Mumbai-based realtor, Sunil Mantri Group, is planning to invest Rs 500 crore for its upcoming projects in Bangalore. With a positive sentiment returning to the IT sector, the company is planning its projects around IT strongholds in the city expecting demand for mid-segment flats to rise.
Around Rs 250 crore of the investment outlay will be sourced from internal accruals while the rest will be sourced from banks.
The company’s present sale outlay from Bangalore is Rs 200 crore. It is looking at five more projects in Bangalore in the near future. It has developed 15 million sq ft so far.
The company has a landbank of 1,500 acres across 15 cities, of which it has 122 acres in Bangalore. It is in talks with 4-5 local developers to add 200 acres more to its fold through a joint venture and project participation agreements where the partner will bring in the land and the company will invest in construction, marketing and after-sales.
The group is learnt to be in talks with developers to create special purpose vehicles (SPVs) in select projects.
The promoter owns the entire equity of the company at present but hinted that it may look at equity dilution when required.