Village Connect
In response to the increasing demand for high-quality office spaces, SM Offices, a division of SM Prime Holdings, is strategically expanding its portfolio of mall-based office facilities. As businesses evolve and seek locations with amenities that enhance work-life balance, SM Offices is capitalizing on a growing trend towards mixed-use developments.
As of January, SM Offices reported an impressive occupancy rate of 95% across its 15 mall-based offices scattered throughout the Philippines. This surge reflects a broader flight-to-quality trend, where companies are gravitating towards premium workspaces that offer both comfort and convenience. “The demand for well-located, high-quality corporate spaces is putting SM Offices at a distinct advantage,” shared Alexis Ortiga, Head of SM Offices.
The company operates a mix of standalone office towers and integrated spaces within its malls, benefiting from prime locations that provide easy access to transportation, shopping, and leisure options. Ortiga emphasized the strategic benefits of their sites: “All our regional offices are linked to SM malls and residential areas, enhancing their appeal and accessibility for businesses.
This connectivity fuels our commitment to expanding regionally.” Since the return to in-person work in 2022, many Philippine companies have shifted priorities towards office spaces that prioritize employee convenience, making the work commute more streamlined and effective. Ortiga noted, “The accessibility of our spaces makes office attendance more efficient, appealing to companies that value their workforce’s time and well-being.”
Additionally, there’s a notable shift towards provincial office spaces as both traditional businesses and BPOs venture outside of Metro Manila. This expansion aims to tap into a broader talent pool and leverage cost-effective operational locations. In response, SM Offices is significantly boosting its presence in Cebu and Bacolod, planning to add over 85,000 square meters of leasable space in 2023 to accommodate the growing demand.
Looking ahead to 2025, SM Offices has earmarked approximately P6 billion for new developments, including the launch of the Six E-Com Center, a Grade A office tower within the Mall of Asia Complex that aims to attract technology-driven industries and BPO firms. With this strong focus on quality spaces and strategic expansion initiatives, SM Offices is well-positioned to meet the evolving needs of the Philippine business landscape.
