Prestige Estates plans to invest Rs 7,000 crore to build a township near Ghaziabad.

by Admin, 24 October 2024

Prestige Estates Projects Ltd. intends to grow its operations in the Delhi-NCR real estate sector by investing approximately Rs 7,000 crore to build a township in Ghaziabad.Prestige Estates, situated in Bengaluru, is constructing a business project in the nation's capital's Aerocity. By purchasing three land parcels in Siddharth Vihar, Ghaziabad, Noida, and Delhi, it has also entered the Delhi-NCR housing market.

Prestige Group's chairman and managing director is optimistic about the Delhi-NCR residential market, stating that if the company can regularly buy land parcels, housing sales might reach Rs 10,000 crore per year.

Prestige Estates Projects purchased 62.5 acres in Siddharth Vihar, Indirapuram Extension, Ghaziabad, in March with the intention of establishing a township.

The 'Prestige City' township project is anticipated to be launched this quarter following the acquisition of all required approvals.

"We spent over Rs 450 crore to purchase this land piece. This large format project will involve the development of 10 million square feet of residential space. Retail and educational activities will also play a part," Razack stated.

"He estimated that the project would cost between Rs 6,000 and Rs 7,000 crore."

According to Razack, the land has already been bought, and the money collected from customers against sales bookings would cover the construction costs. According to Razack, the land has already been bought, and the money collected from customers against sales bookings would cover the construction costs. 

In this township project, he said, the company would mainly target end customers and offer flats with two, three, or four bedrooms.

Prestige Estates had stated that it anticipated this project will generate over Rs 10,000 crore in revenue at the time of land acquisition.

When asked about further home developments in the Delhi-NCR area, Razack replied that the company has purchased a one-acre plot of land in the heart of Delhi with the intention of building an ultra-luxury housing complex. The business is awaiting approval. 

Aside from that, he said, the business partnered with a landowner a few years ago on a housing project in Sector 150, Noida.

He expressed hope that the Noida authorities will soon begin granting approvals in Sector 150 Noida, but stated that the Noida project has not yet been started due to the lack of approvals.

According to Razack, the hotel at the commercial project in Delhi's Aerocity will be finished by the end of the following year.

According to him, the Aerocity commercial project's 7 lakh square feet of office space has been fully leased to prestigious corporate clients.

According to Razack, in order to build a pipeline for future development, the company is assessing additional land parcels in Delhi-NCR.

"Delhi-NCR has enormous business possibilities. In Delhi-NCR, we can easily make sales of almost Rs 10,000 crore annually," he stated.

When asked about the difficulties of breaking into a new market, Razack replied that the business researches local consumer preferences and market dynamics before venturing into new areas.

Prestige Group has more than thirty years of experience in the real estate industry and is one of the top developers in the nation.

Operating in over 13 key sites in India, its business model is diversified across a number of industries, including residential, office, retail, hospitality, property management, and warehouses.

By the end of June 2024, the Prestige Group had finished 300 projects totaling 190 million square feet of developable land.

Prestige Estates recorded a record sales booking of Rs 21,040 crore during the fiscal year 2023–2024 and has provided guidance of Rs 24,000 crore for the current fiscal year.

During the July–September quarter, Prestige Estates generated sales of Rs 4,022.6 crore, compared to Rs 7,092.6 crore during the same time last year.

Sales bookings for the company decreased to Rs 7,052.2 crore from April to September compared to Rs 11,007.3 crore during the same period last year.