Extended land leases for foreigners seen to boost property demand, values

THE RECENTLY enacted law allowing foreign investors to lease private lands in the Philippines for up to 99 years is expected to drive up land values and rental prices, boosting demand across office, residential, and industrial segments, property consultants said.

- By Beatriz Marie D. Cruz Reporter

“The extension of land leases for foreigners to 99 years is expected to push up land values and rentals over time, especially in key business hubs, industrial zones, and tourist destinations,” said Jamie Dela Cruz, research manager at KMC Savills, Inc.

“With longer security of tenure, foreign investors are more likely to commit bigger capital, which can fuel both demand and pricing.”

President Ferdinand R. Marcos, Jr. recently signed Republic Act No. 12252, or the Act Liberalizing the Lease of Private Lands by Foreign Investors.