 "Real estate")
Despite a prolonged slowdown in real estate, SD Corp, a joint venture company of Shapoorji Pallonji Group, is looking to grow its residential sales volumes by four to five times and treble its sales value this financial year.
The company, which is into slum and society redevelopment, sold over 100 apartments in FY 2016 and is looking to sell between 400 and 500 apartments this financial year, said its chief executive Rajendra Joshi in an interaction with Business Standard. SD Corp is the developer of The Imperial in Tardeo in South Mumbai, considered the tallest residential towers in the city.
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“With our projects in the pipeline, uniquely designed products and innovative ways to reach out to the right target audience, our company aims to substantially increase the sales with this three-pronged approach,” Joshi said.
Three projects of SD Corp in Tardeo, Kandivali and Andheri are in various stages of development and the company is looking to launch a couple of more projects this year, Joshi said. “We study which ticket sizes are selling fastest in a locality and design product accordingly. We study if a locality can take Rs 1.5 crore or Rs 20 crore or not."
While its apartments in Kandivali are priced from Rs 1.5 crore, in the new tower in Imperial brand, they are priced between Rs 22 crore and Rs 25 crore. “We launched only two and three BHKs in Kandivali,” he added.
Shapoorji Pallonji also has a real estate arm, Shapoorji Pallonji Real Estate, which recently launched a new brand under affordable housing and said it will build 20,000 homes. SP Real Estate also builds and manages IT parks in the country.
According to real estate portal PropTiger, sales across nine cities (Mumbai, Pune, Noida, Gurgaon, Bengaluru, Chennai, Hyderabad, Kolkata and Ahmedabad) decreased by four per cent, during the fourth quarter of FY 2016, compared to the third quarter. About 51,000 units were sold in that period compared to 53,000 in the previous quarter. Although sales did decrease, this was the lowest fall in the past five quarters.
As per the PropTiger report, launches during the fourth quarter declined 14 per cent over the previous quarter, and 51 per cent compared to the same period last year.
