandemic, rents have started to recover, with premium condominiums in BGC, Makati, and Ortigas showing increasing occupancy and rental demand.
Commercial and Office Market
The office sector remains a cornerstone of Metro Manila’s property market, supported by BPO expansion and multinational corporations.
Average vacancy stood at around 20% in 2024, but key business districts are performing better:
Makati CBD – ~8% vacancy
Ortigas Center – ~13% vacancy
BGC – ~17% vacancy
Quezon City – ~23% vacancy
Flexible office demand, coupled with PEZA-accredited and green-certified buildings, continues to draw tenants despite overall oversupply.
Retail and Hospitality
Metro Manila is the retail capital of the Philippines, with shopping centers like SM Mall of Asia, Greenbelt, and Ayala Malls attracting millions of visitors annually. The hospitality sector is likewise recovering, supported by tourism growth and renewed interest from international hotel operators.
Investment Hotspots
Makati CBD: The traditional financial center, offering prime office spaces, luxury condominiums, and steady expatriate rental demand.
Bonifacio Global City (BGC): The most modern business district, known for high-end condos, international schools, and lifestyle-oriented developments.
Ortigas Center: An established hub with more affordable property values compared to Makati and BGC, attractive for mid-market investors.
Quezon City: Rising as a new commercial and residential hub, supported by government projects and new transport infrastructure.
Alabang: Emerging in the south, offering large residential communities and office parks.
Outlook for Investors
The long-term fundamentals of Metro Manila remain robust:
A young and growing population ensures sustained demand for housing.
Strong BPO and remittance inflows support both residential sales and rentals.
Infrastructure projects under the government’s “Build, Build, Build” program are improving connectivity, particularly new expressways and rail systems linking Metro Manila to nearby provinces.
Luxury real estate has positioned Manila on the global investment map, with competitive prices compared to other Asian capitals.
Conclusion
Metro Manila is a diverse, fast-growing, and resilient market that offers a wide range of opportunities for real estate investors. From luxury condominiums in Makati and BGC, to mid-market housing in Quezon City, to office towers catering to the booming BPO industry, the region provides both short-term yield opportunities and long-term capital appreciation.
For investors seeking exposure to Southeast Asia’s growth story, Metro Manila stands out as a compelling gateway—anchored by strong demographics, a robust service economy, and a property sector that continues to outperform global peers in select segments.
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