Kalpataru, Indian Hume Pipe to develop project in Pune
Real estate firm Kalpataru has concluded a revenue-sharing agreement with Indian Hume Pipe Company for developing an over 2.3 million sq. ft. mixed-use project in Vadgaon locality of Pune, Maharashtra. The development will be carried out on a nearly 15-acre land in two phases over the next six to seven years for which the developer will invest around Rs.1,000 crore.
Earlier, Kalpataru Gardens, the developer’s subsidiary had signed a memorandum of agreement for the development, and post revision of the pact, the developer’s revenue share has increased to 67.50% from 66%, with Indian Hume Pipe Company getting the balance share in the project. Around 90% of the project will comprise premium residential development and the remaining portion is planned as the commercial component. It is expected to notch up a total revenue of Rs.2,500 crore, of which nearly Rs.1,700 crore will be Kalpataru’s share. As per the agreement terms, Kalpataru will secure the applicable approvals and undertake construction execution and sales, while the landowner will be responsible for costs related to providing floor space index (FSI) and conversion of the land from industrial to residential use. The developer’s subsidiary Kalpataru Gardens had earlier signed a memorandum of agreement for this development. The pact has now been revised and the developer’s revenue share in the project is now increased to 67.50% from 66%, while Indian Hume Pipe Company will get the balance share. The change in revenue share is related to increase in development costs, revised development rules and enhancement in the project size from the time of signing of the earlier pact.
The agreement between Kalpataru and Indian Hume Pipe Company was registered in May 2023 and the developer has paid a security deposit of Rs.11 crore, as per the documents.
Brigade to launch 10 housing projects in FY24; to invest Rs.3,000 cr on construction
Realty firm Brigade Enterprises will launch 10 housing projects this fiscal across Bengaluru and Chennai with an estimated construction cost of Rs.3,000 crore as it looks to encash rising demand for residential properties, its MD Pavitra Shankar said. In an interview with PTI, she sounded extremely bullish on India’s residential market and said the company would like to grow housing sales by 15-20 per cent during the current 2023-24 fiscal.
“Overall, the last financial year was very good, primarily driven by our residential and hospitality business. Things in retail were also very good and office was quite stable,” Pavitra said.
Bengaluru-based Brigade Enterprises achieved a record sales bookings of Rs.4,109 crore, mostly housing with small portion of commercial properties, a 36 per cent growth from the 2021-22 financial year. In terms of area also, sales bookings grew by 34 per cent to a record 6.3 million square feet. “I think it’s reflective of general demand by customers,” she said, adding that the impact of hike in mortgage rates was not visible at ground level.
Asked about plans for this fiscal year, Pavitra said the company has lined up 7.54 million square feet area of launch in residential segment across 10 new project/new phases in existing projects.
On construction cost and sales value of these new launches, she said the estimated gross sales value is around Rs.6,000 crore.
The construction cost to develop these 7.54 million square feet will be about Rs.3,000 crore over the next 4-5 years, said Pavitra.
Brigade Enterprises launched 5.4 million square feet area in residential segments last fiscal, she said. On leasing vertical, Pavitra said the company witnessed an increase of 26 per cent in revenues to Rs.752 crore last fiscal from Rs.596 crore in the preceding year. The leasing revenue comprises of revenue from commercial assets and facility management business. Office leasing grew 33 per cent from 0.9 million square feet in FY22 to 1.2 million square feet in FY23. In retail malls, she said the footfalls increased by 106 per cent in the last fiscal and the company witnessed a 78 per cent annual growth in retail sales consumption during FY23.
Brigade’s hospitality portfolio occupancy reached 69 per cent as against 62 per cent of pre-COVID occupancy.The company reported a consolidated net profit of Rs.222.17 crore in the last fiscal as against a net loss of Rs.64.76 crore in the 2021-22 financial year. Total income rose to Rs.3,563.21 crore in the 2022-23 fiscal from Rs.3,065.51 crore in the previous year.
Sail gears up for expansion with a whopping Rs.1 lakh cr capex investment
Steel Authority of India (SAIL) will infuse Rs one lakh crore for implementing debottlenecking plans and growth capital expenditure to achieve 35 million tonne (MT) by FY32. Of this, Rs.6,500 crore will be spent in FY24, and Rs.5,000-5,500 crore will be expended in FY25. The volume uptick, release in working capital and an expected lowering of coking coal prices from September 2023 onwards is likely to fund the company’s next leg of expansion. Further, the steel making company has set a target for sales volume to achieve 18.7 MT for FY24, which corresponds to a growth of 15 percent. SAIL, with a capacity to produce 19 MT of steel annually, has five integrated and three special steel plants. It registered a steel output of 18.3 million tonne, and sales of 16.3 million tonne for FY23. The company made an operating profit of Rs.6,200 on every tonne of steel sold in the March quarter.
PWD, Tamil Nadu invites bids for construction of Court building in Madurai
The Public Works Department (PWD), Tamil Nadu has invited bids for the construction of an additional Court Building in Madurai.
The construction work is for a building comprising a basement, stilt floor, with three floors above the stilt floor to accommodate 18 Court halls in the District Court campus at Madurai, Tamil Nadu.
The contract value is Rs.156.24 crore, and has a completion period of 18 months. The closing date for bid submission is 05 July, 2023.
Dalmia Cement signs MoU to invest Rs.4,600 crore in Assam
Dalmia Cement Bharat has entered into a Memorandum of Understanding (MoU) with the Assam government to support the creation of 2500 jobs and invest close to Rs.4600 crore in the state.
With government support, the company wants to encourage industrial activity in the state and be a committed partner in the region’s overall development, it said in a statement.
Bimal Patel & Tata Projects: The dynamic duo behind new Parliament building
The new Parliament building is the landmark project of the ambitious Rs.20,000 crore Central Vista redevelopment plan. Built in an area nearly thrice that of the old Sansad Bhavan, the new Parliament House offers a significant upgrade in terms of legislative capacity and amenities. Tata Projects won the contract to construct the new Parliament building in 2020. The building has a built area of 20,866 m2 (including its open-sky area of 2,000 m2 for a banyan tree), which makes it 10% smaller in size than the existing old circular building of 22,900 m2 (diameter 170.7 m) including its open sky area of 6,060 m2 or 1.5 acres, split in 3 sectors each half an acre. According to Bimal Patel, the architect in charge of the redesign of Central Vista, the new complex will have a hexagons shape. It will be built next to the existing complex and will be almost equal to the former one. Spread over 9.5 acres, the new Parliament building was completed within a short span of 29 months despite the challenges posed by the pandemic and the supply chain disruptions caused by the Russia-Ukraine war. The building is centrally air-conditioned and closed; features include a digitised voting system, well-engineered acoustics and state-of-the-art audiovisual systems in the two chambers. An artistic interpretation of a section of the night sky over New Delhi on January 26, 1950 and a Foucault pendulum inside the new Parliament building drew crowds on Sunday, with several MPs and other dignitaries posing for pictures against them.
Satvaraj Infraproject’s residential-cum-commercial complex to come up at Ahmedabad
Satvaraj Infraproject is planning to develop a residential-cum-commercial complex ‘Satva Prime’ at Vastral in Ahmedabad district of Gujarat. The complex will be spread across 1.80 acres of land comprising two towers of four blocks with B+G/HP+14 floors, including flats, shops and various modern amenities. Satvaraj Infraproject expects to commence work on the project by September 2023. As of now, the company is awaiting environmental clearance for the project. Moreover, it intends to complete the project by December 2026.
Government-backed SWAMIH Fund invests over Rs.158 crore in Thane housing project
The government-backed and SBICAP Ventures-managed last-mile financing platform Special Window for Completion of Construction of Affordable and Mid-Income Housing Projects (SWAMIH I) has invested Rs.158.50 crore in a residential-led mixed-use project in Thane’s Ghodbunder Road.
Union Cabinet approves CITIIS 2.0, under the Smart Cities mission
The government recently approved the City Investments to Innovate, Integrate and Sustain (CITIIS) 2.0 that seeks to support projects promoting a circular economy with focus on integrated urban management, Information and Broadcasting Minister Anurag Thakur said. The CITIIS 2.0, approved by the Union Cabinet at a meeting chaired by Prime Minister Narendra Modi, will run for four years beginning this fiscal in partnership with the French Development Agency (AFD), Kreditanstalt fur Wiederaufbau (KfW), the European Union (EU), and the National Institute of Urban Affairs (NIUA). The programme envisages to support competitively selected projects promoting a circular economy with focus on integrated waste management at the city level, climate-oriented reform actions at the state level, and institutional strengthening and knowledge dissemination at the national level, Thakur told reporters here. The funding for CITIIS 2.0 would include a loan of Rs.1,760 crore or 200 million Euros with AFD and KfW contributing 100 million Euros each and a technical assistance grant of Rs.106 crore (EUR 12 million) from the EU, Thakur said. The CITIIS 2.0 aims to leverage and scale up the learnings and successes of CITIIS 1.0 which was launched jointly in 2018 by the Ministry of Housing and Urban Affairs, AFD, EU, and NIUA, with a total outlay of Rs.933 crore.
Mumbai Coastal Road project: Excavation work reaches completion
On 30 May 2023 the Brihanmumbai Municipal Corporation (BMC) completed boring and excavation work for the second and final underground tunnel, which is part of the Mumbai Coastal Road Project (MCRP). The 10.58 km MCRP is being built to reduce traffic congestion in Mumbai. The high-speed corridor will connect the Marine Drive to the Bandra Worli Sea Link (BWSL) through a series of arterial highways, underground tunnels, and vehicular interchanges. The twin tunnel will pass under the Arabian Sea, which will be India’s first undersea tunnel. Later, the project will expand to the coastal road towards the suburbs, till Dahisar, Mira Road and Bhayander. The initial target to complete the project is November 2023. The corridor is expected to be partially opened by this time, and by May 2024, the complete road will be open to the public.
BNY Mellon close to leasing nearly one million sq ft office space in Pune for nine years
American investment banking services company The Bank of New York Mellon Corporation (BNY Mellon) is in advanced talks to lease an entire tower with office space spread over nearly 1 million sq ft in Pune’s Kharadi locality from realty developer Prestige Group for a tenure of nine years, said people with direct knowledge of the development. Synopsis -The Bank of New York Mellon (BNY Mellon) is in talks to lease a commercial tower with almost 1 million sq ft of office space in Pune’s Kharadi locality from Prestige Group for nine years. If concluded, the deal is expected to be the largest commercial property transaction of the year. BNY Mellon is likely to use the office space to house its global capability centre via BNY Mellon International Operations. The lease deal is expected to include a 15% rental escalation every three years, according to unidentified sources.
