Shriram Properties (SPL), a real estate developer based in Bengaluru, has announced plans to develop 5.4 million square feet (msf) of property in the fiscal year 2023-24, with an estimated sales value of Rs 28 billion. SPL aims to pre-sell 4.8 msf of this space, amounting to approximately Rs 23.3 billion. The company intends to launch a total of 11 projects across Bengaluru, Chennai, and Kolkata, including three stuck assets in Bengaluru, according to SPL's Managing Director, M Murali, in an interview with media.

Murali stated, "Last year, we provided guidance of presales volume ranging from 4.25 to 4.5 msf in FY22-23, and we achieved 4.02 msf. For the current year, we have set a confident target of 4.8 msf."

SPL witnessed a significant increase in its profit after tax (PAT) from Rs 180 million in FY21-22 to Rs 680 million in FY22-23. The company plans to boost its construction expenditure from Rs 5 billion in FY21-22 to Rs 7.53 billion in FY23-24.

During this fiscal year, approximately 67 per cent of the projects will be developed in collaboration with other developers or landowners.

The first two project launches will occur in Bengaluru during the first quarter. Bengaluru accounted for around 62 per cent of SPL's launches last year, while Chennai and Kolkata accounted for 22 per cent and 16 per cent, respectively.

Four projects with a development potential of 2.9 msf will be launched in Chennai, while six projects with a development potential of 1.6 msf will be launched in Bengaluru. Additionally, one project is planned for launch in Kolkata.

SPL will explore opportunities in the northern, southern, and eastern parts of Bengaluru, whereas in Chennai, the new launches will be concentrated in the southern, south-eastern, and western areas of the city. In Kolkata, SPL's focus will be on Uttarpara, located to the north of the city.

Murali mentioned, "The average rate will be about Rs 6,000 per square foot for 1,200-1,300 sq ft apartments. Approximately 57 per cent of the launches will be in the mid-market segment, 21 per cent in plotted development, 8 per cent in the luxury segment, and the remaining in the affordable range."

The company also plans to enter the residential real estate market in Pune by the end of this financial year.

In Bengaluru, construction is currently underway for a villament project in Sarjapura. With a development potential of 600,000 square feet, phase 1 of the project is expected to be completed by March 2024. Each unit in the project will be priced at Rs 1.6-1.7 crore.