Bengaluru-based realty firm Prestige Estates Projects will invest about Rs 350 crore to develop a commercial project in Pune, a senior company official said.
The project will be developed in joint venture with a local firm, Prestige Group CEO Venkat K Narayan told PTI.
"We are developing a one million sq ft office complex in Pune. This will be our first project in this city," he said.
Asked about the investment, he said about Rs 350 crore would be required for the construction of the project.
Narayan said the project is expected to be completed in the next three years.
Prestige Group has completed 107 office complexes comprising 33 million sq ft area. As many as 13 projects covering 12 million sq ft area are under construction.
The company earns a rental income of Rs 602.7 crore from its leased office portfolio of nearly 9 million sq ft.
More From This Section
Prestige is also foraying into the Delhi-NCR market and has tied up with local developer Ace Group to launch its first housing project in Noida with an investment of around Rs 500 crore on construction.
Ace Group owns around 15 acre land in Sector 150, Noida, Uttar Pradesh. The total development potential in this upcoming project is estimated at around 2 million sq ft comprising more than 1,000 units.
Prestige achieved sales bookings of over Rs 1,000 crore during the first quarter of this fiscal despite slow demand. It expects momentum to continue in the remaining quarters of this financial year.
Prestige Estates had given a sales booking guidance of Rs 5,000-6,000 crore for 2019-20 financial year.
During the first quarter of this fiscal, the company launched three projects with 6.57 million sq ft of developable area.
It delivered four projects having 10.33 million sq ft area, of which three projects were housing consisting of 3,892 units.
Prestige posted a net profit of Rs 123.9 crore over a revenue of Rs 1,567.4 crore during the April-June quarter.
Across all verticals, the company is currently constructing 48 projects having nearly 50 million sq ft area and 36 projects are in pipeline with 55 million sq ft development potential.