THE Alabang central business district (CBD) in Muntinlupa City posted a pointy reversal in office leasing activity in the primary quarter, with net take-up plummeting to five,800 square meters after leading expansion activity within the previous quarter, in accordance with Savills Philippines.
The consultancy said the drop from 32,200 square meters within the last quarter of 2025 marks a big shift in momentum for the district, which had recorded the best net take-up amongst Metro Manila office hubs.
“Alabang CBD experienced a pointy decline in activity this era, a stark contrast to its performance because the district with the best net take-up last quarter,” Savills said in its latest office market report.
Despite the slowdown in demand, emptiness rates in Alabang improved barely to 31.3% from 31.8% quarter on quarter. Savills attributed the marginal improvement to modest net absorption, which helped offset space returns and downsizing activity.
The property consultancy noted that Alabang continues to favor tenants, with landlords facing a “temporary saturation” of Grade A office space.
Alabang’s total office stock stands at about 670,000 square meters, with about 16,000 square meters of latest supply expected between 2026 and 2030.
Average asking rents edged higher to P575.50 per square meter from P572 within the previous quarter.
“This marginal growth despite high emptiness suggests that landlords are maintaining a firm stance on asking rates, likely supported by the premium nature of existing Grade A inventory,” Savills said.
Across Metro Manila, landlords are prioritizing stabilizing occupancy through increased incentives and versatile terms somewhat than driving aggressive rental growth, it said.
Savills said the outlook for Alabang stays cautious, with rental growth expected to remain flat or come under pressure unless leasing demand strengthens enough to soak up existing oversupply.
The district is one in all six core business areas in Metro Manila, alongside Makati, Bonifacio Global City, Ortigas, Bay Area and Quezon City.
While Alabang has relatively lower stock and limited upcoming supply compared with other hubs, it has also shown higher volatility in absorption trends.
Savills noted that Metro Manila’s broader office pipeline stays substantial, with about 390,000 square meters of space expected to be accomplished through end-2026, which could proceed to weigh on occupancy rates across key districts.
In contrast, there was stronger activity in Alabang within the fourth quarter of 2025 which, along with the Bay Area, accounted for greater than half of total office take-up in Metro Manila during that period, highlighting the volatility in demand patterns across business districts. — Juliana Chloe A. Gonzales