Ayala Center targets to open new wing by Q4 next year

CEBU, Philippines - The Ayala Center Cebu (ACC) targets to open its major expansion by the fourth quarter of next year.

The ACC Wing is currently 27 percent complete and as of this time, 50% of the development is already set to be occupied once completed. 

Rustan’s Department Store and Rustan’s Supermarket, said ACC division head Joy Polloso.

Polloso said Rustan’s Department Store will occupy three floors of the new wing, other high-end brands like Zara, have already confirmed to open an outlet in here.

The Phase 2-B project is an extension of the mall, utilizing the South Surface Parking, that will incur Cebu Holdings Inc. (CHI) the developer of ACC at least P2.8 billion.

The four-story Ayala Center expansion will host the luxury brands, and other specialty shops, Polloso reiterated.

Bullish on Cebu’s sustaining retail industry, despite external problems, CHI president Francis Monera earlier said the mall will continue to offer the best of Ayala Malls for Cebu consumers.

So far, the Ayala Center Phase II-B is the largest expansion activity done by CHI, aside from the building of The Terraces, and other mini-improvements and expansion programs it has embarked over the years. 

The expansion project will complete the original plan of ACC, however, some improvements were made in terms of design to conform to the changing preference and style of this generation’s shoppers, Monera said.

The new Ayala Center expansion will cover a space one-third to the entire size of the existing mall, offering a total leasable area of 36,000 square meters.

“Over the years, ACC has made some expansions to improve the mall’s total ambiance and facilities,” Monera said. In fact, the construction of the al-fresco style The Terraces was not part of the original master-plan.

Last year, ACC registered a total revenue of P699.84 million, an 11 percent higher that its revenues recorded in 2010.

According to Cebu Holdings Inc. (CHI) chief finance officer Enrique B. Manuel Jr., the mall’s encouraging performance in 2011 was brought about by the higher lease occupancy, higher sales and rent per square meter.

Net operating income likewise posted a growth of 13 percent vis-a-vis 2010.

The company that operates the ACC’s Active Zone, the Cebu Leisure Company Inc. (CLCI) also reported significant per square meter growth at nine percent in 2011, compared to the previous year.

Manuel said that CLCI’s growth can be attributed to its unique sports and wellness merchandises offerings.

Food Choices, the foodcourt facility of the mall also realized a 15 percent increase in sales per square meter against 2010.

Likewise, Ayala Cinemas posted total revenues of P80.26 million, a three percent higher than the prior year’s P77.87 million.

At the end of 2011, CLCI generated total revenues of P130.42 million, seven percent higher than last year’s P122.40 million.

Net operating income is also 21 percent higher than last year due to the high performance of the Active Zone.

The construction of the ACC Phase II-B is part of the company’s P10 billion capital expenditure (capex) to build more projects in Cebu in the next five years. (FREEMAN)