Our current development plan is for 20 acre
Real Estate

Our current development plan is for 20 acre

Textile major Raymond has announced its entry into the real-estate sector with Raymond Realty. It will be launching its first residential project in Thane, spread over 20 acre, to monetise the company's land —Raymond owns nearly 140 acre in the prime Thane locality, which earlier housed the industry. K Mukund Raj, CEO - Real Estate, Raymond, shares more on the company’s real-estate plans and the industry with DIKSHA JAWLE.

What will be your procurement requirement in terms of construction equipment and materials for Raymond’s first upcoming real-estate project?

The first phase of the project is for the development of Aspirational District, which constitutes smart two-BHK homes in 10 towers of 42 floors each, aggregating to a total of 3,000 homes. This district is being developed on a-14-acre land parcel and within this nearly 5 acre will be retained as a central green space. The construction is proposed to be outsourced to a contracting company. Accordingly, Raymond will not be undertaking any major direct procurement. 

Please brief us on the technology you are planning to use in construction.

The residential towers are high-rise buildings of 42 floors each. To expedite construction as well as reduce dependence on labour, aluminium formwork system will be employed for construction. The entire construction will be mechanised by deploying plants and machinery such as tower cranes, hoists, placer booms, etc.

What is the investment in the development of the project? Are all approvals and clearances in place? 

Raymond will make an estimated investment of Rs 2.50 billion for the development of its first residential project. All statutory approvals are in place and the first three towers have received RERA registration. The three-towers are targeted to be complete within 5 years.

What challenges do you foresee and what is your strategy to overcome them? 

Like any other industry, challenges to a new entrant are obvious. Further, the huge supply of residential space in the Thane micro-market adds to the choices for the customer. However, our project, owing to its location, ecosystem and the product, is being received positively by end-customers and we expect to achieve our target business plans. 

What is the company’s current land bank and how do you plan to utilise it?

Currently, our development plans are restricted to the 14-acre land parcel. Towards the end of the financial year, we propose to develop a premium district on a 3-acre land parcel. In addition, 3 acre will be utilised for arterial roads and infrastructure. Accordingly, our current development plan is for 20 acre. 

What are your views on cutting down GST rates to 5 per cent on under-construction properties? 

The reduction of GST rates does benefit the end-customer. However, as the input tax credit has been simultaneously withdrawn, it adds to the cost burden for developers.

Where do you see the company five years down the line?

Future development plans will be made after establishing and streamlining the current phases of development.

Textile major Raymond has announced its entry into the real-estate sector with Raymond Realty. It will be launching its first residential project in Thane, spread over 20 acre, to monetise the company's land —Raymond owns nearly 140 acre in the prime Thane locality, which earlier housed the industry. K Mukund Raj, CEO - Real Estate, Raymond, shares more on the company’s real-estate plans and the industry with DIKSHA JAWLE.What will be your procurement requirement in terms of construction equipment and materials for Raymond’s first upcoming real-estate project?The first phase of the project is for the development of Aspirational District, which constitutes smart two-BHK homes in 10 towers of 42 floors each, aggregating to a total of 3,000 homes. This district is being developed on a-14-acre land parcel and within this nearly 5 acre will be retained as a central green space. The construction is proposed to be outsourced to a contracting company. Accordingly, Raymond will not be undertaking any major direct procurement. Please brief us on the technology you are planning to use in construction.The residential towers are high-rise buildings of 42 floors each. To expedite construction as well as reduce dependence on labour, aluminium formwork system will be employed for construction. The entire construction will be mechanised by deploying plants and machinery such as tower cranes, hoists, placer booms, etc.What is the investment in the development of the project? Are all approvals and clearances in place? Raymond will make an estimated investment of Rs 2.50 billion for the development of its first residential project. All statutory approvals are in place and the first three towers have received RERA registration. The three-towers are targeted to be complete within 5 years.What challenges do you foresee and what is your strategy to overcome them? Like any other industry, challenges to a new entrant are obvious. Further, the huge supply of residential space in the Thane micro-market adds to the choices for the customer. However, our project, owing to its location, ecosystem and the product, is being received positively by end-customers and we expect to achieve our target business plans. What is the company’s current land bank and how do you plan to utilise it?Currently, our development plans are restricted to the 14-acre land parcel. Towards the end of the financial year, we propose to develop a premium district on a 3-acre land parcel. In addition, 3 acre will be utilised for arterial roads and infrastructure. Accordingly, our current development plan is for 20 acre. What are your views on cutting down GST rates to 5 per cent on under-construction properties? The reduction of GST rates does benefit the end-customer. However, as the input tax credit has been simultaneously withdrawn, it adds to the cost burden for developers.Where do you see the company five years down the line?Future development plans will be made after establishing and streamlining the current phases of development.

Next Story
Infrastructure Urban

Choice Consultancy Wins Rs 634.7 Million Public Sector Projects

Choice Consultancy Services Pvt Ltd, the public sector advisory arm of Choice International Ltd, has secured two major project developments totalling approximately Rs 634.7 million (inclusive of GST), further solidifying its role in public sector transformation and infrastructure planning across India.The company has received a work order worth Rs 528 million from the Maharashtra Institution for Transformation (MITRA), under the Government of Maharashtra. This assignment, part of the World Bank-backed MahaSTRIDE Programme, involves setting up District Strategic Units (DSUs) across the Chhatrap..

Next Story
Infrastructure Urban

Shalibhadra Finance FY25 Profit Jumps 34% Year-on-Year

Shalibhadra Finance Limited, a leading two-wheeler financing company with a deep presence in Gujarat, Maharashtra, and Madhya Pradesh, has reported a 34 per cent year-on-year rise in net profit for FY25, reaching Rs 160 million. The company’s performance was supported by disciplined lending, cost efficiency, and robust asset quality.Financial Highlights – FY25:Net Profit: Rose 34 per cent year-on-year to Rs 160 million. Q4 FY25 profit also increased by 34 per cent to Rs 44 million.Net Interest Income (NII): Up 13 per cent YoY to Rs 295.8 million for the full year and 16 per cent to Rs 84.3..

Next Story
Infrastructure Transport

Court Orders Uttarakhand PWD to Pay Rs 172 Million to MBL

The Commercial Court in Dehradun, Uttarakhand, has directed the Public Works Department (PWD), Government of Uttarakhand, to pay Rs 172.4 million to MBL Infrastructure Ltd. in accordance with an arbitration award dated 23 March 2024. The case pertains to a completed road project under Package No. 5 for the improvement and strengthening of state roads in Nainital and Udham Singh Nagar districts.The arbitration tribunal had issued a unanimous award in favour of MBL Infrastructure Ltd., granting a payment of Rs 172.4 million, which includes interest accrued up to the date of the award. Additional..

Advertisement

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Advertisement

Talk to us?