CHI to re-develop eOffice facility into shopping mall
CEBU, Philippines - Publicly-listed Cebu Holdings Inc., (CHI) announced its plan to build a shopping mall at the 24-hectare Cebu IT Park to accommodate the growing traffic for entertainment and shopping at the cyberpark.
CHI president Francis O. Monera said that the master-planning of the second shopping mall by CHI is ongoing and it should be finished within the year.
The mall will be situated at the superblock area of the 24-hectare IT Park, which is now the location of its eOffice facility which was built in 2000, and occupied by People Support.
Now, that People Support has its own building, Monera said the company has decided to dismantle the eOffice, and re-develop it into a shopping mall.
This project will follow suit after the company will also unveil the P2 billion expansion plan of the Ayala Center Cebu that is expected to be opened before the end of this year.
According to Monera, CHI has recognized the dynamic retail sector in Cebu, and that Cebu IT Park although it has several food, entertainment and shopping stores, it has to be provided with a sophisticated lifestyle facility, such as a modernized shopping mall.
Aside from the company’s active stance in real estate developments in both residential and commercial projects, CHI also will take advantage of the fast growth of the retail sector in Cebu, specifically in the high traffic areas, like the Cebu IT Park.
The expansion of the Ayala Center Cebu, which will be considered as the home of sophisticated brands, and unique retail concepts, is an indication that the Ayala Group has strong confidence of Cebu’s retail growth.
The Ayala Center Cebu expansion will bring in sophisticated brands to Cebu, as well as the expansion of the Rustan’s Department store.
In an earlier interview with ACC division head Clavel Tongco she said that the Phase-2-B project, which incurred the company an investment over P2 billion already, will have a three-floor Rustan’s Department store, and expanded size of Rustan’s Supermarket, as well as other signature brands that will add to Cebu’s ultimate shopping experience.
The Phase 2-B project is an extension of the mall, utilizing the South Surface Parking, that will incur Cebu Holdings Inc. (CHI) the developer of ACC at least P2.8 billion.
The four-story Ayala Center expansion will host the luxury brands, and other specialty shops, Polloso reiterated.
“We will be offering a lot of new things, new brands to the Cebuano market come December,” said Tongco in an interview.
In 2012, Ayala Center Cebu registered an occupancy rate of 98.4 percent, and higher sales and rent per square meter. The mall contributed a total revenue of P750 million.
“We expect the mall’s income to go even higher in the next few years as the major expansion of the mall nears completion. This expansion will add over 36,000 square meters of leasable space and some of the biggest international retail brands and local concepts,” said Monera.
Subsidiary Cebu Leisure Company Inc., contributed total revenues of P150 million. This is higher than that of 2011 by 15 percent. Operating income was also higher by 18 percent due to the improved performance of the Active Zone and Food Choice. Higher occupancy in the Ayala Cinemas was also a big factor to CLCI’s increased revenue.
“In 2013, CHI will be spending an estimated P3.4 billion in new and existing projects and land acquisition. Together with our sister companies in Ayala Land, we will be investing an estimated total of P5.4 billion for new developments in Cebu,” said Monera.