Mahin­dra Lifes­pace to launch hous­ing projects

Hindustan Times (Chandigarh) - Estates - - NEWS - Bidya Sa­pam bidya.s@htlive.com

Af­ter a dull year, real es­tate firm Mahin­dra Lifes­pace De­vel­op­ers Ltd plans to ramp up its port­fo­lio through joint ven­tures and part­ner­ships and has lined up five new hous­ing projects by March 2019, said a top com­pany ex­ec­u­tive.

The com­pany plans to launch five new res­i­den­tial projects with around 2 mil­lion sq. ft of de­vel­op­ment in Mum­bai, Pu ne and Chenn a it his fi­nan­cial year, said Anita Ar­jun­das, man­ag­ing di­rec­tor of Mahin­dra Lifes­pace.

Reg­u­la­tory changes and de­lays in ap­provals had sig­nif­i­cantly slowed down new launches for sev­eral de­vel­op­ers in In­dia. Mum­bai-based builders faced an ad­di­tional hur­dle af­ter the Bom­bay high court baned new con­struc­tion ac­tiv­i­ties in Fe­bru­ary 2016.

The court or­der came as dump­ing grounds at Deonar and Mu­lund in Mum­bai had ex­ceeded the per­mis­si­ble lim­its.

Sub­se­quently, in March 2018, the Supreme Court had lifted the ban. “Launches should pick up on an in­dus­try level. There was a con­tin­u­ing neg­a­tive trend in the last few years. RERA (Real Es­tate Reg­u­la­tory and De­vel­op­ment Act) was one is­sue as many peo­ple were fo­cused on ex­e­cut­ing and com­plet­ing on­go­ing projects,” said Ar­jun­das.

The three projects that were sup­posed to be launched in Mum­bai were im­pacted be­cause of the court ban on new con-

REG­U­LA­TORY CHANGES AND DE­LAYS IN AP­PROVALS HAD SLOWED DOWN NEW LAUNCHES FOR SEV­ERAL DE­VEL­OP­ERS IN IN­DIA

struc­tion, she said adding that “as those (dump­ing ground and reg­u­la­tory) is­sues get re­solved, those projects would soon get launched.”

Un­like in the past, the in­creas­ing trend of con­sol­i­da­tion within the real es­tate mar­ket post the im­ple­men­ta­tion of RERA has of­fered the com­pany op­por­tu­ni­ties to form part­ner­ships and ex­pand its busi­ness in its four pri­or­ity mar­kets, Mum- bai, Pune, Ben­galuru and the Na­tional Cap­i­tal Re­gion (NCR), said Ar­jun­das.

“RERA cre­ated an op­por­tu­nity to ex­pand be­cause it lim­ited sup­ply in the mar­ket. Sev­eral de­vel­op­ers and land own­ers are sell­ing their land parcels or look­ing for a part­ner to cre­ate a new rev­enue stream for them. So it does open larger op­por­tu­ni­ties to ac­cess more land parcels and grow,” she added.

Mahin­dra Lifes­pace has signed mem­o­ran­dums of un­der­stand­ing (MoUs) for about 2.75 mil­lion square feet of de­vel­op­ment that are in very early stages of dili­gence, Ar­jun­das had said in an in­vestor call on 27 April. Three of the trans­ac­tions are in ad­vanced stages of dis­cus­sions. “We aim to close at least two of them this quar­ter and the rest in the next quar­ter. If you look at these five( new launches), about three are from landown­ers who were ear­lier into de­vel­op­ment them­selves.”

Ear­lier this year, Mahin­dra Lifes­pace had launched an af­ford­able hous­ing pro­ject in part­ner­ship with HDFC Cap­i­tal Ad­vi­sors Ltd, un­der the brand ‘Hap­pinest’ at Pal­ghar on the out­skirts of Mum­bai.

This is the first time that the com­pany en­tered into low-cost hous­ing where the units were priced be­tween Rs8 lakh and Rs20 lakh.

“We would like to see greater num­ber of projects in each of our pri­or­ity mar­kets. We want to ex­pand sig­nif­i­cantly deeper into these mar­kets,” she said.

MINT/FILE

The com­pany plans to launch five new res­i­den­tial projects in Mum­bai.

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