Megaworld sets ₱55-B capex for malls, offices expansion
Top township developer Megaworld Corporation is allotting ₱55 billion for capital expenditures this year as it ramps up the development of malls and office buildings to expand its leasing portfolio.
During the firm’s annual stockholders meeting on May 13, 2024, Alliance Global Group,
Inc. Chief Executive Officer and Megaworld Chief Strategy Officer Kevin L. Tan said they aim to reach three million square meters of gross leasable area (GLA) for both Megaworld Premier Offices and Megaworld Lifestyle Malls y 2030.
This is 52 percent higher than the company’s total leasing portfolio as of end-2023.
Tan revealed that Megaworld’s gross leasable area for office spaces will reach two million square meters by 2030, while gross leasable area for malls will reach one million square meters by then.
“Growing our malls and office segments within the next six years is a big part of our continuing expansion. This year, Megaworld has budgeted ₱55 billion for capital expenditure, which is an important part of our overall ₱350 billion five-year capex program that began in 2023.
“The budget will be used to develop our existing and upcoming townships, residential projects, investment properties, as well as land acquisition,” he added.
The new office stocks will be from its townships in Bulacan, Pampanga, Cavite, Bacolod, and Metro Manila. The new retail spaces, on the other hand, will come from its lifestyle mall properties in Cavite, Rizal, Pampanga, Bulacan, Bacolod, Cebu. Davao, Boracay, and Palawan. In 2023, the company expanded its office portfolio under Megaworld Premier Offices by 69,000 square meters of GLA to 1.5 million square meters after the successful turnover of the International Finance Center in Uptown Bonifacio.
On the other hand, Megaworld Lifestyle Malls expanded its GLA by 33,000 square meters to 517,000 square meters with the opening of four new retail locations in various Megaworld townships, including the Philippines’ biggest Landers Superstore located at The Upper East in Bacolod City.
By the end of 2024, Megaworld will complete around 180,000 square meters of offices and around 100,000 square meters of mall and commercial retail spaces for the year.