Brigade Enterprises to launch 25 mega projects

Bengaluru-based Brigade Enterprises is all set to launch about 25 new projects this year developing a total area of 20-25 million square feet. The new projects will be about 70 per cent residential, while remaining 30 per cent will be a mix of commercial office space, retail and hospitality. About 20 projects will come up in Karnataka including Bengaluru and Mysore, while remaining five will be launched in Chennai, Hyderabad and Cochin. The overall cost of these 25 projects will be upwards of Rs 5,000 crore to be spread over five years' time. Speaking to Realty Plus about the company's growth plans, M R Jaishankar, CMD, Brigade Enterprises, says, “Currently, we have 30 million sq ft of new projects in handout of which five million sq ft has already been launched in the last three months. We hope to launch the remaining 20-25 million sq ft this year which will comprise about 25 new projects. These will be launched at regular intervals over the years.” “The project's overall investment will be upwards of Rs 5,000 crore which will be spread over a period of five years. The funds will be generated through institutional funding, customer advances, internal accruals and from monetisation of commercial buildings that we have. Also when the stock markets look better, we will look at the primary and secondary market but not as of now,” he adds. Most of the Groups under construction projects are now complete and all the financial commitments for their existing projects have also been met. Talking about the real estate industry in 2012, Jaishankar feels, “For 2012,the feeling is that the market has inherent strength but due to external factors including global, national and to some extent state-specific, there is a cause for concern. We are hoping that things will start improving by the middle of 2012 particularly after the political situation settles down post state elections and the new budget.” The Group's turnover for last fiscal (2012-2011) was Rs 530 crore and “we are expecting a growth of 20-25 per cent this fiscal (2011-2012),” he further adds.

source: http://www.realtyplusmag.com/rpnewsletter/fullstory.asp?news_id=18083&cat_id=1