Real estate giant SM Prime Holdings Inc. will soon venture into both the low-cost and high-end markets as the Sy family-led company focuses on expanding to other segments amid a challenging environment for mid-income properties. Next year, SM Prime said it would consolidate all its residential projects under the SM Residences brand to cover economic, medium-cost, premium and leisure developments.
By early 2025, SM Residences will launch a 200-hectare premium development, according to SM Prime. Other projects in the pipeline have price tags ranging from P25 million to over P100 million. READ: SM Prime moves closer to breaking record income The developer has earmarked more than 1,000 hectares of land for SM Residences projects in the next five years.
Most of these will be for horizontal developments, SM Prime said. This comes after the national government raised the guaranty ceiling for low-cost housing packages to P4.9 million from P3.
6 million, and medium-cost packages to P6.6 million from P5.2 million previously.
This means that the government will guarantee loans up to these amounts. “The price adjustments will allow us to target a broader segment of the housing market,” SM Prime president Jeffrey Lim said in a statement. “It will enable us to better address the growing demand for affordable and quality housing, while contributing to the government’s efforts to reduce the housing backlog,” Lim added.
Despite the continued weakness of the Metro Manila residential m.