Parsvnath to invest Rs 700 cr in a housing project in Delhi

Realty firm Parsvnath Developers will invest Rs 700 crore to develop a premium luxury housing project at Civil Lines in the national capital and expects a realisation of about Rs 1,300 crore in three fiscals.     

The company today said that its subsidiary Parsvnath Landmark Developers has received all the approvals to start construction of the project comprising 453 units with a built- up area of 20 lakh sq ft.     

"The company is expected to have a realisation of about Rs 1,300 crore in three financial years from the said project," Parsvnath Developers said in a statement.     

According to sources, Parsvnath would invest Rs 700 crore to develop this project. It has already sold 60 per cent of the flats in the 'Parsvnath La-Tropicana' project, they added.     

"The excavation work at the site has already been completed and now we shall be deploying equipment and manpower to take up construction in full swing and complete the project within the time frame," Parsvnath Chairman Pradeep Jain said.     

The project will be one of the most awaited luxurious projects from Parsvnath in the heart of Delhi, he added.     

Parsvnath, which has a land bank of over 200 million sq ft, has recently announced raising of up to Rs 2,500 crore through private placement of shares to retire its debt.     

The company, which currently has an outstanding debt of Rs 1,600 crore, plans to repay about Rs 1,000 crore in FY'10.     

Sources said that Parsvnath plans to mop up about Rs 1,000 crore in the first phase of fund raising.