This is one of the biggest targets set by the real estate developer in recent times.
The company is also expected to announce the launch of the first phase of Midtown West, a premium residential complex on Shivaji Marg in central Delhi’s Moti Nagar, which it will develop in a joint venture with Singapore sovereign fund GIC. The project, with a revenue potential of Rs 12,000-15,000 crore, will have 3-4 BHK apartments.
This will be the first residential project of the joint venture, which already operates over 32 million sq ft of office space.
Aakash Ohri, senior executive director of DLF Home Developers, said in a Q2 analyst call that the company will launch inventory worth Rs 800 crore of independent floors in Gurgaon. He said this will be followed by a similar format in Panchkula, which will be worth close to Rs 400 crore, and plotted development on Old Mahabalipuram Road in Chennai worth Rs 600 crore.
“In addition, the company is also in the final stages of approvals for the central Delhi project. We are very well prepared and hoping to get a good response,” Ohri said.
DLF reported a net profit of Rs 378.12 crore for the quarter ended September, up 66% from Rs 227.75 crore a year earlier, buoyed by improved demand for residential real estate.
Its new sales bookings stood at Rs 1,512 crore, 77% higher than the year-ago period when its performance was impacted by the pandemic-induced lockdown.
The company’s super luxury ‘The Camellias’ project is also seeing an increase in sales.
“There has been a process to Camellias sale, we have continued to present to the people who can buy Camellias not only to this part of the world but to every nook and corner. If you see the performance of Camellias in the last 18 months, there has been a steady growth,” Ohri said.
DLF has given guidance of launch of close to 6.4 million sq ft of residential projects in 2022-23, of which 2 million sq ft will be dedicated for value homes.
“The residential business continues to tread on its growth trajectory with healthy traction and strong demand momentum across segments and geographies. Demand for our new products of independent floors across Gurugram market continues to witness healthy absorption. The monetization of our completed inventory across markets continues to gain traction,” the company has said.
DLF has also been raising prices across segments with an increase in demand.
“We are encouraged with these improving demand trends in the residential market and expect these trends to remain for the long run. Given this positive outlook, supported by improved fundamental drivers, we continue with our endeavour of bringing new offerings across segments and geographies. With increasing volumes and well calibrated price hikes, we expect further margin expansion for our projects,” the company said.