SM Prime allocates P50 billion per year to property development
SM Prime Holdings, an integrated property company, will be allocating P50 billion a year to their capital spending which will be used in the expansion and development of their properties.
IMAGE Business World
80 percent of the company’s capex will be used for the development of malls and residential properties, while the remaining 20 percent will be used on the company’s land banking. SM Prime is set to open five new malls outside of Metro Manila this year alone – SM CDO Downtown Premiere in Cagayan de Oro, SM Cherry Antipolo in Rizal, SM City Puerto Princesa in Palawan, SM Center Tuguegarao Downtown in Cagayan, and SM Center Lemery in Batangas.
SM Prime is also in the works of launching 15,000 to 18,000 residential units in high and mid-rise buildings, as well as house-and-lot developments this year. They are also considering building a high-end residential project along Ayala Avenue.
The company is also planning of expanding outside of the Philippines, particularly in China. They’re currently planning to start the pre-selling of their housing project which is located next to its mall in Chengdu, Sichuan Province. Aside from this, SM Prime, which has already developed seven malls in China, is also looking at developing more properties in the Fujian Province.
The property giant is also looking at the possibility of expanding in other Association of Southeast Asian Nations (ASEAN) countries. As to where in the ASEAN region in particular, SM Prime Chairman Henry Sy, Jr. said that they are still studying about it.
“All these are areas of interest to us, so we are having studies being done right now, not simultaneously but a few countries at a time. Not only in shopping centers but also in the space of residential,” SM Prime Chairman Henry T. Sy, Jr. said.
Source: Business World, GMA Network
Image grabbed from Business World
