Patel Engineering Limited, a Mumbai-based construction company specialising in hydro-power generation and irrigation, will be investing Rs 75 crore to develop two township projects in Hyderabad.
The publicly-listed company, through its wholly-owned real estate development subsidiary Patel Realty India Limited (PRIL), is planning to develop a 400-unit residential apartments project christened Smondo (Smart Condominiums) on four acre with an investment of Rs 15 crore (excluding land cost), and a 1,000-apartment, yet-to-be-named project on 10 acre with an outlay of Rs 60 crore (excluding land cost) here.
“Targeting the young working population in Hyderabad, especially IT professional, we are planning to start construction work on the first project in January 2013 and complete it in two years from then. Work on the second project will commence in June next year and will be ready for occupation in three to four years,” PRIL managing director, Pravin Malkani, told Business Standard.
Stating that the Hyderabad property market was buoyant and there existed a great demand for quality housing despite the political uncertainty (Telangana), he said there was a clear gap in the market in terms of available formats of houses in relation to purchasing capacity and need for space.
“Buyers in Hyderabad are becoming aesthetically aware and more cosmopolitan and this attribute plays a crucial role in their selection of homes (2 BHK, 2.5 BHK and 3 BHK formats) for purchase,” Malkani said.
Patel Engineering, which reported revenues of Rs 2,549.64 crore in FY12, has a total land bank of over 1,250 acre across India, including 400 acre of urban land in and around Hyderabad.
The company also has under its development portfolio three more integrated townships projects in Bangalore, Noida and Mauritius, together entailing an investment of around Rs 400 crore.
According to Malkani, while the 120-acre Neotown Bangalore project comprising 2,000 apartments is under construction, which will be ready for delivery in six to eight years, the 35-acre Noida project (3,000 units) and the 65-acre Mauritius project are expected to be completed in the next four to six years.
