Brigade Enterprises to invest Rs 1,000 cr in 2 yrs, to launch 26 lakh sq ft space in “next few quarters”
New Delhi: Even with overall gloom in the industry, Bengaluru-based Brigade Enterprises is planning to invest Rs 1,000 crore in the coming couple of years and also launch about 26 lakh square feet in the “next few quarters”.
“Over the next few quarters, we plan to launch another 2 million square feet of residential in Hyderabad, bit of Bengaluru and Chennai and another 0.5 million square feet of commercial space in Bengaluru,” said M R Jaishankar, CMD, Brigade Enterprises, whole interacting with investors recently.
The 0.5 million square feet or 5 lakh square feet of the planned commercial space launch in Bengaluru will be in a retail project. The other planned launches in Hyderabad, Bengaluru and Chennai will all be in the residential segment and will be totaling 2.1 million square feet or 21 lakh square feet.
The company CFO Atul Goyal, while participating in the same interaction, said that the company will make an investment of close to Rs 500 crore this year and similar am9ujnt next year for the new projects. However, this amount can go up moderately.
Interestingly, the company is seeing an increase in the sizes of the residential properties that its customers are buying. On an average, there has been an increase of about 15 percent in average apartment sizes sold by the company in the first quarter of the current fiscal. About 25 percent of all the sales in the latest quarter was accounted for by NRIs.
The company has seen the average age of the home buyers go up in the recent times as these people are the ones who have an assured income stream.
The company suffered a net loss of Rs 63 crore in the latest quarter as against a net profit of Rs 46 crore in the same quarter of the previous fiscal.
The revenues from operations of the firm declined 71 percent to Rs 203 crore for the first quarter of the ongoing fiscal as compared to Rs 708 crore in the same quarter of the previous fiscal, mainly because of the corona-induced lockdown.