SM Offices: Mall-based offices occupancy at 95%

SM Offices, a unit of Sy-led property giant SM Prime Holdings Inc., saw a strong uptake for its mall-based offices.

In a news release on Wednesday, SM Offices said that, as of January, the occupancy rate of its 15 mall-based offices in the Philippines stood at 95%.

The company attributed the nearly one hundred percent uptake of its mall-based offices to businesses’ move towards mixed-use developments, expansion into provincial markets, and search for locations that provide employees with access to recreational amenities.

“The flight-to-quality trend is fueling demand for high-quality, well-located corporate spaces, giving SM Offices a competitive edge,” said SM Offices head Alexis Ortiga.

SM Offices operates both standalone office towers near SM malls and mall-based office spaces.

“All our regional sites are connected to SM malls and residences, making them highly accessible and attractive to businesses. This strategic advantage drives our commitment to regional expansion,” said Ortiga.

“Since in-person work resumed in 2022, more companies in the Philippines have prioritized office spaces that offer employee convenience and accessibility.”

Also boosting SM Offices’ growth is the increasing interest in provincial office facilities, as traditional and BPO companies expand operations outside Metro Manila to access a wider talent pool and cost-efficient locations.

SM Offices said it is ramping up its expansion in Cebu and Bacolod, adding over 85,000 square meters of leasable space this year to meet rising demand from traditional and BPO tenants.

For 2025, SM Offices has earmarked P6 billion to develop new office towers and workspaces, including Six E-Com Center, a Grade A office tower in the Mall of Asia Complex designed for technology-driven industries and BPO firms. — VBL, GMA Integrated News