Listed real estate developer Shriram Properties has signed a joint development agreement for a mixed-used project on a 6-acre land parcel in Pune with a revenue potential of about ₹750 crore, the company said in a statement on October 29.
Shriram Properties did not disclose the identity of the joint development partner.
The company said that the project, set to come up in Pune’s upcoming micro market of Undri, will comprise over 650 apartments alongside retail/commercial spaces with an aggregate saleable area of over 1 million square feet, to be developed over the next four years.
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According to the company statement, the project has aggregate revenue potential of approximately ₹700 to ₹750 crore. The company is targeting to launch the project in the second half of the ongoing financial year, Shriram Properties said.
Investment consistent with the company’s asset light strategy
The company statement highlighted that the project comes with an option for development of an additional 8 acres, predominantly retail and commercial in nature. It added that Shriram Properties is in the final stages of securing development rights to this additional land, expected to be completed shortly.
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“This investment is consistent with our asset light strategy for accelerated growth. Pune is a promising market, and we see significant potential for large, established brands like Shriram,” said Murali Malayappan, Chairman and Managing Director, Shriram Properties Limited.
“We are looking forward to the project launch during this quarter and remain committed to delivering top-notch quality swiftly and ensuring utmost satisfaction for our customers,” Malayappan added.
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According to the company statement, Shriram Properties had a pipeline of 42 projects with 42 million square feet of saleable area, including 26 ongoing projects with 24.3 million square feet of saleable area as of June 30, 2024.
Nearly 75% of ongoing projects are already sold and the company has ‘zero inventory’ in completed projects, the statement said.
