Suraj Estate Developers Limited (the Company) has acquired a plot in G/North ward, Dadar (West), for an initial acquisition consideration of Rs 85.3 mn and a total acquisition cost of about Rs 180 mn on the basis of acquisition cost plus stamp duty market value and related stamp duty. The site is in a well established micro-market in South-Central Mumbai characterised by strong demand fundamentals, connectivity and proximity to commercial districts including Lower Parel, Worli and Bandra Kurla Complex. The Company has indicated that the land will be redeveloped to augment its project pipeline in the locality.

The redevelopment is planned to provide a sale carpet area of approximately 0.018 mn sq ft, equivalent to about 18,000 sq ft, and is intended for the value luxury and luxury residential segments targeted by the Company. The proposed project has an estimated gross development value of about Rs 1 bn and is expected to strengthen near-to-medium term revenue visibility. Company management has characterised the acquisition as a strategic addition that consolidates its presence in its core operating market.

Suraj Estate Developers has been focused on redevelopment of tenanted properties within the South-Central region and applies tenant settlement and development agreements or outright purchases to unlock value of land parcels. The Company has completed 45 projects since incorporation and reports a developed area of 1.609 mn sq ft in the South-Central Mumbai region. It is currently executing 13 ongoing projects with a developable area of 2.354 mn sq ft and saleable RERA carpet area of 0.755 mn sq ft.

The pipeline also comprises 18 upcoming projects with an estimated sale carpet area of 1.212 mn sq ft, which together with the Dadar acquisition is expected to broaden its portfolio. The Company has stated that it remains committed to disciplined growth, selective acquisitions and efficient execution while evaluating additional opportunities aligned with its strategic vision. The release included a standard safe harbour noting that forward looking statements are subject to risks and uncertainties.