Brigade Enterprises, a real estate developer, will launch 10 housing projects in Bengaluru and Chennai this fiscal year, with an anticipated construction cost of Rs 3,000 crore, as it seeks to capitalize on increased demand for residential properties, according to its MD Pavitra Shankar.
"Overall, the last financial year was very good, primarily driven by our residential and hospitality business. Things in retail were also very good and office was quite stable," Pavitra said.
Brigade Enterprises, situated in Bengaluru, reached a record sales bookings of Rs 4,109 crore, primarily for residential buildings with a tiny share of commercial properties, representing a 36% increase over the fiscal year 2021-22.
"I think it's reflective of general demand by customers," she said, adding that the impact of hike in mortgage rates was not visible at ground level.
She added that the business planned to launch 7.54 million square feet of residential projects across 10 new projects and new phases of current projects.
She stated that the expected gross sales value of these new launches is roughly Rs 6,000 crore in terms of building costs and sales value.
According to Pavitra, it will cost roughly Rs 3,000 crore to build up these 7.54 million square feet over the course of the next 4–5 years.
According to her, Brigade Enterprises opened 5.4 million square feet of residential space in the previous fiscal year. According to Pavitra, the company's leasing segment saw a 26% increase in revenues to Rs 752 crore last fiscal from Rs 596 crore the year before. Revenue from commercial assets and the facility management industry make up the leasing revenue.
From 0.9 million square feet in FY22 to 1.2 million square feet in FY23, office leasing increased by 33%.
She claimed that in shopping centers, foot traffic rose by 106% in the most recent fiscal year, and that the company's retail sales consumption surged by 78% annually in FY23.
Compared to 62% of pre-COVID occupancy, Brigade's hospitality portfolio attained a 69 percent occupancy rate. The company achieved a net profit of Rs 222.17 crore for the most recent fiscal year, compared to a net loss of Rs 64.76 crore for the fiscal year 2021–2022.
In the fiscal year 2022–2023, total income increased to Rs 3,563.21 crore from Rs 3,065.51 crore the previous year.
See also:
Brigade Group to create land plots in Bengaluru and Chennai
Brigade Group to develop 2.1 mn sq ft residential township in Chennai
