Shapoorji Pallonji plans to launch new residential projects in FY19

Shapoorji Pallonji plans to launch new residential projects in FY19

Mumbai News

India’s leading real estate developer Shapoorji Pallonji has announced the launch of nearly 35 million sq. ft. of real estate projects across their existing markets for the current financial year. According to a senior company official, these residential projects will be developed in major cities like Mumbai, Delhi- NCR, Bengaluru, Kolkata, Hyderabad, and Pune.

Elaborating about the new plan of the company, Group CEO Venkatesh Gopalakrishnan said, “The Company plans to launch three projects in Delhi- NCR this fiscal, which will mark its foray into the NCR market. We have been looking at the NCR market since 6-7 years but were able to buy land only in the last one year as now we are seeing the prices softening. We saw this as an opportunity to build a product and sell it at a reasonable and affordable price.”

As per the release, Shapoorji Pallonji will develop three residential projects in Gurgaon and Noida. The first will be a mid-income project under the Joyville brand and will be developed on nearly 1.2 million sq ft in the northern Peripheral Road in Gurgaon.

The second one will also be developed at the same location in the range of Rs 90 lakh and above and the third project will be launching in Noida over the next 2-3 months. In total, over 6 million sq ft of development to be launched this year in Delhi-NCR in the current financial year while some more projects will be introduced in the near future.

Speaking about the company’s product mix in the residential segment, Gopalakrishnan said, it has nearly 40 percent of the residential project portfolio under the joint venture model, while 20 percent under the development management (DM) and 10 percent in joint development.

“We see immense opportunity for the DM model in Mumbai and Pune because for us location is very important in such developments because we are putting our brand team, marketing, and construction mind behind it,” he added.

Currently, the group has three projects under the Joyville brand each in Mumbai, Pune, and Kolkata. On the other hand, they are planning to add more than 12 projects in the Bangalore real estate market over the next few years.

Overall, Shapoorji Pallonji has a total of 90 million sq. ft. of real estate development lined up for the next three years. Out of which, 35 million sq. ft. will be launched this year, an equal number of projects will be launched next year and the rest will be launched in the third year.