Godrej Properties Ltd said on Monday it has sold 300 apartments at a project in a Mumbai suburb within a week of its launch, bringing some much-needed cheer to a sector struggling to attract buyers.
The Mumbai-based developer said it clocked sales of about Rs 700 crore by selling the apartments at its The Trees project in Vikhroli. The company said this is its most successful launch ever in terms of the value of properties sold.
The project has commercial, residential, hospitality and retail developments. The residential area is spread across 6.7 acres and has 374 units in the first phase of the project with total saleable area of about half a million square feet.
The development comes at a time when the realty market is going through a tough phase with customer sentiment having taken a hit. Sales in the Mumbai Metropolitan Region for the July-September quarter fell one per cent from a year earlier and 17 per cent from the previous three months, according to real estate research agency Liases Foras.
Mumbai, the largest market by value of transaction, is also heavily laden with inventory. According to Liases Foras, it will take 59 months to sell unsold stock in the Mumbai market. This is second only to Delhi-NCR. A healthy market maintains inventory of eight to 12 months.
Broadly, top developers saw their revenue fall in the second quarter even though they managed to improve their bottom line due to cost efficiencies.
Godrej Properties reported sales of Rs 1,458 crore for the July-September quarter from Rs 293 crore a year earlier. Sales jumped five times thanks to a mega commercial transaction at its Bandra-Kurla Complex project. It sold 4.35 lakh square feet area at Godrej BKC to pharmaceutical firm Abbott India for Rs 1,479 crore during the quarter.
In another large transaction, Mumbai-based Lodha Group recently struck the priciest realty deal by selling a super-luxury duplex in South Mumbai’s tony Altamount Road locality for Rs 160 crore.