Property developer SM Prime Holdings Inc. (SMPH) earmarked P100 billion for 2025 capital expenditures to support the expansion of its mall and residential businesses.
SMPH said it budgeted P67 billion to fund residential and integrated property developments and P33 billion for malls, hotels and office units.
“We expect election-related spending, easing interest rates, and higher tourism spending to fuel our growth in 2025,” said SMPH president Jeffrey Lim in a statement to the stock exchange.
“Our growth will be driven by the mall business, while our robust project pipeline will enhance the expansion of strategic initiatives across our diversified portfolio,” Lim said.
SMPH’s capital expenditure this year will prioritize malls, residences and integrated property developments. A key component of the investment is the P21 billion earmarked for the expansion of its malls’ gross floor area (GFA).
The company plans to add 205,400 square meters of GFA in new developments and redevelop 124,488 square meters of existing mall space. By the end of the year, SMPH’s total mall GFA will exceed 8 million square meters.
The property firm also allocated P67 billion for SM Residences and integrated property developments (IPDs), focusing on regional, premium, and leisure residential projects, as well as mixed-use, master-planned urban centers in Luzon and Visayas.
The company also intends to invest P12 billion in its office, hospitality and MICE (meetings, incentives, conferences, and exhibitions) businesses. This will fund the construction of two new convention facilities, the renovation of hotel rooms, and the addition of food and beverage facilities in existing hotels.
It will develop new office towers and workspaces, including the Six E-Com Center, a Grade A office tower in the Mall of Asia Complex tailored for technology-driven industries and BPO firms.
“These planned investments position us to meet evolving customer needs while driving SMPH toward its next phase of growth,” Lim said.
SMPH achieved its highest-ever consolidated net income of P45.6 billion in 2024, marking a 14-percent increase from P40 billion in 2023.
