Bangalore-based realtor Prestige Estates Projects Ltd has earmarked plans to launch 10 million sq. ft. in the residential property segment during the current financial year, according to a senior executive of the public-listed company.
This would be almost the same level as it was in the last fiscal. In FY2012, the company had launched 9.6 million sq. ft. in the residential side and sold around 5 million sq. ft. In the commercial rental leasing side, it managed to lease around 3 million sq. ft., which yielded Rs 187 crore.
Irfan Razack, the chairman and managing director of the company, announced in a conference call that the leasing yields would bring in around Rs 225-230 crore in the current financial year or around 20 per cent more than the previous year.
The company’s share price shot up over 6 per cent to close at Rs 109.85 a share on the BSE in a flat Mumbai market, even as the firm reported pressure on its bottomline for the year ended March 31, 2012. The company’s consolidated net profit more than halved to Rs 82 crore in FY12, compared to Rs 170 crore in FY11.
Prestige Estates has also bought a 2 acre land parcel in the central business district (CBD) of Chennai to test the Chennai property market.
At present it is developing projects in Bangalore, Hyderabad, Chennai, Mysore and Mangalore. It will also launch a project in Cochin in the coming quarters.
The company derives 40 per cent business from the residential segment and 33 per cent from the commercial segment, and the rest from retail and hospitality side of the business.