Phinma Properties to diversify into co-living

With the continuous climb of real estate prices in Metro Manila, property development firm Phinma Property Holdings Corp. said it is now looking into diversifying its portfolio and enter the co-living space business.

According to Phinma Properties president and CEO Raphael Felix, the co-living business will cater to the youth, which he said are not inclined to invest in real estate given the high prevailing prices.

"Once they enter their 20s and because of traffic, etcetera, they don't want to buy. They don't know where the future's gonna take them, there's no affiliation into owning a home," he said during Lamudi's The Outlook roundtable Wednesday.

Felix said the company is looking at entering the dormitories or bedspacing business, with land to be acquired within the year.

"For us, it was future-proofing the business. That's what we call it. We foresee that property prices in Metro Manila specifically are going to be very expensive," he said.

"We plan to start acquisition of properties siguro within the year. I have a lot of investments kasi tied into the regions. We really wanted to take advantage of the regional expansion but siguro within the year we should start our acquisitions already," added Felix.

Among the pilot areas for this are in Makati, specifically in the busy areas of Poblacion and Guadalupe Viejo.

"It's redeveloping. Property prices are too high. You're still able to buy because it's redeveloping, so what you have is people selling old two-story houses and then somebody buys it and starts turning it into a building because it's already too expensive for its current use," Felix explained.

For now, however, Felix said the company will focus first on the expansion of its footprint into the regions.

"We decided to park the investments in the regions first to ride on the property appreciation there, but it's (diversification) something that has not left our mind, it's not something that has disappeared from our scope," he elaborated.

Among the company's developments are Arezzo Place Pasig, Asia Enclaves in Alabang, Haciena Balai in Quezon City, and Solana Hills in Sucat. —LDF, GMA News