SM Prime Holdings Inc., one of Southeast Asia’s largest integrated property developers, is investing ₱4.1 billion to expand three of its major shopping malls outside Metro Manila amid surging commercial demand and high occupancy rates.

In a briefing, SM Supermalls President Steven Tan said the expansions will add roughly 70,000 square meters of gross floor area to the company's regional retail footprint, with completion scheduled for the fourth quarter of 2026.

Tan said the projects are located in key regional hubs across Western Visayas, Calabarzon, and the Bicol Region—specifically in the cities of Iloilo, Sto. Tomas in Batangas, and Naga.

“The cities of Iloilo, Sto. Tomas, and Naga are major economic hubs in their respective regions, with strong potential to attract more businesses and investment,” said SM Prime President Jeffrey C. Lim.

“Through these mall expansions, we aim to support their continued growth by creating more opportunities for MSMEs, generating local employment, and contributing to stronger communities,” he added.

The largest of the three projects, the SM City Iloilo North Block, will add approximately 35,000 square meters of gross floor area as part of a ₱1.7 billion mixed-use development. The expansion will feature multi-level covered parking, ground-floor retail spaces for essential services, medical and wellness facilities, specialty stores, convenience outlets, cafes, and a National University (NU) campus.

In Batangas, SM City Sto. Tomas will expand by more than 26,000 square meters with the construction of a third level costing ₱1.2 billion. The new floor will house amusement concepts, restaurants, wellness establishments, retail stores, a dedicated Trade Hall, co-working and meeting spaces, and visual installations. Additional surface parking will also be added to support the increased capacity.

Meanwhile, SM City Naga will undergo a ₱1.2 billion, two-story expansion covering roughly 9,000 square meters. The project includes additional parking, a roof deck extension, and the redevelopment of existing tenant areas to improve circulation and the overall customer experience.

“These are all very mature areas that are ready for expansion,” Tan said. “All these malls are above 95 percent occupied, and there's a waiting list of tenants looking for additional space so they can expand into these markets.”

Tan noted that adding the National University campus and office spaces to SM City Iloilo supports the broader property ecosystem. “The offices and university address a very young market while boosting weekday foot traffic. Peak days are usually Friday, Saturday, and Sunday, but students and office workers visit during lunch breaks and after hours, which significantly enhances weekday business activity.”

In line with SM Prime’s sustainability commitments, all three expansions will incorporate solar panels, EV charging stations, energy- and water-efficient systems, and enhanced waste management facilities. Local residents will also be prioritized for jobs created by the expansion projects.