Parsvnath to build Rs 2,600cr township in Ch'garh

Realty firm Parsvnath Developers today announced an investment of Rs 2,600 crore to build a 123-acre luxury township in Chandigarh in the next three years.

The company, which announced the launch of the project - PRIDEASIA, which it bagged from Chandigarh Housing Board (CHB) last year by outbidding real estate giant DLF, is aiming a revenue of over one billion dollars (about Rs 4,100 crore) from the township.

"This is the single largest project of the company. The revenue from the project would be to the tune of over $1 billion in three financial year, including this year," Pradeep Jain, chairman, Parsvnath told reporters here.

Parsvnath is developing this project in partnership with CHB and would build 1,314 high-end luxury flats at Rs 6,950 per sq ft targeting high networth individuals and corporates from both India and overseas.

Asked about the investment, Jain said the project cost of the township would be about Rs 2,600 crore. The project is expected to be completed in next 30-36 months.

"We have to pay Rs 821 crore and 30 per cent of revenue as a share from residential sales to Chandigarh Housing Board, which is estimated at Rs 900 crore," he said, adding that the remaining Rs 900 crore would go toward the construction cost.

The company has already paid Rs 450 crore to the board, he said, adding that the investment would be met through loans from financial institutions and internal accruals.

The project, which is a part of Rajiv Gandhi Chandigarh Technology Park, has a saleable residential area of 38.5 lakh sq ft and a commercial 2.7 lakh sq ft. The apartments carry a price tag in the range of Rs 52 lakh to Rs 3.8 crore. In the first phase, the company is launching 359 units.