Godrej Properties to launch new projects in four cities

17 May 2010

Real estate firm Godrej Properties Ltd plans to launch new projects across four cities in FY11. The company will develop 15 million square feet of space to take its presence to 10 cities in the country, according to a top company official.

"The new projects would be launched in Mangalore, Chennai, Kochi and Hyderabad. These would be residential properties, including affordable and mid-income," chairman Adi Godrej told reporters in Mumbai today.

Godrej Properties managing director Milind Korde said Tier II cities in the country are growing and the company expects a good response to its offerings there.

With a net debt of Rs450 crore as on 31 March, the company has 54-million square feet under development on an ongoing basis of which 72 per cent would be residential.

Godrej added that the company was open to further dilution of stake over the next two years, 'just as an option' in case it needed to raise funds for projects.

Meanwhile, for the quarter ended March, the company's net profit tripled to Rs54.46 crore.

Godrej attributed this to considerable momentum in sales and recovery in markets like Mumbai and Bangalore with the recovery being witnessed mainly in the mid-income sector.

In FY10, the company delivered around 3.9-million square feet, as against 3.7 million square feet delivered from inception till FY09.