5 days ago
SM Prime to spend P7B to redevelop SM Megamall
SM Megamall Building A fifth floor garden will have an ETFE roofing system, a lightweight, highly transparent and eco-friendly alternative to glass that allows more natural light into the indoor garden. SM PRIME
SM Prime Holdings Inc. is set to spend some P7 billion to redevelop SM Megamall to adopt a 'Crystal Islands' concept designed by the architectural firm known for developments such as Singapore's Jewel Changi and Thailand's Icon Siam.
The redevelopment will be designed by UK-based architectural firm Benoy, emphasizing natural light, open flow, and organic forms, adding 20,000 square meters of gross leasable area. It will have a phased completion targeted between 2027 and 2029.
It will also add themed retail zones, and operational upgrades including a new four-level basement parking facility with over 1,600 slots, state-of-the-art cinemas, a new Megatrade Hall, a redesigned food court, and upgraded areas and restrooms.
SM Prime said the design also features sustainability initiatives such as a rainwater harvesting system with a 500-cubic-meter capacity, Ethylene Tetrafluoroethylene (ETFE) roofing, skylights and clerestory windows, and sensor-activated escalators.
According to SM Supermalls president Steven Tan, SM Megamall is still ranked the highest out of all the company's malls in terms of per-square-meter sales, and this is expected to increase even further with the redevelopment.
'We have redevelopment lined up for the next five years now, as well as opening new malls. You know, we always assess the maturity of an existing mall if they are ready for expansion,' he said in a recent briefing.
'It has to have a certain level of maturity in terms of business and a certain occupancy that it has to reach. We have a matrix to go after that, but this is all planned out — not just for this year, and not just for next year, even for the next five years,' he added.
Tan also noted that more retailers are expected to take space in SM Megamall with the redevelopment, as it also has the highest waiting list among all the company's malls.
'We always work with our partners when it comes to our rental or leasing of our space. We also always study the sales over rent of the tenants. If the threshold still allows us to increase the rent we normally do that annually, but of course working with our tenant partners is key here,' he said.
SM Prime posted an all-time high net income of P24.5 billion in the first half of the year, as strong consumption and the recovery in retail and tourism drove revenues up by 5% to P68 billion.
Aside from SM Supermalls, SM Prime's subsidiaries include SM Residences (the umbrella residential arm segment of SMDC, SM Signature Series, and SM Leisure Resort Residences), SM Hotels and Convention Centers, and SM Offices. — RSJ, GMA Integrated News
