AYALA LAND, Inc. is opening five more shopping centers within the year to remain on track in expanding its mall portfolio to 3 million square meters (sq.m.) of leasable area by 2020.
The listed company will bring around 192,000 sq.m. of leasable space online across five properties in Quezon City, Marikina City and Taguig City, Vice-President and Head of Ayala Malls Group Rowena M. Tomeldan told reporters in a Jan. 12 interview.
The five malls will follow Ayala Malls The 30th, the first commercial development opened by the property giant near the Ortigas Center in Pasig City on Jan. 11. The property offers 28,000 sq.m. of dining, retail and entertainment options.
In April, the company will open Vertis, a shopping center with a leasable area of 40,000 sq.m., within the emerging business district along North EDSA in Quezon City, Ms. Tomeldan said.
Ayala Malls will then open properties spanning 13,000 sq.m. in Marikina Heights in May; 38,000 sq.m. in Cloverleaf, Balintawak in October; 79,000 sq.m. along Marcos Highway near the Rizal province in November; and 22,000 sq.m. in Bonifacio Global City in December.
In 2018, the company will open malls in the Bay Area and the Capitol Central in Bacolod, Ms. Tomeldan said, noting the timetable for the other projects in the pipeline remains fluid.
“By 2020, we will hit over 3 million square meters in leasable area by 2020 — that’s why we’re growing quite fast,” Ms. Tomeldan said, with the company’s portfolio spanning less than 2 million sq.m. to date.
The mall business of Ayala Land is opening smaller shopping centers in addition to the properties scheduled for opening this year and the next.
“If we include the small ones, there will be five more for this year because how this is done is we’re always part of a mixed-use estate, right? So, sometimes we also include the retail areas,” Ms. Tomeldan explained.
Ayala Land is expanding its recurring income base, with the view of eventually balancing its development and leasing portfolios.
In the first nine months of 2016, the commercial leasing business of Ayala Land grew 12% to P19.17 billion from P17.18 billion following the expansion of its malls, offices and hotels and resorts portfolios.
To date, the company has 1.57 million sq.m. of gross leasable area in its shopping mall portfolio, 753,000 sq.m. in the office segment and 1,991 rooms in the hotel and resort folder.
Ayala Land continued to source bulk of its revenues from the property development business in the first three quarters of 2016, after launching projects worth P49.2 billion. Income from the segment amounted 12% higher to P52.61 billion.
The property developer netted P15.06 billion during the period, a 17% increase from the P12.83 billion recorded a year earlier. Its stock price closed 30 centavos or 0.86% higher at P35.20 on the Philippine Stock Exchange on Friday. — Keith Richard D. Mariano
Ayala Malls The 30th, which opened this month, is the property giant’s first commercial development near the Ortigas central business district in Pasig City. — AYALA LAND