Godrej Properties Q2 net drops 80% to Rs 7.1 crore on Covid-19 impact

 Hit by Covid-19 related issues, Godrej Properties posted an 80 per cent drop in net profit in the second quarter of current financial year ended September 30, at Rs 7.10 crore, from Rs Rs 34.98 crore in corresponding quarter of previous financial year.

The company's total income fell 37 per cent at Rs 250.23 crore in Q2FY21 from Rs 395.11 crore in Q2FY20.

Godrej Properties said its total booking value in Q2FY21 stood at Rs 1,074 crore on a booking volume of 1.73 million sq ft. It sold 1,373 residential units in Q2FY21. In comparison, its booking value was Rs 1,446 crore on a volume of 2.26 million sq ft in Q2FY20.

The firm added that H1 FY21 saw a total booking value of Rs 2,605 crore and volume of 4.24 million sq ft as compared to total booking value of Rs 2,343 crore and volume of 3.61 million sq ft.

Pirojsha Godrej, executive chairman, Godrej Properties, said: "the real estate sector continues to be impacted by the pandemic, but we believe this provides Godrej Properties with a tremendous opportunity to drive market share growth in residential real estate. While our planned launches in the second quarter were postponed due to regulatory approval delays, we were happy to see one of our strongest ever quarters for sales from existing projects. With a robust launch pipeline in the second half of the financial year, we expect strong sales momentum during this period.”

Godrej Properties buys land in Bengaluru for 1.6 mn sq ft housing project

 Godrej Properties has bought a 15 acre parcel of land in Sarjapur area of Bengaluru for an undisclosed sum.

The company plans to build residential apartments in a project area of about 1.6 million sq ft.

It had recently bought a land parcel in Kalyan area near Mumbai as well, while Godrej Fund Management acquired a parcel of land from Century group in Bengaluru for Rs 700 crore recently.

Sarjapur has established itself as one of the most preferred residential locations in Bengaluru with good connectivity to Outer Ring Road and several other key hubs of the city. The site is strategically located and offers well-developed social and civic infrastructure with several schools, hospitals, retail, residential and commercial spaces in close proximity.

Pirojsha Godrej, Executive Chairman, Godrej Properties said, “Bengaluru is a key market for us and this project addition fits well with our strategy of deepening our presence across the country's leading real estate markets.”

Godrej Properties buys 44 acres of land in Haryana's Faridabad from BPTP

Realty firm Godrej Properties on Friday said it has acquired 43.61 acres of land in Faridabad, Haryana, from local builder BPTP to expand its presence in the national capital region (NCR).

The company did not disclose the deal value.

Godrej Properties has entered the Faridabad property market with the acquisition of this land parcel. The company will sell plots in this project.

"Spread across 43.61 acres (17.65 hectares), this land parcel has been acquired from BPTP," the company said in a statement.

This project will offer about 1 million sq ft of plotted development.

This new project in Faridabad is a key micro-market within NCR, said Pirojsha Godrej, Executive Chairman, Godrej Properties, adding "this fits well with our strategy of deepening our presence in key markets across India's leading cities."

This is Godrej Properties first project in Faridabad market and also its first plotted development project within NCR.

Godrej Properties said the company has established itself as one of the market leaders in Gurgaon and Noida and hopes to replicate this success in other parts of NCR.

In February this year,Godrej Properties acquired nearly 27 acre land parcel at Ashok Vihar in the national capital for Rs 1,359 crore to develop luxury housing project.

Godrej Properties purchases 3 acre land in Mumbai for Rs 153 crore

Godrej Properties has bought about 3 acre land parcel in Mumbai from DIC India Ltd for Rs 153 crore.

The company said in a statement that it has "entered into an agreement to purchase land in the upcoming & fast developing micro-market of Chandivali, Mumbai."

Spread across about 3 acres, this project will offer 0.45 million square feet of saleable area primarily comprising residential apartments with a small amount of retail space.

Separately, DIC India said in a regulatory filing that its board has approved the sale of land located at Chandivali.

The consideration of this land parcel is up to Rs 153 crore to be paid in three tranches, the filing added.

Earlier this month, Godrej Properties acquired nearly 27 acre land parcel in the national capital for Rs 1,359 crore to develop luxury housing project.

Godrej Properties adds three new projects in Mumbai, one in Bengaluru

Godrej Properties has added three new projects in Mumbai Metropolitan Region and one in Bengaluru thereby adding around 12.70 million sq. ft. of new development potential

GPL has entered into a joint venture to develop a township project of over 100 acres in the well-established and growing residential market of Navi Mumbai. This project will offer a 7.50 million square feet of development area and will be developed as a residential development with a retail component, it said.

The second project is a joint venture with Nisarg Nirman Developers to develop a land parcel of approximately 6.4 acres in the fast emerging market of Ambernath, MMR. This project will offer 1.1 million square feet of development area and will be developed as a group housing project.

The third project is an outright purchase of land in the rapidly developing city of Thane. Spread across approximately 8 acres, this project will offer approximately 0.10 million square metres (1.10 million square feet) of development area comprising primarily of residential apartments with some retail space.

The fourth project is a joint venture with the promoters of Universal Builders in KIADB Hardware Park, Bagalur, North Bengaluru. This project will be a modern affordable housing project of approximately 0.28 million square metres (3 million square feet) across 22 acres of land. The site is on the main State Highway 104 and has good connectivity to the airport and several key hubs of Bangalore.

Pirojsha Godrej, Executive Chairman, Godrej Properties said, “We are happy to add these four new projects to our development portfolio. This fits well with our strategy of building our presence in the country's leading real estate markets and will add momentum to GPL's plans to grow market share during the period of dislocation the industry is currently facing. We look forward to delivering outstanding projects across these locations."

The company has a total development of 125 million sq ft under construction at present.

Godrej Properties raises Rs 2,100 cr by issuing equity shares to QIP

Godrej Properties on Saturday said it has raised Rs 2,100 crore by issuing equity shares to qualified institutional buyers (QIBs).

The QIP committee of the board of directors at its meeting held on Saturday approved the issue and allotment of over 2.26 crore equity shares to eligible qualified institutional buyers at the issue price of Rs 928, aggregating to Rs 2,100 crore, Godrej Properties said in a regulatory filing.

The issue had opened on June 25 and closed on June 28, 2019.

"Pursuant to the allotment of equity shares in the issue, the paid-up equity share capital of the company stand increased from Rs 114.69 crore consisting of 22.93 crore shares to Rs 126.01 consisting of 25.2 crore shares," it added.

Real estate shares in focus; Godrej Properties hits record high, DLF up 5%

Shares of real estate companies were trading higher for the second straight day on Wednesday with Godrej Properties hitting an all-time high, while DLF was quoting near its 52-week high on the National Stock Exchange (NSE).

At 10:43 am, the Nifty Realty index was the largest gainer among sectoral indices and was up 1.8 per cent, extending its previous day's 2 per cent gain on the NSE. In the past month, the realty index has surged 21 per cent against 8 per cent rise in the benchmark Nifty 50 index.

Godrej Properties hit an all-time high of Rs 936, up 5 per cent on Wednesday, surging 15 per cent in past two trading days, after the Mumbai-based real estate developer recorded its best-ever quarterly sales performance in the January-March quarter (Q4FY19). The stock surpassed its previous high of Rs 917 recorded on May 8, 2018 in intra-day trade.

Godrej Properties sold over 2,900 homes with a total area of approximately 3.75 million square feet and a booking value in excess of Rs 2,100 crore during the quarter. Q4FY19 was the company’s best-ever quarter for bookings, eclipsing its previous best ever residential sales quarter, achieved in Q3 FY19, by approximately 50 per cent.

DLF has rallied 5 per cent to Rs 210, extending its previous day's 2 per cent gain on the NSE. The stock was trading at its highest level since September 18, 2018, quoting close to its 52-week high of Rs 226 hit on April 27, 2018 in intra-day deal.

Last week, DLF had successfully raised Rs 3,173 crore through qualified institutional placement (QIP). Investors like Oppenheimer Global Fund, Society Generale, BNP Paribas, Morgan Stanley France, Copthall Mauritius Investment and Stichting Depositary APG Emerging Markets allotted the shares in the offer.

Analysts at HDFC Securities have ‘buy’ rating on the stock with a target price of Rs 264 per share.

“While the National devco projects are now portraying an uptick in volumes, DLF hopes for a similar turnaround in its ‘Rest of Gurgaon’ projects (inventory of around Rs 3,650 crore), which are still reeling under pressure from inventory oversupply. With Phase V inventory gradually diminishing (around Rs 5,750 crore), DLF is planning for new launches there,” the brokerage firm said in Q3FY19 results review.

Meanwhile, a panel of economists, including former Chief Economic Adviser Arvind Virmani, on Tuesday called for at least 0.25 percentage point rate cut in the RBI's first monetary policy of the current fiscal to be unveiled later this week, the PTI report suggested