The company expects to generate a free sale component of around 2.5 lakh sq ft on carpet area from the development and redevelopment of this land parcel, as per the extent provisions of Development Control & Promotion Regulations for Greater Mumbai, 2023.
The said plot is adjoining a property already being redeveloped by the company in a joint venture. Currently, there are structures on the said plot and these are tenanted by Municipal Corporation of Greater Mumbai (MCGM) in favour of various persons.
In May, the developer had entered into an agreement with NRB Bearings to acquire the latter’s around 6.4-acre land parcel in Thane’s Pokhran Road 2 along with structures thereon. This land parcel is contiguous to the existing 68-acre plot owned by the company.
Prior to that, the developer had acquired air-conditioning and commercial refrigeration company Blue Star India’s 9-acre land parcel in the same vicinity of Thane for nearly Rs 200 crore.
The company reported net profit of over Rs 321 crore for the quarter ended June on the back of revenue worth over Rs 933.56 crore.Transactions for land parcels have started to gather pace again with many deals including outright acquisitions and joint ventures in key property markets of Mumbai, Pune, Chennai, Hyderabad and Bengaluru either being closed or expected to close soon.The ongoing upcycle in the housing market segment is prompting more real estate developers to opt and propose residential developments on their land parcels that are already part of their land bank or are being acquired now.
Most land parcels acquired by the developers across the country in the last 18-24 months have been added to their residential development pipeline and is an indication of augmented capex utilisation aimed at clocking higher sales in the upcoming quarters.