Iloilo leads provincial office take-up as outsourcing firms expand

Iloilo emerged as the top driver of office space take-up outside Metro Manila in the first quarter of 2026, overtaking Cebu, according to a report by Colliers Philippines cited by BusinessWorld.

The surge in provincial office take-up was driven by outsourcing firms expanding operations outside the capital to tap into skilled labor pools and benefit from lower operating costs, Colliers Philippines reported. Iloilo’s growing infrastructure and talent availability have made it an attractive alternative to traditional hubs like Cebu and Metro Manila.

The shift highlights a broader trend in the Philippine office market as business process outsourcing (BPO) companies and other firms seek more cost-effective locations with a steady supply of qualified workers. Colliers noted that office transactions outside the National Capital Region accounted for a significant share of total leasing activity in the first quarter.