The Sy family’s SM Prime Holdings Inc., one of the largest integrated property developers in Southeast Asia, continues to be optimistic about the prospects of its mall business in China, particularly the Fujian province.
“We still see a lot of potential for our China malls. We will be opening a phase of SM Xiamen by next year. We have a project in Haicheng in Fujian province opening also next year. Two years later, there will be another project,” said SM Supermalls President Steven Tan.
He noted that, “the slowdown that everyone is talking about, I think, it really depends on the area. China is so big and Fujian is not really that greatly affected and most of our anchor projects are in Fujian.”
“We still believe in the prospect of China therefore we will still continue to expand our prospect in China,” Tan said. The late SM Founder and Sy patriarch Henry Sy Sr. hails from the Fujian Province just like most Filipino-Chinese.
SM Prime President and CEO Jeffrey C. Lim said there will be no mall opening this year but “In China, we have existing two more lots that are in the Fujian Province. Our developments will basically focus on the Fujian Province area.”
He added that, “these (for development) are existing properties. We have existing malls. We just have to improve the efficiency and productivity of these malls.”
Lim said they intend to develop their existing land assets “because Fujian Province is a market where we are doing very well in China. We have nine malls in China and we are in Chengdu, Chongqing, Tianjin, Suzhou, Yangzhou, Zibo, Jinjiang. Five of these areas are outside of Xiamen.”
However, he said SM Prime is not yet acquiring additional properties to beef up its landbank in China or in any other country outside of the Philippines. “Not as of this time. We’re focusing all of our efforts and investments in the Philippines,” Lim noted.