SM entry to further spike Gensan economy

GENERAL SANTOS CITY -- A new economic boom is seen to sweep this city, dubbed the "Tuna Capital of the Philippines," with the entry of listed SM Prime Holdings Inc., which is eagerly awaited by the local government.

SM Prime Holdings is the country's largest mall operator.

Mayor Pedro B. Acharon Jr. said the Henry Sy-led firm has readjusted its engineering work plan that shall be submitted to the City Government for necessary clearances to pave the way for the start of the construction phase.

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"We've told them that we are putting traffic lights, and they will incorporate our traffic plan to make their investment of at least P1 billion attractive to the public," Acharon said Tuesday.

“The SM Mall was expected to rise next year in our city and at the moment, we are waiting for them to submit the detailed engineering plan so they will be given clearances,” he added.

Its entry will further boost the competitiveness of the city, said Acharon, citing the opening last year of rival Gokongwei-owned Robinsons mall.

Jeffrey C. Lim, chief finance officer of SM Prime, said recently that the company is investing P12 billion this year to put up 11 new malls until 2011.

At the end of the year, SM will have 41 local malls totaling 4.5 million square meters, and four malls in China.

"We will also start to construct malls that will open in 2011," Lim said.

Next year, SM malls will rise in General Santos, Commonwealth in Quezon City, Lanang in Davao City, La Consolacion in the town of Liloan in Cebu, and in the town of Chongqing in China.

Acharon said SM Prime has already forged a lease agreement with the Salazar family for the eight-hectare property location, reiterating that its entry will be a big boost to the city's economy.

Pilar T. Afuang, local business chamber executive director, echoed the sentiments of the official, saying its presence is another indication of the city's economic viability.

Among the factors that she cited to the entry of investors in this port city, which is the economic hub of Central Mindanao region, are its relatively peaceful condition and support facilities such as telecommunications and sea and air ports.

With SM mall around, this will bring to four the operators of big shopping malls in the city.

Aside from Robinsons Place-General Santos, which began operations last year at a reported investment of P2 billion, the two other malls operating in this city for years are Gaisano Mall and KCC Mall.