--- title: "Bridging the PEZA Accreditation Gap: Using Flex Space While Your Building Waits to Qualify" description: Waiting on a Metro Manila building to get PEZA status? See how flex space in an already proclaimed IT park can keep your launch moving. image: https://blog.flyspaces.com/hubfs/flyspaces-landing-images/FlySpaces%20Philippines%20(25).jpg --- [![spacesasia-logo](https://blog.flyspaces.com/hs-fs/hubfs/SpacesAsia%20-%20June%202019/spacesasia-logo.png?width=260&name=spacesasia-logo.png "spacesasia-logo")](https://blog.flyspaces.com/) - [Home](https://flyspaces.com/) - Navigate - [Flexible Workspaces](https://blog.flyspaces.com/tag/flexible-workspaces#blog-nav) - [News and Events](https://blog.flyspaces.com/tag/news-and-events#blog-nav) - [Industry Insights](https://blog.flyspaces.com/tag/industry-insights#blog-nav) - [City Guide](https://blog.flyspaces.com/tag/city-guide#blog-nav) - [Case Studies](https://blog.flyspaces.com/tag/case-studies#blog-nav) - Connect - [Contact Us](https://flyspaces.com/contact-us) - [Subscribe](https://flyspaces.us14.list-manage.com/subscribe/post?u=0b15b0bb7a66ae626f3388eb9&id=f72d186210) - Share : 12 August 2026 [Listerlynn Joy Garingo - De La Serna](https://blog.flyspaces.com/author/joy-garingo-delaserna) # Bridging the PEZA Accreditation Gap: Using Flex Space While Your Building Waits to Qualify A Metro Manila office building can be finished and fully leased and still not qualify your company for PEZA incentives. Incentives go to PEZA-registered companies operating inside a proclaimed ecozone, and the proclamation is what turns a building into one. If your hiring plan starts this quarter and your preferred building is still waiting, you have a timing gap. This post covers how to close it with space inside an ecozone that is already proclaimed. ### What changed in July 2026 On 23 Jul 2026, President Marcos signed Administrative Order No. 45, which lifted the seven-year moratorium on new IT parks and IT centers in Metro Manila. [PEZA welcomed the order on 30 Jul 2026](https://tribune.net.ph/2026/07/30/peza-lauds-pbbms-lifting-of-it-parks-centers-moratorium), and [Colliers Philippines explains how it reopens the pipeline](https://www.colliers.com/en-ph/news/ao-no-45-reopens-metro-manila-to-new-peza-it-parks-and-centers). The order covers IT parks and centers only. [The moratorium on other ecozone types stays in place](https://business.inquirer.net/603009/lifting-of-ecozone-ban-a-big-win-for-it-bpm-real-estate). On 29 Jul 2026, Trade Secretary Cristina Roque said five projects had pending applications: [Altaire in Makati, One Trium Tower in Muntinlupa, ARCA South 1 in Taguig, Parqal in Parañaque, and The Yuchengco Centre in Makati](https://bworldonline.com/top-stories/2026/07/30/766780/five-metro-manila-it-parks-apply-for-peza-ecozone-status/). On 15 Sep 2026, PEZA Director General Tereso Panga said these projects are [expected to proceed to the presidential proclamation stage](https://businessmirror.com.ph/2026/09/15/peza-eyes-opening-of-30-economic-zones-in-metro-manila-this-year/). Those reports describe applications in process, not completed proclamations. Developers of these parks will not receive fiscal incentives. [Those go to the IT-BPM companies operating inside them](https://business.inquirer.net/603148/end-of-ncr-it-park-ban-to-spur-spillover-investment). ### Why the building's status matters to your tax bill PEZA's own rules say [the presidential proclamation is the act that lets developers and locator enterprises qualify for incentives](https://www.peza.gov.ph/implementing-rules-and-regulations). A company that moves staff and equipment into a building before proclamation is not operating inside an ecozone. Without incentives, its income falls under the [regular corporate income tax rate of 25%](https://philippines.acclime.com/guides/corporate-income-tax/). The cost shows up at filing time, which is why it is worth settling before you sign. ### How long the proclamation takes The path runs through several offices. The developer applies, the city council endorses, the PEZA Board approves, and the Director General then sends the documents to the DTI Secretary for endorsement to the President. PEZA describes the steps on its [Establishing Economic Zones page](https://www.peza.gov.ph/getting-started-category/establishing-economic-zones). I could not find an official timeline for the last step. For comparison, PEZA's Board cleared the Palawan Mega Ecozone in 2025, and [it was still awaiting proclamation in May 2026](https://www.bworldonline.com/top-stories/2026/05/11/748608/peza-eyes-6-new-ecozone-proclamations-this-quarter/). That is a different kind of zone, but it shows the final step has no fixed clock. A safe planning assumption is several months. Ask the developer in writing where the application stands and what date they expect. Registering your own company with PEZA is a separate and shorter process. Published estimates vary, from [4 to 6 weeks](https://loft.ph/how-long-does-it-take-to-get-peza-approval/) to [1 to 3 months](https://cbos.com.ph/how-long-does-peza-registration-take-in-the-philippines/) for a well-prepared applicant. ### The workaround: lease inside an ecozone that is already proclaimed You can start operating in a flex space inside an existing, proclaimed PEZA IT park or IT center, then move to your preferred building once it qualifies. Three formats are common, and terms differ by operator. Seat leasing gives you equipped workstations. A private suite gives you a dedicated room. A serviced office is a short-term sub-lease. Whichever format you choose, PEZA treats leasing and sub-leasing as something to authorize. Its [Citizen's Charter](http://www.peza.gov.ph/documents/peza_citizen's_charter.pdf) lists a Letter of Authority (LOA) for lease or sub-lease of area. The charter requires an endorsement from the developer or operator and clearance from the PEZA zone administrator. The application goes through PEZA's online system, [eARS](https://philippines.incorp.asia/guides/a-guide-on-how-to-register-your-business-with-peza/), and forms are on the [PEZA downloads page](https://www.peza.gov.ph/downloads). The charter is an older document, so confirm current fees and processing times with PEZA directly. One number to check before you price a seat deal. The same charter says contact center IT enterprises need a minimum investment of US$2,500 per seat to qualify for the Income Tax Holiday. That covers equipment, furniture, and fit-out, and it comes to about PHP 156,500 at the BSP reference rate of PHP 62.60 per US$1 on 8 Sep 2026 ([rate source](https://www.paymongo.com/tools/currency-converter)). Ask PEZA how that investment is counted when the operator supplies the seat. ### Tax and BIR checkpoints while you wait The CREATE MORE Act (RA 12066) sets the incentive menu. [A new project can receive an Income Tax Holiday of 4 to 7 years, followed by either a 5% special corporate income tax or an enhanced deductions regime taxed at 20%](https://www.bdblaw.com.ph/index.php/newsroom/articles/tax-law-for-business/1246-reformed-tax-incentives-under-create-more). The 5% rate is [available to registered export enterprises only](https://www.bdblaw.com.ph/images/publications/120424_CREATE_MORE.pdf), so check which category your company falls into. Local purchases directly used in your registered activity can be VAT zero-rated. Three filing points are easy to miss. First, you need a Certificate of Entitlement to Tax Incentives (CETI) before filing your annual income tax return, and [the request is filed within 90 days before the filing deadline](https://www.grantthornton.com.ph/insights/articles-and-updates1/tax-notes/clarification-on-the-issuance-of-ceti-under-the-create-act/). Second, corporations file [BIR Form 1702Q for the first three quarters, due 60 days after each quarter ends, even with no income](https://philippines.acclime.com/guides/income-tax-compliance/). The annual return covers the fourth quarter, and a late nil return can draw a compromise penalty. BIR forms are on the [BIR forms page](https://www.bir.gov.ph/bir-forms?tab=Income+Tax+Return). Third, the old 70% on-site rule is no longer the whole picture. [FIRB Resolution 005-2026 allows up to 90% work-from-home for registered enterprises in economic zones](https://mb.com.ph/2026/04/11/govt-approves-up-to-90-work-from-home-for-ecozone-firms-amid-energy-emergency). It took effect on 24 Mar 2026 and lasts one year unless extended. Companies must keep export revenue and workforce size. Check the current limit before you plan seating. ### Lease terms worth asking for These are suggestions for your negotiation, not legal requirements. If you sign for a building that is awaiting proclamation, ask for a date by which the proclamation must be issued. Pair it with rent relief and a right to exit without penalty if that date passes. If you sign a flex lease as a bridge, match its term to the realistic wait and ask what notice you must give to leave. Have your lawyer review both. ### Moving to the new building later When your building is proclaimed, you will need a new PEZA LOA to change your registered location. One [law firm's summary](https://duranschulze.com/change-of-address-when-you-are-a-peza-registered-entity/) lists a lease copy for the new site and no-objection letters from both developers. You will also update your BIR registration address with your Revenue District Office. Ask your PEZA zone office what clearance applies when you move equipment that came in duty-free. ### When flex space is a poor fit A bridge is not always the right answer. [Colliers notes that occupiers needing 5,000 sqm or more have few options in accredited buildings](https://www.manilatimes.net/2026/08/01/business/top-business/peza-lauds-lifting-of-it-center-moratorium-in-ncr/2396090). Flex space can cover a first phase, but it will not hold a full floor of staff. If the proclamation date is close and your start date is flexible, waiting may cost less than two moves. PEZA also expects registered enterprises to meet [a minimum 70% export sales level](https://www.peza.gov.ph/press-releases/peza-allows-30-wfh-registered-it-bpos-and-rbes-until-september-2022), so a company selling mainly in the Philippine market should confirm eligibility before anything else. ### Next step Send us your headcount, target district, start date, and whether your company is already PEZA-registered. The FlySpaces team will compare options, check the terms against the points above, and arrange viewings. If the honest answer is that you should wait for your building, we will say so. *This post is general information, not legal or tax advice. Confirm details with PEZA and a qualified Philippine tax adviser.*     Tags: [Flexible Office Space](https://blog.flyspaces.com/tag/flexible-office-space), [PEZA](https://blog.flyspaces.com/tag/peza) ![](https://blog.flyspaces.com/hubfs/SpacesAsia%20-%20June%202019/author-img.png) ##### [Listerlynn Joy Garingo - De La Serna](https://blog.flyspaces.com/author/joy-garingo-delaserna) Joy Garingo - De La Serna is a Filipino business executive specializing in the real estate, flexible workspace, and Employer of Record (EOR) sectors within the Asia-Pacific (APAC) region. She is involved in creative ventures and community-centric workspace environments that support local startups, founders, and generational shifts in hybrid work styles. 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