MAKATI CITY, PHILIPPINES — November 7, 2026 | WWC ONE MEDIA | Philippine Business, Retail, Real Estate and Consumer Markets
Philippine property giant Ayala Land Inc. is preparing one of its biggest holiday retail pushes, with more than 250 store openings expected across its shopping-center portfolio in the fourth quarter of 2026.
The expansion includes international names such as IKEA, Marks & Spencer and On Running, alongside restaurants, lifestyle retailers and newly developed shopping destinations.
The strategy comes as Ayala Land’s malls enjoy stronger shopper traffic, improving rental income and renewed interest from major international tenants.
But behind the holiday excitement lies a more complicated financial story.
Ayala Land’s net income declined approximately 18% to ₱17.5 billion during the first nine months of 2026, as weakness in its residential property-development business weighed on overall earnings.
Its shopping centers, however, have continued growing.
Mall visitor traffic increased 6% during the January-to-September period, while revenue from the comparable existing-mall portfolio grew 10%, excluding the effects associated with Alabang Town Center.
According to InsiderPH’s November 6 report, Ayala Land is betting that fresh international brands, redesigned flagship malls and several major openings before Christmas can strengthen retail performance into 2027.
The company’s expansion highlights a growing shift in Philippine real estate: shopping centers are becoming an increasingly important source of recurring earnings while residential sales remain under pressure.
The question is whether hundreds of new stores can generate enough rental income and consumer activity to offset the weakness affecting Ayala Land’s broader property business.
Ayala Land Announces More Than 250 New Store Openings
Ayala Land Senior Vice President and Leasing and Hospitality Group Head Mariana Zobel de Ayala announced the expansion during a November 5 media briefing.
The company expects more than 250 new retail outlets to open during the fourth quarter.
The figure covers store openings within its retail portfolio, including outlets that have already opened and others scheduled before the end of December.
It does not refer to 250 new shopping malls.
The strategy combines well-known international retailers, restaurant concepts and other merchants intended to attract customers and increase commercial activity.
Among the names highlighted by Zobel were Din Tai Fung, Bacha, Marks & Spencer, On Running and IKEA.
Some outlets are already welcoming customers, while others remain scheduled for later openings.
The company has not released a complete store-by-store list or independently verified sales projections for all 250-plus outlets.
Nevertheless, the scale of the rollout demonstrates Ayala Land’s determination to strengthen its retail business ahead of the Christmas season.
IKEA’s Cebu Opening Becomes a Major Attraction
One of the most anticipated developments is IKEA’s expansion to the Visayas.
The Swedish home-furnishing company is scheduled to open its first Cebu store at Ayala Malls Gatewalk in Mandaue City on December 16.
The planned store will occupy approximately 4,000 square meters and provide access to around 8,500 products through a combination of physical inventory and assisted ordering.
Of those products, approximately 2,500 are expected to be available for immediate takeaway.
IKEA’s arrival is particularly important because Cebu has a longstanding furniture-making tradition and a substantial market for home furnishings.
The new store could attract shoppers interested in Scandinavian home-design products while increasing traffic at the Gatewalk development.
But the effect on Cebu’s existing furniture businesses remains uncertain.
Local manufacturers may compete with IKEA in certain product categories while maintaining advantages in customization, craftsmanship and locally sourced materials.
For Ayala Land, IKEA’s presence creates a potentially powerful retail attraction for a major new shopping destination.
However, the planned December 16 opening remains a scheduled event rather than a completed launch.
Marks & Spencer Returns to Glorietta
Another major development involves the return of British retailer Marks & Spencer to Glorietta in Makati.
The brand is scheduled to reopen at the mall by December under a new franchise arrangement involving MAP.
The return reflects continued demand from international retailers seeking established shopping locations in Metro Manila.
Glorietta benefits from its position within the Makati Central Business District, near offices, hotels, residential developments and transportation connections.
For a retailer entering or returning to the Philippine market, an established destination can offer access to a large customer base.
For Ayala Land, bringing a familiar international brand back to Glorietta supports its strategy of refreshing tenant selections after major renovations.
But the actual commercial performance of the reopened store will depend on customer demand, product positioning and operating conditions.
Din Tai Fung, Bacha and On Running Add to the Holiday Lineup
Ayala Land is also attracting international food, beverage and lifestyle concepts.
Din Tai Fung, known for its Taiwanese cuisine, is among the restaurant brands highlighted during the company’s briefing.
Bacha is another addition, contributing to the premium food-and-beverage segment.
On Running, the Swiss performance footwear brand, is also expanding its Philippine retail presence.
SSI Group announced that On’s first dedicated Philippine store would open on November 7 at Central Square in Bonifacio Global City.
An important ownership distinction applies here.
Central Square is an SSI Group-owned retail development on land held through an Ayala-linked joint venture.
It should not be described as an Ayala Malls-operated property simply because its opening was highlighted within Ayala’s wider retail ecosystem.
The arrival of these brands illustrates how Philippine retailers are diversifying beyond traditional apparel and department stores.
Restaurants, specialized sportswear and premium lifestyle products are becoming important attractions for shopping destinations.
Four Major Retail Developments Target the Christmas Season
Ayala Land has identified four important openings in its holiday retail calendar.
| Development | Announced opening |
|---|---|
| The Exchange at TriNoma, Quezon City | October 30, 2026 — opened |
| Nuvali retail expansion, Laguna | November 12, 2026 — scheduled |
| T:28 Greenbelt, Makati | December 11, 2026 — scheduled |
| Ayala Malls Gatewalk, Mandaue City | December 16, 2026 — scheduled |
These developments expand the company’s retail offerings in established commercial districts and emerging regional markets.
The projects also reflect a strategy of increasing the appeal of existing estates through fresh retail concepts and improved facilities.
For customers, the changes could provide new dining, shopping and lifestyle experiences.
For investors, the key question is whether the openings generate sustained tenant demand and meaningful rental income.
New retail developments often require time to attract customers, stabilize occupancy and reach their expected operating performance.
Opening a mall does not automatically guarantee immediate profitability.
Ayala Land’s Mall Traffic Rises 6%
The expansion follows improving visitor activity across Ayala Land’s shopping centers.
According to the company’s nine-month investor presentation, mall visitor traffic rose 6% year over year.
Comparable existing malls also generated 10% more revenue under the comparison presented by management, excluding Alabang Town Center, which was sold in 2025.
Context.ph separately reported that same-mall revenues increased 8%, while flagship and premier malls achieved 10% growth.
These measures use different comparison bases and should not be treated as interchangeable.
In Ayala Land’s consolidated financial reporting, shopping-center revenue reached approximately ₱18.2 billion in the first nine months, representing 4% growth from the previous year.
The distinction matters because financial reports may include the effects of disposed properties, recently opened developments and other changes in the portfolio.
The consistent finding is that Ayala Land’s established shopping centers are showing stronger operating performance.
Management attributed the improvement to higher rental rates, better use of retail space and additional income from advertising, events, venue rentals and cinemas.
Shopping-Center Occupancy Remains Around 90%
Ayala Land’s retail portfolio maintained a lease-out rate of approximately 90%.
That level represents around nine-tenths of its roughly 2.1 million square meters of shopping-center gross leasable area.
The occupancy rate is slightly below the 91% reported for the comparable period a year earlier.
But it remains relatively stable despite continuing changes across the company’s retail portfolio.
High occupancy is important because rent from tenants provides recurring revenue.
It can also encourage additional retailers to open stores when they believe a shopping center offers sufficient customer traffic.
However, occupancy alone does not determine profitability.
Rental terms, tenant sales, operating expenses and the costs associated with mall renovations all influence financial performance.
Ayala Land must therefore convert its growing list of tenants into sustainable income rather than focusing on store counts alone.
Mall Revenues Rise While Ayala Land’s Overall Profit Falls
The company’s financial results reveal why retail expansion has become such an important priority.
Ayala Land reported total revenue of ₱109.2 billion for the first nine months of 2026.
Net income reached ₱17.5 billion, approximately 18% below the comparable period last year.
The weakness was largely associated with its property-development business.
Residential sales reservations declined 25% to ₱77.7 billion.
In contrast, leasing and hospitality revenues increased 8% to ₱37.8 billion.
These businesses include shopping centers, office leasing, hotels and resorts, and other income-generating properties.
Leasing and hospitality also accounted for 55% of the group’s earnings before interest, taxes, depreciation and amortization, compared with 45% from property development.
The results show a significant shift in the earnings mix.
Instead of relying as heavily on selling new residential properties, Ayala Land is increasingly seeking stable income from operating commercial assets.
But the growth of its mall business has not yet fully offset the broader decline in consolidated profit.
Why Ayala Land Is Reinventing Its Flagship Malls
The new store openings form part of a wider effort to modernize major shopping destinations.
Ayala Land began substantial upgrades to Glorietta, Greenbelt, TriNoma and Ayala Center Cebu in 2024.
The improvements focused on retail layouts, customer experiences, public spaces and tenant selection.
Earlier results showed that the reinvention program was beginning to support stronger mall performance.
By the first half of 2026, the shopping-center portfolio’s lease-out rate had reached 90%, while same-mall revenues increased 7% and visitor traffic rose 5%.
WWC ONE MEDIA previously examined the changes in Avida Reopens Its Reimagined Glorietta Showroom—But the Real Change Goes Beyond Property Displays.
The report explored how Ayala Land’s broader mall upgrades are changing the retail environment surrounding established brands and property showrooms.
The company’s strategy reflects a shift toward shopping centers that combine retail, dining, leisure and community experiences.
The challenge is proving that these improvements deliver lasting growth rather than a temporary increase in visits after renovations.
Philippine Mall Developers Are Investing Billions Despite Economic Pressure
Ayala Land’s expansion is part of a broader industry trend.
Major Philippine property developers continue investing in shopping centers even as some consumers become more cautious about discretionary spending.
WWC ONE MEDIA previously reported on the trend in Philippine Mall Giants Bet ₱184 Billion on 46 Projects as Pickleball Replaces Cinemas — But Will Shoppers Keep Coming?.
The report examined a combined pipeline of 46 mall projects among SM Prime Holdings, Ayala Land, Megaworld and Robinsons Land, based on Colliers Philippines research.
The investment pipeline demonstrates how mall operators are placing greater emphasis on redevelopment and new consumer experiences.
Developers increasingly view shopping centers as destinations for dining, entertainment, fitness and social activities.
This model can create multiple sources of income beyond conventional retail rentals.
But it also increases competition for attractive tenants and shoppers’ discretionary spending.
Competition With SM Prime and Megaworld Intensifies
Ayala Land must compete with other major shopping-center operators.
SM Prime continues investing in mall expansion and redevelopment, while Megaworld is seeking to grow its lifestyle-mall network.
WWC ONE MEDIA examined Megaworld’s strategy in Megaworld Appoints Javier Hernandez to Lead Massive Mall Expansion — But Can the Former Ayala Veteran Deliver 1 Million Square Meters by 2030?.
That report discussed Megaworld’s appointment of a former Ayala Land executive to lead a portfolio of 27 shopping destinations and pursue a larger retail footprint.
The competition illustrates why major mall operators are investing heavily in tenant selection and customer experience.
International brands have choices about where to open stores.
A shopping center offering strong foot traffic, convenient access and attractive commercial conditions may have an advantage in securing those tenants.
For Ayala Land, the 250-plus store pipeline is therefore both an opportunity to increase rental income and a sign of continuing competition across the Philippine retail sector.
Ayala Land Is Turning Its Estates Into Lifestyle Destinations
Retail expansion also supports Ayala Land’s broader approach to urban development.
Its properties are often located within mixed-use estates containing residences, offices, hotels, parks and commercial facilities.
Shopping centers can serve the people who live and work in those communities while also attracting visitors from surrounding areas.
The company has been exploring ways to integrate cultural activities and community participation into some of its developments.
WWC ONE MEDIA previously examined that philosophy in Ayala Land Explores People-First Urban Design as Paloma Zobel de Ayala Puts Communities at the Center — But Will Residents Truly Have a Say?.
That report discussed the growing role of arts, shared spaces and community engagement in Ayala Land’s design approach.
These ideas complement its retail strategy.
A shopping center can attract visitors not only through stores but also through restaurants, events and public gathering spaces.
However, community-oriented design does not automatically guarantee stronger rental income.
Developers still need to balance accessibility, operating costs, tenant demand and long-term commercial performance.
Rising Living Costs Could Challenge the Christmas Shopping Rush
Despite stronger mall traffic, Filipino consumers face continuing economic pressure.
Higher prices for food, transportation, electricity and other essentials can reduce the money available for discretionary purchases.
That matters for stores selling apparel, premium footwear, home furnishings and other nonessential items.
A family may still visit a mall for dining or recreation while limiting its spending on merchandise.
Likewise, a new store can attract significant initial attention without immediately generating sustainable sales.
Ayala Land’s visitor growth is encouraging, but foot traffic does not automatically translate into the same percentage increase in tenant revenue.
Retailers will be watching basket sizes, repeat purchases and sales performance throughout the Christmas season.
For mall operators, the real challenge is converting consumer interest into reliable commercial activity.
Ayala Land’s Financial Strategy Shifts Toward Recurring Income
The company’s focus on retail is also connected to its balance-sheet strategy.
Ayala Land spent approximately ₱53.1 billion on capital expenditures during the first nine months of 2026, down 19% year over year.
Leasing accounted for a larger share of that investment.
The company also reduced total debt by approximately ₱8.4 billion during the third quarter.
Management has emphasized the importance of expanding recurring income while remaining disciplined in residential property development.
Ayala Land is also using asset sales and transactions involving its listed real estate investment trust, AREIT, to recycle capital.
These arrangements can provide funds for new projects without relying entirely on additional borrowing.
However, they involve financial tradeoffs, including changes in ownership interests and future income streams.
For shareholders, the success of the strategy will depend on whether the company can increase stable earnings while maintaining financial flexibility.
What the 250 New Stores Could Mean for Jobs and Local Businesses
New retail outlets can create employment opportunities in sales, store operations, food service, logistics and property management.
They may also generate demand for suppliers, contractors and service providers.
For local entrepreneurs, shopping-center expansion can create opportunities to reach customers in new locations.
But the company has not disclosed a verified employment total directly attributable to the 250-plus fourth-quarter store openings.
It would therefore be inaccurate to claim that the program will create a specific number of new jobs without additional evidence.
The economic impact will depend on which stores open, their size, staffing arrangements and actual business performance.
Some openings may represent entirely new businesses, while others may involve relocations or additional branches of existing retailers.
The contribution to local economies will become clearer as the stores begin operating.
What Happens Next for Ayala Land?
Several developments will determine whether the holiday retail strategy delivers on expectations.
The Nuvali expansion is scheduled for November 12.
T:28 Greenbelt is expected to open on December 11.
Ayala Malls Gatewalk in Cebu is scheduled for December 16.
The return of Marks & Spencer to Glorietta is also expected before the end of the year.
Other new stores will open across the company’s retail portfolio.
Management will be watching shopper traffic, occupancy, tenant sales and rental income.
But the results of the upcoming Christmas season will only become fully measurable after the relevant reporting period.
For now, the 250-plus store pipeline is an announced expansion program rather than a confirmed financial turnaround.
The Bigger Question: Can Ayala Land’s Retail Boom Rescue Its Earnings?
Ayala Land is entering the Christmas season with significant momentum across its shopping-center business.
More than 250 store openings are planned for the fourth quarter.
Major international brands are entering or returning to its retail ecosystem.
Visitor traffic has increased.
Existing malls are generating stronger comparable revenue.
And the company’s retail portfolio remains approximately 90% leased.
But the broader financial challenge is substantial.
Ayala Land’s nine-month net income has declined 18%, while residential property sales remain under pressure.
That makes the performance of shopping centers, offices and hotels increasingly important to the company’s strategy.
The incoming stores may help attract customers and strengthen rental demand.
However, higher foot traffic alone will not guarantee enough profit growth to reverse the decline in the property-development business.
The next test will be whether Ayala Land can sustain its mall recovery while controlling expansion costs and keeping its balance sheet healthy.
As Ayala Land prepares more than 250 store openings and welcomes major global brands ahead of Christmas, one question could shape the future of Philippine retail: Will its increasingly powerful mall business deliver the recurring income needed to overcome a difficult property market—or could cautious consumer spending and rising competition undermine the holiday expansion?
