Property developer SM Prime Holdings Inc. brush aside notions of a slowing China economy, saying the country’s neighbor continues to offer a lot of potential as the world’s second largest economy, reports to the contrary notwithstanding.
“The slowdown that everyone is talking about, I think, really depends on the area. China is so big and Fujian is not really that greatly affected as most of our anchor projects are in Fujian. We still believe in China (growing), therefore we will continue to expand,” Steven Tan, SM Supermalls president, said.
SM Prime, likely the country’s largest property developer, has nine malls in China.
Jeffrey Lim, SM Prime president and CEO, ruled out the company opening a mall in China this year although the group is scheduled to open Phase IV of its SM Xiamen project in Fujian, China next year.
SM Phase IV is next to the company’s SM City Xiamen and directly opposite SM Lifestyle Center and SM Phase III.
SM Prime is spending 1.148 billion yuan for the project seen completed in five years. The plan involves five 15- or 19-story towers, excluding two underground floors connected by a five-story podium.
SM Xiamen Phase IV is a 260,000-square meters of developed space that includes 120,000 square meters of office space, over 30,000 square meters of commercial space and 1,643 parking areas.
SM Xiamen Phase IV completes the full development of the SM Xiamen complex seen having 670,000 square meters in gross floor area, boasting of a super complex that integrates life, social, entertainment and business on the horizon, the company said.
Aside from Xiamen, SM Prime is also in Chengdu, Chongqing, Tianjin, Suzhou, Yangzhou, Zibo, and Jinjian.
“In China we have two more lots that are in the Fujian province. Our developments will basically focus in the Fujian area,” Lim said.
