My Home plans $2 bn investment in commercial project in Hyderabad

A Hyderabad-based premium real estate residential builder, My Home Constructions, has planned to develop India's largest commercial project and invest two billion dollars. Apart from extending the residential footprint, the firm also plans to develop a 25 million sq ft office project in the financial district of Hyderabad. J Shyam Rao, Managing director of My Home, told the media that the whole project would be funded through internal accruals over eight years and that there would be an economic impact on the business, but the market will rebound. The first phase of this large-scale project that covers 8mn million sq ft at the financial district of Hyderabad, the hub of IT and ITES companies, will begin the construction once the lockdown gets lifted. The My Home Group, worth Rs 6000 crore, is a diversified group with interests in education, cement, construction, and other sectors have also lined up 14mn sqft of residential projects in Hyderabad. My Home Constructions closed sales of Rs 3,200 crore revenues and more than 4.5 million sq ft last year. MyHome secured a partnership with RMZ Corp. in 2017 to develop premium commercial office spaces with an investment of over 1 billion dollars in the city. The office space project, spread across 10 million sq ft, is collectively managed and developed by the two firms. New launches in Q1 2021 have reduced marginally by 17% q-o-q in Hyderabad. However, the city still recorded a substantial volume of quarterly launches, which continue to stay at levels higher than those witnessed in the first three quarters of 2020. Western suburbs have continued to account for a majority share in new launches, with new launches concentrated in the Nallagandla, Kondapur and Miyapur regions. The positive absorption seen in the sales in H2 2020 continued to stay in the first quarter of this year. The sales in the residential units reported a growth of 4%. But the volume of the sales in the city is yet to reach the peak levels seen in 2019. Homebuyers have expressed their interest in the recently launched projects by prominent developers as the city has limited inventory in the ready-to-move-in category. Image Source Also read: Hyderabad emerges as real estate investment hub for NRIs Also read: Private equity investment in Indian real estate at $2.7 bn in 2021