Property developer SM Prime Holdings Inc. (SMPH) plans to open four shopping malls in 2024 that will add 440,000 square meters (sq. m.) of gross floor area (GFA).
SMPH said in a recent investor presentation it would open SM City Caloocan which has 94,000 sq. m. of GFA in the first half of the year.
It also intends to open SM City J Mall in Mandaue City, Cebu with 123,000 sq. m.; SM City San Fernando La Union with 111,000 sq. m.; and SM City Laoag with 123,000 sq. m. in the second half the year.
SMPH now operates 85 malls in the Philippines with 9.2 million sq. m. of GFA and eight malls in China with 1.6 million GFA. It opened SM City Yangzhou in China last year
Metro Manila malls account for 41 percent of GFA, followed by rest of Luzon at 30 percent; Visayas, 12 percent and Mindanao, 8 percent.
SMPH said its future mall expansion is geared towards the provinces.
“The focus is to cover most of Northern Luzon, Visayas and progressive cities in Mindanao,” the property firm said.
SMPH said it has available land bank of almost 360 hectares which is good over the next five to seven years.
SMPH reported a 33-percent increase in net income to P40.01 billion in 2023 from P30.1 billion in 2022 as consolidated revenues jumped 21 percent year-on-year to P128.1 billion.
Mall business accounted for 56 percent of total sales, followed by residential business with 34 percent and other business segments, which includes hotels, offices and convention centers, with 10 percent.
Mall revenues in 2023 totaled P71.95 billion, up 30 percent from P55.38 billion a year ago. Operating income rose 28 percent to P37.36 billion from P29.21 billion.
It also earmarked P100 billion for 2024 capital expenditures as it continuous to explore opportunistic acquisitions and/or investments.