Lodha Grp Forms 4 JVs to Build Realty Projects Worth Rs 3,500 Cr
Macrotech Developers, which sells properties under Lodha brand, has formed four joint ventures in April-June to build projects with a sales value of Rs 3,500 crore and is looking at two such tie-ups every quarter to expand presence in Mumbai and Pune regions. Macrotech Developers Managing Director and Chief Executive Officer Abhishek Lodha is bullish on the growth prospects of the housing segment, notwithstanding the disruption caused by the COVID-19 pandemic and wants to expand presence across the Mumbai Metropolitan Region (MMR) and Pune for future growth. In the MMR market, it has signed two JDAs in western suburbs with sales potential of around Rs 2,100 crore and one in eastern suburbs worth Rs 450 crore. One JDA has been formed in Pune with sales potential of around Rs 900 crore. The company is targeting to form 2 JDAs every quarter on an average. Macrotech Developers has huge land bank in MMR and Pune, but not in all micro-markets of these two major cities in Maharashtra. In MMR, Lodha said, “Our focus on the JDA is to serve all the parts of the Mumbai region and Pune where we are not present. he company has a strong presence is in south central Mumbai, Thane and the extended eastern suburbs. The company is looking to grow in the western suburbs, the eastern suburbs and Navi Mumbai. Similarly, in Pune, we only have one development, Lodha Belmondo; and the rest of the city, we don't have enough presence. So, we are looking to grow in almost all parts of Pune," he said. Macrotech will share revenue with JV partners and is looking at around 20 percent profit margins in JDA projects. On sales bookings, the Macrotech MD was confident of achieving the guidance of Rs 9,000 crore during this fiscal year, despite the second wave of pandemic. It sold properties (largely housing) worth Rs 5,968 crore during the last financial year. To speed up the pace of construction, Company would almost double its investment on construction to Rs 2,700 crore in this fiscal.
Tags : News/Views Lodha Group Joint Venture Build Realty Projects Forms