Alliance Group plans to launch projects spanning about 25 million sq ft across Bengaluru, Chennai and Hyderabad, at an investment of Rs 8,600 crore, in the current fiscal.
The company reported sales of Rs 2,290 crore for 2021-22 and sales of 3,686 homes, largely driven by the residential segment.
“2021-22 was a remarkable year in our journey. In spite of the Covid-19 pandemic, we were able to cross many major milestones in the industry,” said Manoj Namburu, chairman, Alliance Group and Urbanrise.
The firm is also in talks with institutional funds for a warehousing platform space, apart from expanding its footprint in the commercial sector.
“Financial discipline is our organisation’s DNA and this is the strength we use to leverage large-scale investments in real estate across South India. It is this financial discipline that draws and attracts world’s best financial institutions to invest in our organisation,” said Namburu.
The developer has investment from Kotak Realty Fund totalling about Rs 800 crore across five projects in Chennai and Hyderabad.
The fund first invested in Alliance Group’s residential project in 2016 from its $400 million sovereign fund raised from Abu Dhabi Investment Authority in 2014.
The developer has 20,000 homes under various stages of construction and plans to build more than 50,000 units over the next three years.
The first quarter of 2022 saw a four-year high in sales, with 78,627 residential units sold despite the third Covid-19 wave, according to market assessment report by Knight Frank, India’s premier real estate consultancy.
“Low interest rates, best affordability levels, healthy wage growth and the waning pandemic, with lower risk of further disruptions, have created a favourable environment for homebuyers, who have rediscovered the need for new and better housing,” said Shishir Baijal, chairman, Knight Frank India.
Mumbai led the charts with 21,548 units sold during the quarter. Launches kept pace with sales, growing 3% year-on-year to 78,000 units. Prices rose across markets in the range of 1-7% year-on-year, said the report.