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Godrej Properties Limited, encouraged by the strong housing demand, purchased 18 land parcels in 2023 for the development of new projects with an estimated sales potential of more than 32,000 crores.
The Mumbai-based Godrej Properties, a part of the behemoth Godrej Group, stated that it will add new land parcels with a sales revenue potential of Rs 15,000 crore.
In order to build a channel for future projects and business growth, Godrej Properties buys property outright and also enters into joint development agreements (JDAs) with property owners.
Godrej Properties added 18 new projects in the financial year 2023, with an estimated saleable area of about 29 million square feet and a total expected booking value of around Rs 32,000 crore.” A total of five new projects were added in the fourth quarter of the previous financial year, with a consolidated sales booking of Rs 5,750 crore.
One of the high-profile transactions in Financial Year 2023, Godrej pay Rs 750 crore to purchase an 18-acre plot of land in Kandivali, Mumbai, with plans to build a luxury residential complex with a potential market value of Rs 7,000 crore.
The executive chairman of Godrej Properties, Pirojsha Godrej, stated that the business would spend approximately Rs 7,500 crore over the following 12 to 18 months on land acquisition and the development of new real estate projects.
Godrej Properties starts entering new markets to buy land parcels while sitting on a significant financial backup. In 2023, it made more direct purchases of land than it did through JDAs with landowners.
Due to the growing demand for residential properties, Godrej Properties sales bookings increased by 56% to Rs 12,232 crore. Pirojsha Godrej credited its excellent portfolio of national projects for the company’s outstanding success in the current year.
The company sold real estate projects worth more than Rs 2,000 crore in each of its four target markets: Bengaluru, Pune, the Mumbai Metropolitan Region (MMR), and Delhi-NCR. In this period, NCR contributed 99% of the total sales bookings for the previous financial year.
According to Pirojsha, the company plans to expand on this and maintain the momentum in Fiscal Year 2024.The net sales volumes increased by 40% to 15.21 million square feet in 2022–2023 from 10.84 million square feet in the previous year. In the financial year 2023, the company completed more than 10 million square feet of projects in five cities.