SM Prime Holdings, Inc., is expected to break ground for its first mall in Puerto Princesa this week.

The Puerto Princesa mall is part of a number of malls the company looks to starts construction within the year that will be funded by the proceeds of a recent P25-billion bond offering.

SM Prime said it is disbursing in the fourth quarter of the year proceeds from the bond offer for the construction of malls in Quezon City, Caloocan City, Tacaloban City, Dagupan City, and Cavite City, on top of Puerto Princesa City, that are scheduled to  open either in the second quarter or third quarter of 2016.

SM Prime recently successfully issued its bond offer carrying tenors of five years and six months, seven years, and 10 years.

The bond offer was underwritten by investment banks BDO Capital and Investments Corp., First Metro Investments Corp., China Banking Corp. and BPI Capital Corp. to arrange the deal.

Apart from the above mentioned malls, the proceeds of the bond,  listed with the Philippine Dealing and Exchange Corp., will be used for the SM Prime’s capital expenditures, particularly for its second Park Inn by Radisson that will rise in SM Clark in Pampanga, set to be completed by the end of July, for the project. The 150 room hotel is set to open by the last quarter of next year.

Apart from the Park Inn by Radisson project, the proceeds will also be used to finance capital expenditures for the expansion of malls, in particular — SM City Seaside Cebu, SM City Angono, SM Butuan, SM Cagayan de Oro, SM City San Mate, SM City Bacolod, SM City Lipa, SM City Sta. Rosa, The Block in SM City North EDSA.

It will also be used to construction of office spaces Five and Three E-com Center buildings, and Makati Avenue Commercial Building.

It will also be used to finance the construction of the 347-room Conrad Hotel Manila in the Mall of Asia Complex, also set to open next year, and the third and fourth Park Inn by Radisson this time in Mall of Asia and in Iloilo whose constructions are scheduled to start this year.