Vivid News 24: To build a high-end home project, Godrej Properties spent roughly Rs 750 crore on an 18.6-acre land parcel in Kandivali, Mumbai. Godrej Properties notified about the land purchase on Friday but did not disclose the overall amount of the deal.
According to real estate advisors and market sources, the land sale cost about Rs 750 crore. One of the top real estate firms in the nation is Godrej Properties, a division of the commercial behemoth Godrej Group.
Through building orders for future development pipelines, the firm is actively buying assets outright and entering into Joint Development Agreements (JDAs) with landowners. The upcoming 18.6-acre project will have a developable capacity of around 3.72 million sq. ft., and Godrej Properties expects sale proceeds of around Rs 7,000 crore, according to regulatory filings.
The project will predominantly consist of luxury apartments for rent, with supporting retail areas. The eighth project to be added this fiscal year, according to Godrej Properties, “brings the overall estimated booking value from projects added in FY’23 to roughly Rs 16,500 crore.
“To add projects with a potential booking value of Rs 15,000 crore for the entire year, Godrej Properties provided guidance. In the next years, this project will enable us to dramatically enhance our market share in Mumbai, according to Mohit Malhotra, MD & CEO of Godrej Properties.
Although it has a presence in Chennai, Kolkata, Kochi, Ahmedabad, Chandigarh, and Nagpur as well, the company concentrates on four core markets: the Mumbai Metropolitan Region (MMR), Delhi-NCR, Bengaluru, and Pune.
Compared to the Rs 7,861 crore that was booked in the previous fiscal year, Godrej Properties has set a target of Rs 10,000 crore for sales bookings for 2022–23. In comparison to the same period last year, the company’s sales bookings increased by 60% during the first half of this fiscal year, reaching Rs 4,929 crore.
Godrej Properties Executive Chairman Pirojsha Godrej stated in an interview with PTI last month that the housing demand remained high despite an increase in mortgage interest rates.
On the financial front, Godrej Properties recorded a 54% increase in its combined net profit of Rs 54.96 crore for the quarter ending September 2022 on the back of greater income. Additionally, total revenue increased to Rs 369.20 crore in the second quarter from Rs 334.22 crore in the prior quarter.