The Columns Ayala Avenue in Makati carries a current BIR zonal value of ₱200,000 per square meter for its residential condo classification, a figure that sets the floor for tax calculations but tells only part of the investment story. For a buyer or seller, that number means the Bureau of Internal Revenue will use at least ₱200,000/sqm as the basis for capital gains tax and documentary stamp tax, regardless of the actual transaction price. The gap between this official valuation and what units actually trade for on the open market is where the real decision-making happens.
The building sits on Ayala Avenue in Barangay Bangkal, a location that places it within walking distance of the Makati Central Business District but outside the premium pricing of the village subdivisions. For a property that has been around long enough to have established resale and rental data, the question is not whether it is a good building — it is whether the numbers work for a specific buyer profile. This article breaks down the zonal values, market prices, rental yields, and practical trade-offs so you can decide if The Columns fits your strategy.
If you are comparing mid-range Makati condos, you might also want to look at how Salcedo SkySuites stacks up on walkability and value in a nearby village setting.
What the Zonal Values Actually Tell You
The BIR zonal value is not the market price — it is the minimum assessment per square meter for tax purposes. When you sell, the government compares the zonal value against your selling price and taxes the higher amount. This means a unit bought at ₱6 million but sitting on a zonal value of ₱9.6 million (for a 48sqm unit) would still trigger capital gains tax and documentary stamp tax based on the higher figure. That discrepancy can eat into profit margins if you are flipping or selling within a short holding period.
For context, the current zonal values at The Columns were set under BIR Department Order 35-2021, effective January 7, 2022. That means the valuation is roughly three years old as of early 2025. If Makati property values have risen since then, the gap between zonal value and market price may have widened further, which works in favor of sellers but adds to the tax burden on buyers.
Market Prices vs. Zonal Values: Where the Gap Shows
Looking at actual listings, the spread between asking prices and zonal values reveals a few patterns worth noting. A 67sqm two-bedroom unit listed at ₱12.5 million works out to roughly ₱186,500 per square meter — slightly below the ₱200,000 zonal value. A 48sqm one-bedroom at ₱7.5 million comes to about ₱156,250 per square meter, well under the BIR floor. A 30sqm studio at ₱4.5 million lands at ₱150,000 per square meter.
This situation is not unusual for older buildings in Makati. The zonal value tends to lag behind market corrections or may be set optimistically during a peak. For a buyer, the practical consequence is straightforward: your closing costs will be higher than what a simple percentage of the purchase price would suggest. On a ₱7.5 million unit, expect capital gains tax (6%) and documentary stamp tax (1.5%) to be computed on ₱9.6 million, adding roughly ₱720,000 in taxes alone — not including transfer fees, registration, and legal costs.
On the rental side, the numbers tell a different story. A 2-bedroom 82sqm unit listed for long-term lease at ₱75,000 per month suggests that larger, well-finished units can command premium rent. Smaller units — 30sqm studios renting for ₱22,000 and 48sqm one-bedrooms at ₱35,000 to ₱40,000 — offer more accessible entry points for tenants. The rental range of ₱19,999 to ₱75,000 per month across 22 listings indicates a market that serves both budget-conscious renters and those willing to pay for space and location.
For an investor comparing options, it is worth examining how Essensa East Forbes balances exclusivity against accessibility — a different trade-off from what The Columns offers on Ayala Avenue.
What Gets Missed in the Numbers
Zonal values and listing prices only capture part of the picture. Several factors complicate a straightforward buy-or-skip decision at The Columns.
The Age of the Building and Association Dues
The Columns Ayala Avenue is not a new development. Older buildings often come with lower purchase prices per square meter but carry higher maintenance costs and association dues that eat into net rental yield. A unit that looks attractive at ₱150,000 per square meter may produce a thinner return once monthly dues, real property tax, and sinking fund contributions are factored in. Always request the latest financial statements from the building administration before committing.
Unit Size and Layout Variability
Listings show floor areas ranging from 30sqm studios to 82sqm two-bedroom units. The price per square meter varies significantly across these sizes — smaller units tend to have a higher per-square-meter cost but lower absolute entry price. A 30sqm studio at ₱4.5 million (₱150,000/sqm) versus a 67sqm two-bedroom at ₱12.5 million (₱186,500/sqm) means the studio offers a lower cost per square meter despite being smaller. This inversion is common in older buildings where the smallest units were priced more aggressively to attract first-time buyers.
Rental Yield Realities
Using the available data, a 30sqm studio bought at ₱4.5 million and rented at ₱22,000 per month yields about 5.9% gross annually before expenses. A 48sqm one-bedroom at ₱7.5 million renting at ₱35,000 yields roughly 5.6%. A 67sqm two-bedroom at ₱12.5 million renting at ₱55,000 yields about 5.3%. These are gross figures — deduct association dues (which could be ₱3,000–₱6,000 per month depending on size), real property tax (roughly 1–2% of zonal value annually), and maintenance. Net yields likely fall to the 3.5–4.5% range, which is competitive for Makati but not exceptional.
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| Classification | Zonal Value per sqm | Typical Unit Size | Implied Zonal Value |
|---|---|---|---|
| Residential Condo | ₱200,000 | 48 sqm | ₱9,600,000 |
| Commercial Condo | ₱250,000 | 48 sqm | ₱12,000,000 |
| Parking Slot | ₱175,000 | 12.5 sqm | ₱2,187,500 |
Location Competition
The Columns is surrounded by newer developments — Alphaland Makati Place, The Lerato, Air Residences, One Central, and Lush Residences are all within 250 meters. These buildings offer modern amenities, better parking ratios, and newer finishes. A potential tenant comparing a 30sqm studio at The Columns for ₱22,000 against a similar-sized unit in a newer building for p25,000 may choose the latter if the difference in quality justifies the premium. Landlords at The Columns may need to price competitively to maintain occupancy.
Practical Guide: What to Do Before Buying or Selling
Whether you are buying, selling, or renting at The Columns Ayala Avenue, the steps below cover the key decisions and processes you will face.
Verify the Exact Zonal Value for Your Unit
The BIR classifies units individually. A residential unit on a lower floor may have the same zonal value as one on a high floor, but if the building has commercial units on the ground level, those carry the ₱250,000/sqm rate. Ask the seller or broker for the Tax Declaration and compare it against the current BIR zonal valuation. If the unit is classified as commercial but used residentially, you may be overpaying taxes. Request a reclassification from the BIR if the use does not match the classification.
Compute Total Closing Costs Before Making an Offer
Use the zonal value — not the asking price — as the basis for your tax estimate. On a 48sqm unit with a ₱200,000/sqm zonal value, the tax base is ₱9.6 million. Capital gains tax at 6% is ₱576,000. Documentary stamp tax at 1.5% is ₱144,000. Add transfer tax (0.5–0.75% of zonal value or selling price, whichever is higher), registration fees, and legal fees. Your total closing costs could reach ₱800,000 to ₱1 million on a unit priced at ₱7.5 million. Factor this into your cash requirement.
- 1Get the Current Zonal ValueCheck the BIR website or use a zonal value lookup tool. Confirm the Department Order number and effective date. For The Columns, the active order is DO 35-2021 effective January 7, 2022.
- 2Compute Taxes on the Higher AmountCompare the zonal value against the selling price. Use the higher figure to calculate capital gains tax (6%) and documentary stamp tax (1.5%). Do not use the purchase price alone.
- 3Add All Transfer FeesInclude transfer tax (local government), registration fee (Registry of Deeds), notarial fees, and broker commission if applicable. These typically add 1–2% of the property value.
- 4Request Building FinancialsAsk for the latest statement of association dues, sinking fund status, and any pending special assessments. Older buildings may have upcoming major repairs that could mean large one-time fees.
Negotiate With the Zonal Value Gap in Mind
If a unit is listed below the zonal value, the seller may be motivated. Use the tax burden as a negotiating point — explain that your total cost is higher because taxes are computed on the zonal value, not the sale price. A seller who understands this may be willing to lower the price further or share some of the closing costs. Conversely, if you are selling, highlight that the zonal value supports a higher tax base, which can justify a higher asking price to buyers who focus on per-square-meter comparisons.
Evaluate Rental Strategy by Unit Size
Studios and one-bedroom units at The Columns appear to offer slightly higher gross rental yields than two-bedroom units, based on the available data. If your goal is cash flow, a 30sqm studio at ₱4.5 million renting for ₱22,000 gives a gross yield of 5.9%, while a 67sqm two-bedroom at ₱12.5 million renting for ₱55,000 yields 5.3%. However, studios also have higher tenant turnover and may require more frequent furnishing updates. A two-bedroom unit leased to a family or expat professional may offer longer tenancy stability, which matters if you prefer lower management effort over maximum yield.
For a different take on location value, see how SMDC Light Residences trades train station convenience against commuter density — a useful comparison if transit access is a priority for your tenants.
Frequently Asked Questions
Is the zonal value the same as the market value? ▾
How often does the BIR update zonal values for The Columns?
Can I challenge the zonal value if I think it is too high?
What is the typical rental yield at The Columns Ayala Avenue?
Are parking slots a good investment at this building?
Sources
The Alexandra Condominium: A Hidden Gem in San Juan or Overhyped? — A look at another mid-range condo option outside Makati for comparison.
The Columns Ayala Zonal Values. Housal, 2025.
The Columns at Ayala Avenue Listings. Dot Property, 2025.
The Columns Ayala Avenue Condo Makati. OnePropertee, 2025.
