Wednesday, January 24, 2007 SM bares plans to build 2 more malls in Cebu
AFTER more than 10 years since it opened its first mall in Cebu, SM Prime Holdings Inc. (SMPHI) revealed plans to invest P2 billion for the construction of two more branches in the province.
“We’re looking at feasible sites in the northern and southern part of Cebu, although we cannot set any timeline (yet),” SMPHI president Hans Sy told a press conference last Friday.
Sy did not disclose the possible sites of the future branches, but said he will be inspecting the South Road Properties, the 300-hectare reclamation project of the Cebu City Government.
He said the company is eyeing a 65,000- to 70,000-square meter property for each mall.
He said construction of the two future malls, which are expected to cost P1 billion each including land value, will begin construction once the SMPHI has found land for the projects and after the completion of its SM City Cebu expansion project.
SMPHI is constructing the SM City Cebu Northwing, which is a five level annex to its existing 13.8-hectare property at the Cebu North Reclamation Area.
The 10.9-hectare annex is estimated to cost between P200 and P300 million and is expected to open in May this year. It has a net leasable area of 17,677 square meters in the first two levels, and will have parking spaces on three floors and a roof deck that will be able to accommodate about 1,946 vehicles.
The Northwing, which is designed for the upper class market, will house upscale shops, specialty shops, comfort lounge, concierge, entertainment area and restaurants —including al fresco dining establishments.
Sy said the two additional malls to be built in Cebu are proof that the local retail industry remains to be bullish.
“We’re really serious and bullish about Cebu. In fact, it’s our priority area for Visayas and Mindanao projects,” he said.
SMPHI will inaugurate next month its SM Bacolod branch in Negros Occidental, bringing to four the total number of malls in the Visayas.
While SMPHI has a property in Tacloban, Leyte, Sy said the company has not yet decided to build a mall there.
Sy, along with other SMPHI and Cebu City Government officials, attended the inauguration of the five rehabilitated access roads at the North Reclamation Area last Jan. 19.
SM advanced P50 million to the City Government for the improvement of the 2,199-meter long roads around SM City Cebu.
The road improvement was implemented in time for the Association of Southeast Asian Nations summit last Jan. 10 to 15. MMM
