Vascon Engineers eyes Rs 500 crore turnover this fiscal

Vascon Engineers, a leading Pune developer, has set its eyes firmly on reaching the Rs 500 crore mark this fiscal.

R Vasudevan, chairman and managing director, Vascon Engineers, told Business Standard, "We are growing at 20-25 per cent per annum and will cross the Rs 500 crore mark this fiscal. We expect 40 per cent of our revenues to come from from residential projects, 30 per cent from IT companies and shopping malls and 30 per cent from the industrial segment."

Vascon has operations in Goa, Chandigarh, Chennai, Baddi and Kurkumbh. The company is focusing on expanding its geographical footprint in other tier III cities, Vasudevan said.

"We are building shopping malls and residential complexes in Solapur, Kolhapur, Nashik, Nagpur and Aurangabad. With real estate boom in metros and tier II cities slowing, we are focusing on tier III cities, where the action will shift in about three years."

Elaborating on the upcoming projects in Pune, Vasudevan said, "We are building two major residential projects in Kharadi - Forest Hills and Zenith, and one in Balewadi. Then there is a 5-star hotel-Hotel Hyatt International, coming up at Nagar Road, service apartments in Wakad, two hitech residential complexes at Kharadi and Koregaon Park and an IT park in Mahalunge."

Nearly 50 per cent of the company's ongoing projects are based outside Pune. Vasudevan said, "We are developing projects covering an area of 15 million sq ft this year. Of this, only 50 per cent is in Pune."

These projects, he said, will require an investment of Rs 300 crore in 18-24 months.

The Rs 450 crore company had announced a 50:50 joint venture with a Singapore-based company last year. "We are executing a Rs 10 crore project through the joint venture," said Vasudevan.

Also on the cards is the introduction of a new technology for restoring and micro piling. This technology will be introduced in the country for the first time. He said, "Use of this technology will allow strengthening the foundation of existing structures for further construction or for adding basement parking."

Currently, the company is on a drive to create awareness about the technology. "We see ample scope for such technology. By next year, we will have projects implementing these technologies," he added.