MAKATI CITY — In a market awash with unsold condominiums, one segment stands apart for its scarcity. As of the end of the first quarter of 2026, premium residential units priced at PHP20 million and above accounted for only 4 percent of the remaining ready-for-occupancy (RFO) inventory in Metro Manila. This figure is a striking contrast to the broader market, which still grapples with a large supply of unsold units. The limited availability of ultra-luxury properties in Makati is not a sign of weak demand, but rather a reflection of the city’s finite land supply and the strategic shift of developers toward catering to a discerning, high-net-worth clientele.
The Scarcity Premium in Makati CBD
The Makati Central Business District, along with Rockwell, continues to post limited available inventory. As of Q4 2025, the Makati CBD covered a mere 0.1% of the unsold RFO inventory in the capital region. This scarcity is a primary driver of value. Condominium prices in Makati range from approximately PHP280,000 to as high as PHP650,000 per square meter. For ultra-luxury properties, this figure can be even higher, with The Estate Makati, for example, commanding prices from PHP600,000 to PHP680,000 per square meter. This pricing power is underpinned by land scarcity and established prestige, which has long made the city a benchmark for premium real estate.
Who Is Buying and Why
The ultra-luxury market is driven by a specific profile of buyer. These are affluent individuals, both local and foreign, who view these properties not just as homes, but as long-term investment vehicles with strong capital appreciation potential and a hedge against inflation. The demand is supported by a steady influx of expatriates, a recovery in international visitor arrivals, and sustained interest from wealthy domestic buyers. Purchasing decisions in this segment are increasingly driven by the quality of offerings, ranging from curated lifestyle amenities and high-touch concierge services to the overall prestige of the address. This is a market where buyers are incredibly picky, rewarding developers who offer real value and lasting quality.
A Strategic Shift in Development
The scarcity of ultra-luxury inventory is not an accident. It is the result of a deliberate structural shift by developers. Faced with a buildup of unsold inventory in the mid-income segment, many have accelerated their pivot toward high-end, luxury, and ultra-luxury developments. This strategy is a response to the segment’s long-term investment appeal and a recognition of its resilience. Notable luxury projects clustered in Makati include Eluria by Arthaland (PHP160 million per unit), Parkford Suites by Alveo Land (PHP50 million per unit), and The Estate by SMDC and Federal Land (PHP108 million per unit). These projects are redefining the high-end residential market with premium amenities and integrated developments.
A Resilient Market for the Affluent
The luxury and ultra-luxury segments are expected to remain resilient, even in the face of elevated interest and mortgage rates. Colliers Philippines believes that the take-up for luxury residential projects will likely remain robust. While other segments of the market may experience fluctuations, the ultra-luxury market in Makati is defined by its scarcity, its prestige, and a buyer profile that prioritizes long-term value over short-term market conditions. It is a market that is not just surviving, but growing up, rewarding those who can secure a foothold in one of the country's most coveted addresses.
