By David Leechiu
FOR MORE THAN 50 years now, the Makati Central Business District (CBD) has been at the heart of the Philippines’ business scene. It was the pioneering district that set the standard for urban development in Metro Manila. What started as a farm with an airport has grown into the premier mixed-use master-planned city. Makati has evolved into the large-scale transit-oriented development that we see today. And it continues to evolve.
ENTERPRISING VISIONThose familiar with the history of Makati know its beginnings stemmed from the vision of Colonel Joseph McMicking who dreamed of building a city and, with Alfonso Zobel de Ayala and Colonel Jaime Velasquez, persevered in creating the prime financial district of Makati, centered around the runways of Nielson Airport. We can still see evidence of that airport in the Nielson Tower which was the airport’s control tower and now form the Ayala Triangle. Colonel McMicking was married to Mercedes from the Zobel de Ayala clan. The connection of their families birthed the vision and eventual execution of plans for Makati CBD. Ayala Corp. still helps shape the CBD today, influencing its growth and continued development.
USHERING THE SUCCESS OF OTHER CBDSMakati CBD’s success helped pave the way for other business districts. This is especially true for Bonifacio Global City (BGC), separated from Makati CBD only by Epifanio de los Santos Avenue and luxury villages. Like Makati CBD in its early stages, BGC has fresh new buildings that meet today’s standards of efficiency, sustainability, and smart technologies. However, despite being an older district with aging developments, Makati CBD still retains its identity as a premier business and financial district.
UNDERGOING REDEVELOPMENTMany of the structures in Makati were constructed more than three or four decades ago. The designs of these old buildings have been eclipsed by newer more efficient plans and technologies. These structures do not meet the demands and requirements of the current market. Thus, we see older buildings suffering higher vacancies as preference has shifted to the more cost-efficient space in newer buildings — the tenants’ flight to quality.
The Makati CBD, however, remains competitive, as buildings have been torn down to make way for newer, more dense glass towers but whose design and features are more in line with the current needs of businesses. Makati is no stranger to redevelopment. It has undergone this kind of transformation before. And despite the changes it seems to continually undergo, the essence of Makati CBD’s original plan remains. A revitalized skyline, ensuring the CBD remains modern.
SELECT PROJECTS UNDERWAYSome developers have already disclosed their plans for redevelopment. For instance, Ayala Land Premier is developing the old site of Le Parc Apartments into a 51-storey exclusive luxury residential tower with large residential condominium units. Bank of the Philippine Islands is building its new sustainable and green headquarters at the corner of Ayala Avenue and Paseo de Roxas, offering around 89,000 square meters of gross floor area. Meanwhile, the new Mandarin Oriental Hotel at the Ayala Triangle Tower 2 will open in 2026, which will offer 276 rooms. Other building owners are in various levels of the planning process looking to redevelop their properties.
MAKATI CBD’S REAL EDGEWhat keeps Makati CBD at the forefront isn’t just its master plan, it’s the responsiveness of its stakeholders to keep it at the top spot as a preferred business district. The local government promotes business growth by streamlining permits processes and allowing online payments of real estate and business taxes. There’s also the Makati Commercial Estate Association (MACEA), a civic nonprofit association of stakeholders in Makati that promotes and preserves the Ayala Avenue, Paseo de Roxas, Makati Avenue, Salcedo Village, and Legaspi Village areas. But what really sets Makati CBD apart is its community. Residents, locators, and visitors all play a part in maintaining high standards for cleanliness, order, adherence to rules, making the district a model city that everyone wants to preserve — and even keep improving. We can view Makati CBD district as like a living organism with different parts, each with its own function but dependent on the other.
A LIVING, EVOLVING CITYWe will soon see a much different Makati skyline in the next decade of its life — its second wind — as it continues to evolve to meet the ever-changing needs of the people and businesses who call it home. It’s a place that will keep inspiring the growth of other township projects in the country. With the active role of stakeholders and a solid master plan, Makati CBD is set to remain at the top spot of preferred locations in the country, showcasing the legacy of a living, evolving city that adapts to ever-changing needs.
David Leechiu is the founder and chief executive officer of Leechiu Property Consultants, Inc. (LPC).
LPC provides real estate solutions to clients and partners through its expertise in tenant and landlord representation, investment sales, capital markets, general brokerage, research and consultancy, and property valuation. For more information about LPC, visitwww.leechiu.com. For media inquiries or further information, contact Mawhi Steley, director of marketing and communications, at mawhi.steley@leechiu.com or 09171291650.
