Joyville from Shapoorji Pallonji to invest Rs 300 crore to build 750 apartments, Real Estate News, ET RealEstate

NEW DELHI: Joyville, Shapoorji Pallonji’s housing platform, will invest around 300 crore rupees to develop new phases, comprising around 750 apartments, in its three residential projects in Pune, Mumbai and Kolkata to cash in on rising demand .

Joyville, which is a 1,240 crore rupee platform established by business conglomerate Shapoorji Pallonji, ADB, IFC and Actis, has so far launched six housing projects – three in Pune and one each in Mumbai, Kolkata and Gurugram.

In an interview with PTI, Sriram Mahadevan, managing director of Joyville Shapoorji Housing, said the company will soon launch new phases of development in its ongoing housing projects to meet growing demand, driven by positive consumer sentiments.

The company will launch new phases in its three projects: Joyville Hadapsar (East Pune), Joyville Virar (near Mumbai) and Joyville Howrah (near Kolkata)

“We plan to launch more than 750 apartments in the new phases of these three projects,” he said.

Asked about the cost of the project, Mahadevan said the total investment would be around Rs 300 crore.

“We expect total sales achievement of around Rs 400 crore,” he said.

Regarding operational performance, Mahadevan said the company saw an almost three-fold jump in its sales bookings to Rs 450 crore during the first half of this fiscal year.

Joyville had sold properties worth Rs 160 crore during the corresponding period last fiscal year.

The Joyville platform had sold properties worth around Rs 1,100 crore in the last fiscal year, double the previous year, despite the COVID-19 pandemic.

“The real estate market is doing well due to improving market sentiment thanks to the progress of the vaccination program,” Mahadevan said.

In addition, cases of COVID-19 have also dropped significantly, he added.

Sales were good in all four cities where the company operates, but all three projects in Pune performed extremely well.

The company hopes to keep the momentum going.

To the robust growth of its sales bookings, Mahadevan attributed various factors including “positive consumer sentiment, improved affordability of consumers on their higher incomes and stable house prices, low interest rate on home loans and the importance of homeownership during the pandemic “.

Regarding the construction update, he said the company has already delivered over 700 apartments in its projects well ahead of the RERA schedule.

“We plan to deliver over 1,600 apartments over the next year,” Mahadevan said.

In the overall housing market, he said, the share of the middle income segment (Rs 40 lakh to Rs 1 crore), the price range in which Joyville operates, has reached nearly 50%.

The market share of brand developers, both listed and unlisted, rose to 40 percent from 18 percent earlier, due to the trust factor, he observed.

Earlier this year, Joyville announced plans to invest around Rs.400 crore in acquiring 3-4 plots of land in Mumbai and Pune to expand its business.

In addition to this platform, the Shapoorji Pallonji group company Shapoorji Pallonji Real Estate has a development pipeline of over 80 million square feet.

Shapoorji Pallonji Real Estate and Joyville are not listed entities.

Recently, real estate consultant PropTiger said home sales could increase by 15-20% per year in calendar year 2021, in eight major cities, with pent-up demand and low interest rates on loans. real estate.

In calendar year 2020, sales plunged 47% to 1,826,39 units from 347,586 units in 2019, mainly due to the strict national lockdown imposed in March of last year to control the COVID pandemic, did he declare.

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