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Skylark Mansions set to raise Rs 250 cr to fund expansion

The Bengaluru-based property developer plans to develop 25 million sq ft residential space in Bengaluru, Mysuru, Chennai and Pune this year

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Mahesh Kulkarni Bengaluru
Last Updated : Apr 11 2015 | 6:33 PM IST
Bengaluru-based property developer Skylark Mansions Pvt Ltd is looking at raising around Rs 250 crore to fund its expansion. The company, which recently raised Rs 100 crore equity from Piramal Fund Management, the real estate private equity arm of Piramal Group, is in talks with several private equity firms including Piramal to raise funds for its upcoming luxury housing projects.

"We are currently developing 5 million square feet of space in Bengaluru and planning to start construction for another 20 million sq ft during this year. We are looking for funds at the SPV (special purpose vehicle) level," Saleem Sheriff, Chairman and Managing Director, Skylark Mansions Pvt Ltd said.

The company is talking to existing investor Piramal as well as others like HDFC, ICICI Venture for project finance as well as private equity firms at the SPV level, he said.

Last year, Skylark also raised Rs 50 crore from Piramal through an NCD issue and construction finance from ICICI Bank.

The 23-year old real estate developer, which has been presently only in Bengaluru till now, is also aggressively looking at expanding its operations into Tier-II cities in Karnataka, Chennai and Pune outside the state. The company is currently doing due diligence to acquire around 12 acres plot in Chennai.

Skylark is currently sitting on a land bank of 65 acres in Bengaluru and another 80 acres in Mysuru. It is also looking for land in Mangaluru and other Tier-II cities in Karnataka. It also plans to enter the residential property market in Pune.

"We are now in need of funds to buy land in new places and construction finance for new projects on Hosur Road and Hennur in Bengaluru," Sheriff said.

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He said, as part of its silver jubilee celebration in 2017, the company aims to develop 25 million square feet residential space. It plans to enter the commercial buildings like malls, hospitality among others in two years from now.

Skylark is launching a slew of super luxury and uber-luxury residential projects on Church Street and Richmond Road in the central business district of Bengaluru. It has also started a villa-cum-apartment project on Old Madras Road.

For the year ended March 2015, Skylark Mansions reported total sales of Rs 150 crore and expects three times growth in 2015-16.

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First Published: Apr 11 2015 | 6:08 PM IST

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