lucky pot Ayala Land eyes 78,000 sqm of new retail space

Consistent growth in foot traffic and robust sales in its malls have encouraged real estate giant Ayala Land Inc. (ALI) to pursue the launch of 78,000 square meters (sq m) of retail space this year.

Mariana Zobel de Ayala, ALI leasing and hospitality head, said during a media gathering on Thursday that they saw a “promising” 10-percent growth in foot traffic in 2024.

In turn, sales in some of its newer malls, including One Ayala and Ayala Malls Manila Bay, have more than doubled, Zobel said.

Article continues after this advertisement

“We have a lot of conviction in the market. We have a lot of conviction in the Filipino consumer,” she added.

FEATURED STORIES BUSINESS Gokongweis exit loss-making petrochemical business BUSINESS Possible gray list exit, sustainability, and economic trends BUSINESS BIZ BUZZ: Ayala in talks to buy back valuable AIM property

READ: BIZ BUZZ: ‘Best PH developer’ is ALI

This comes amid ALI’s P13-billion push to renovate and “reinvent” some of its legacy malls—Glorietta, Ayala Center Cebu, TriNoma and Greenbelt—as a response to changing consumer behavior.

Article continues after this advertisement

So far, renovation at these malls are between 40 percent and 60 percent complete, according to Zobel, adding that work was “on track.”

Article continues after this advertisement

Renovations at TriNoma in Quezon City are scheduled to finish within the first quarter of this year, while improvements at Glorietta, Greenbelt and Ayala Center Cebu are set to be completed by 2026.

Article continues after this advertisement

Zobel likewise noted that they had already identified about 30,000 sqm of gross leasable area that needed a concept refresh.

“Beyond just the physical experience, we’re also focusing on the programming within the malls,” she said.

Article continues after this advertisement Mall pipeline

In all, ALI has around 700,000 sq m of mall space currently either under planning or construction.

Real estate investment management firm Colliers Philippines earlier reported that developers were taking advantage of high demand for “more immersive experiences” inside malls by expanding their food halls, upgrading cinemas and putting up pop-up stores to gauge market sentiment.

Department of Trade and Industry (DTI) Acting Secretary Ma. Cristina Roque said the companies reaffirmed their investment plans in the Philippines during her visit to the United Arab Emirates (UAE) on Oct. 3 to 5.

As for its hospitality business, ALI aims to complete the renovation of Holiday Inn, Seda BGC, Seda Abreeza, Seda Centrio and Lagen Resort by the third quarter of this year.

As a result of the refreshed properties, average rental rates will increase by around 10 to 15 percent.

Your subscription could not be saved. Please try again. Your subscription has been successful.

Subscribe to our daily newsletter

SIGN ME UP

By providing an email address. I agree to the Terms of Use and acknowledge that I have read the Privacy Policy.

cashman casino

“We’re confident that the product that we’re developing is going to justify that increase … we see a lot of potential in domestic tourism and regional tourismlucky pot,” Zobel said. —Meg J. Adonis

READ NEXT POSC expands into e-casino biz ADB sets $500-M loan to boost PH labor market EDITORS' PICK Ejercito wants PNP to man Marilaque everyday after rising road accidents Be careful in shading ballots to avoid smudges — Comelec chief PH economic growth fell short of 2024 target, market expectations Gatchalian to Ched: Sanction those behind Bestlink’s Bataan trip mishap 80 more undocumented Filipinos processed for deportation Art Fair Philippines’ bold move from the Link carpark to Ayala Triangle for 2025 MOST READ NYT: Control tower staffing 'not normal' at time of Washington crash Albay 1st District Rep. Edcel Lagman dies at 82 American Airlines confirms 60 passengers, 4 crew aboard crashed jet Senators defend grant of PH citizenship to Chinese businessman Follow @FMangosingINQ on Twitter --> View comments