Hiranandani Group Plans Rs 3,000 Crore Investment, Foresees 25% Residential Business Growth
The renowned Mumbai-based real estate giant, Hiranandani Group, has set its sights on an ambitious expansion plan, earmarking approximately Rs 3,000 crore for project expansion in the fiscal year 2025. Anticipating a robust 25% year-on-year growth in the residential real estate segment during the same period, the group is strategically evaluating projects under joint venture or joint development agreements, with a keen eye on regions boasting favorable conditions such as robust connectivity, infrastructure, demand, and customer base.
Chairman of the Hiranandani Group, Niranjan Hiranandani, expressed confidence in the bullish market sentiment, citing the positive reception of their ongoing projects. He emphasized the group's ability to achieve its targets should the market continue its current trajectory.
Eleva by Hiranandani, the group's independent development management consultancy, is set to bolster its Mumbai portfolio with three new residential projects, complementing existing ventures in Oshiwara and Versova. Acting as a development manager for these projects, Eleva manages the entire spectrum from design to sales and marketing. Hiranandani outlined plans to add three more projects under the Eleva brand, each spanning 4-5 lakh square feet, with negotiations underway for two projects, expected to be finalized in the coming weeks or months.
The group also highlighted efforts towards margin optimization, leveraging internal fund generation alongside support from banks and financial institutions for ongoing projects. Once sales in a project reach 30-35%, they become self-sustaining, with funds in escrow accounts under RERA deemed sufficient for project completion.
In parallel, the Hiranandani Group-backed data center and cloud services firm, Yotta Data Services, is expanding its footprint with two new buildings at its 'D1' data center in Greater Noida and commencing work on an 'edge' data center in Guwahati. These expansions are slated for completion and operation by the end of 2024.
Niranjan Hiranandani anticipates a growth trajectory of 20-25% compounded annually in FY25, excluding turnover from Eleva, which will be accounted for separately.
The group's strategic investments and expansion plans underscore its commitment to capitalizing on growth opportunities in India's dynamic real estate sector, poised for substantial growth driven by evolving market dynamics and emerging consumer demands.
Image source- houseofhiranandani.com
