Citing a spike in demand for office buildings in Bay City, Pasay, the SM Group has doled out more than P10 billion to develop six E-Com Centers within the Mall of Asia’s 67 hectares. Ground breaking commenced for Three E-Com Center on Friday, September 26.
“Most shipping companies in Manila are looking for office space within the [MOA] complex,” issued David Rafael, senior vice president of SM Prime Holdings Inc.’s Commercial Properties Group (CPG).
“They are looking for office areas, still in the bay area, but in a better location. We find very strong interest in these towers.”
One and Two E-Com Centers are presently operational. Known as the SM Corporate Center, One E-Com Center features work spaces for IT-related locator companies and for Business Process Outsourcing (BPO).
“We have accelerated because the demand from the [BPO] industry is very strong, as well as the shipping and logistics companies in the area,” stated Rafael during Friday’s ground breaking.
“Even the low-rise buildings in the area will also be redeveloped into high-rise buildings,” said Rafael.
The P10 billion is allocated as such: P1.8 billion for One E-Com Center; P2.5 billion for Two E-Com Center; P3.2 billion for Three E-Com Center; and P3 billion for Five E-Com Center. The distribution for the fourth and sixth of the series will yet be determined.
Comprised of two towers, 11 stories high, Three E-Com Center is set to be completed in 2017. It is expected to rake in P1 billion in gross rental revenues per year, according to Rafael. Currently under construction, Five E-Com Center should see to P600-700 million in rental revenues annually. It is set to open in April 2015.
Designed by the US-based architectural firm Arquitectonica, the six centers will feature an estimated gross floor area of 660,000 square meters. Each tower measures 110,000 square meters.
Up to 35 percent of the mall’s land area is primed more projects. A 10-hectare corporate block is “earmarked for future developments,” according to Rafael.