SM Prime out to take big slice of office market
SM PRIME Holdings Inc. believes it is more than ready to serve the growing local demand for office space.
While relatively new in this segment, SM Prime has expressed confidence that the learnings and expertise it has acquired over the years in its other property projects will enable it to adequately serve local office space requirements through its E-Commerce
(E-Com) centers.
David Rafael, SVP for the commercial properties group, said the goal was to create conducive and well-thought out office spaces, as the company believes that a healthy and competent workforce is a valuable asset for any company.
“Regular office people spend about almost a third of their lives in an office. In fact, they probably spend as much time in the office than they probably do at home and thus it’s very important that the environment that they have is one where they will really feel productive, comfortable and safe. At SM Prime, we take this need very seriously, such that we provide them an environment that we ourselves would want to be in,” Rafael said.
The company boasts of modern and iconic office buildings that comprise the business district of the Mall of Asia Complex.
This district is being developed to become a mixed-use district on its own, Rafael explained.
Located near transport hubs, the centers are a few minutes away from the country’s train systems, the Light Rail Transit Line 1 and the Metro Rail Transit Line 3, as well as the Ninoy Aquino International Airport in Pasay City.
According to Rafael, the company caters mainly to the booming business processing outsourcing (BPO) industry, deemed as the real driver of robust office space demand.
“Our commitment to contribute to the growth of our economy is firm, so much so that we are investing heavily in infrastructure to cater to the demand of the BPO sector, which is currently on a winning streak,” Rafael said.
SM Prime has already put up the One E-Com, Two E-Com, and the Five E-Com, which is 50-percent pre-leased. Five
E-Com Center is a 15-story building that is designed by Miami-based architectural company Arquitectonica. It has a floor area of 125,716 square meters.
Aside from office businesses, the E-Com Centers are envisioned to become a prime entertainment complex that could host conferences, meetings, and social and corporate events and gatherings.
Particularly, Five E-Com’s fourth level, known as the Prism Plaza, will feature a landscaped deck and pond as well as retail and office spaces. The building is also in front of the
E-Com Urban Park, where its tenants could unwind after a full day’s work.
The three E-Com centers join the company’s office property portfolio that includes the SM Makati Cyber One, SM Makati Cyber Two, SM Cyber Baguio and SM Cyber West in Quezon City.
“Admittedly, however, the office component is still very small if you look at the whole SM business structure. We have been late in this game—we are latecomers in terms of township developments but we can definitely catch up,” Rafael said.
“We have the proper tools and experience to back us up. We are not starting from scratch. With the kind of support we are getting right now, and the aggressive development we are doing, we know we will be able to catch up within the next five years,” Rafael claimed.
“We are coming up with products that are relevant to the market, meaning we will do something that goes beyond the baseline requirement, we will up the ante. But our rental rates will remain competitive as we commit to give locators the best value for their money and we are up for the challenge,” he concluded.
SM Prime Holdings, Inc. is the property arm of the SM Group of Companies, which has major business interests in banking and retail sectors apart from property segment.
SM Prime has developed key establishments in the residential, office, hotels and other leisure-oriented projects.
