DLF hits `affordable house' track with Rs15,000-crore plans
15 Dec 2008
Buoyed by the reduction in home loan rates for amounts up to Rs20 lakh and an expected rise in sales in mid-income houses, real estate major DLF has lined up projects worth Rs15,000 crore over the next three years.
Public sector banks have announced a cap in home-loan interest rates of 9.25 per cent for Rs5-20 lakh and 8.5 per cent for loans of up to Rs5 lakh.
DLF plans to develop various residential projects across the country in the Rs15-Rs40 lakh range, targeting project sizes of Rs5,000 crore an year over the next three years.
"Mid-income homes will be our focus area and will witness significant growth in the coming quarters," reports quoted DLF Home Developers vice president A Harikesh as saying.
Harikesh expects internal accruals, advances against sales and capital raised through private equity to take care of the planned investment. DLF had raised Rs1,675 crore as private equity in eight projects in November 2007.
DLF subsidiary, DLF Home Developers, would build about 40,000 housing units in the middle income category of sizes varying between 1,000 sq ft and 1,800 sq ft.
The company, which sold over 7,000 flats so far this year despite slowdown in housing demand for the last six months, expects good response to the middle income housing scheme
DLF has launched mid-income housing projects in Bangalore, Gurgaon, Hyderabad, Indore, Kochi, Kolkata and Pune.
