Manila-based conglomerate SM Prime Holdings Inc. has secured key beachfront parcels along Puerto Princesa’s west coast, marking a significant expansion into Palawan’s premier real estate and tourism market, according to city Mayor Lucilo Bayron.
Bayron confirmed the SM group, led by the Sy family’s third generation, purchased nearly all available beachfront properties stretching from Barangay Napsan to Simpocan roughly two weeks ago. While exact hectare figures were not yet specified, the acquisitions represent the company’s first beachfront holdings in the city—complementing its existing SM Puerto Princesa mall, a 53,000-square-meter facility built with climate-friendly, energy-efficient design suited to Palawan’s environment.
The mayor noted the Sy family envisions transforming the stretch into a world-class destination comparable to Bali, Indonesia. The city has also invited the SM group to invest in the upcoming Santa Lucia Environmental Estate, a P200-billion master-planned development spanning 500 hectares carved from the Iwahig Penal Colony lands, where the prison facility retains over half the original 1,072-hectare property. Developed in partnership with the Tourism Infrastructure and Enterprise Zone Authority, the estate covers nine districts focused on hospitality, residential tourism, commerce, eco and agricultural production, protected green spaces, and supporting infrastructure, with 245 planned lots and a central convention center seen as the project’s main draw. Ten hotel sites across 7.14 hectares are earmarked for resorts, wellness facilities, ecotourism trails, mangrove boardwalks, and visitor infrastructure.
The development signals growing corporate confidence in Puerto Princesa’s tourism and economic potential. Bayron shared that the Ayala Group, already established in El Nido’s resort sector, previously pursued property acquisitions in the city on two occasions but did not finalize deals. The SM group’s entry and interest in the Santa Lucia project underscore Puerto Princesa’s rising profile as an integrated investment hub beyond its well-known ecotourism appeal.
