B K Birla group firm, Birla Estates, will invest Rs 550 crore to develop about 700 high-end independent floors in Gurugram as it looks to enter the NCR realty market, a top executive of the company said.
The company had tied up with Delhi-based realtor Anant Raj to develop residential township in a 73-acre land parcel in Gurgaon.
The project is being developed under Avarna Projects LLP, a joint venture between Birla Estates Pvt. Ltd. and Anant Raj Limited.
The land belongs to Anant Raj but Birla group will pay Rs 400 crore for the land apart from investing in township development.
The wholly owned subsidiary of Century Textiles and Industries Limited, Birla Estates is in talks with more land owners to develop residential projects in a joint venture in NCR.
“We are expecting a revenue of Rs 4,000 crore from this project and are in talks with other parties to develop more such projects in NCR,” said KT Jithendran, CEO, Birla Estates Pvt Ltd.
In Haryana, a developer can construct four floors in a low rise society and sell it independently.
In the first phase, the company is developing independent floors in 47-acres, and in the remaining space, it is expected to develop high rises.
In the first round, it will develop 300 independent floors and then another 400.
With a starting price of Rs 1.36 crore, the group is expecting revenue of Rs 2000-2200 crore from the first phase.
Birla estates has projects in Bengaluru and Mumbai (Kalyan), and is entering the NCR market with this project.
“The pandemic has also played a unique role in infusing a strong sentiment regarding the value of owning a house within today’s new age homebuyer who is constantly looking for quality, secure and de-cluttered living. Our upcoming township in Gurgaon perfectly meets these parameters and will bridge the gap between how residents live and how they would aspire to live,” added Jithendran.
According to a report by international property consultant JLL, developer floors in Gurgaon have seen a surge in demand in the last two quarters, since the floors offer quick and quality construction, are limited to four liveable floors per plot and have reserved parking at the stilt level besides providing basic amenities like power back up.
Birla Estates has already recorded Rs 100 crore worth of bookings out of the estimated Rs 600 crore.
The first phase of the 47-acre township is spread across 3 pockets and offers 300 units of 2, 3, and 4 BHK premium floor residences.