SM Development Corporation (SMDC), the residential development arm of Sy-led SM Prime Holdings Inc., is set to enter the affordable housing market next year to help address the growing housing backlog, particularly in the provinces.
In a statement on Friday, SMDC said it expects to launch its first housing project in Central Luzon in 2017.
“This gated development will offer house and lots, well-appointed amenities, and a commercial development right beside it,” the company said.
SMDC’s venture into the economic housing market is mainly driven by the country’s growing housing backlog, the company said.
“With the government reviving development in the regions, SMDC, the housing arm of SM Prime Holdings Inc. is aligning to help narrow the huge gap in the Philippine housing sector with a reported backlog of over 5.5 million today according to the Housing and Urban Development Coordinating Council (HUDCC),” SMDC said.
Apart from the planned horizontal housing project, SMDC said it is also focusing on putting up medium rise buildings (MRBs) outside Metro Manila.
“These planned MRB developments are mostly located in SM’s mall complexes that give residents the utmost convenience with a supermarket, department store and other dining and entertainment venues next door,” the company said.
In the fourth quarter of 2016, SMDC launched its first MRB project outside of Metro Manila, specifically Cheer Residences within the SM City Marilao Complex in Bulacan.
“We would like to offer the cosmopolitan lifestyle to as many Filipinos to allow them to live in lifestyle districts anchored on the synergies of SM’s property developments,” SMDC Executive Vice President Jose Mari Banzon said.
“The market remains huge especially in the affordable segment. SMDC’s main strength is its ability to make good its promise to deliver homes in prime locations,” Banzon added.