It’s the kind of outsized vision expected from Sy, affectionately known as Big Boy, and his dream for the project, dubbed Pasay 360, is no exception.
In a recent chat with reporters, he said the project is set for completion by 2028. During this period, SM Prime plans to build key amenities and is open to turning competitor firms into partners for the future city.
“If they’re smart, they will come in,” he said. “We’re gonna sell a lot of lots.”
Better than BGC?
At 360 hectares, Pasay 360 will be larger than the 340-hectare BGC, a prime business district in Taguig whose development started in the mid-1990s by property giant Ayala Land.
But Sy said their reclamation project could be an improved version, especially when it comes to wider road access.
“This will be more comprehensive and better-designed than BGC,” Sy said.
“They were [originally] expecting it to be work in Makati, stay in BGC—that’s why the roads are not that wide. But then they saw the potential when offices started to jump [from Makati],” he added.
SM estates to boost PH economy
SM Prime is set to unveil a slew of integrated real estate developments, or townships, across major centers in the Philippines.
“There will be lots of [projects], this will be our showcase, the reclamation,” he said.
These projects will offer complete amenities such as hospitals, schools, universities, convention centers, and even a museum.
Apart from the massive Mall of Asia complex (MOA), SM Prime’s pioneering reclamation project developed two decades ago, the family owns National University, whose second-largest campus is located beside the MOA mall.
The reclamation project is part of a massive five-year spending plan that Forbes Asia reports will require investments of $9 billion or P500 billion.
Analyst’s view: SM Prime is a “Buy”
AP Securities research analyst Joey Cipres said SM Prime posted a better-than-expected 11.4 percent earnings growth to P11.6 billion in the first quarter of 2025.
Cipres rates SM Prime a “Buy” with a consensus target price of P33.84 per share, which is about 40 percent above its current price.
This was made on the basis of its strong malls outlook, better margins, and healthy outlook despite headwinds in the industrywide residential segment.
These assumptions do not yet include contributions from the reclamation project since these sales would likely be reflected in the next two years.
“Management mentioned that commercial lot sales will depend on the final master plan which is still currently in-progress. They’re looking to complete sand-filling by end of year before then proceeding with horizontal developments,” he said.
What’s next
SM Prime president Jeffrey Lim said the Pasay 360 master plan will be completed by the middle of 2025, and sand-filling for the land reclamation will be finished by the end of the year.
This will pave the way for horizontal developments to begin next year.
He said documentation for titling is in progress, with handover of parts of the project to the national government and Pasay City local government unit targeted for 2028.
“It will have smart-city and climate-resilient features to enhance livability, improve mobility, and create value that lasts beyond the present,” Sy said.
Miguel R. Camus has been a reporter covering various domestic business topics since 2009.
