Prateek raises Rs 275 cr from Piramal group firm for Ghaziabad housing project

Realty firm Prateek Group has raised Rs 275 crore from Piramal Capital and Housing Finance for its ongoing 40-acre housing project at Ghaziabad.

In August 2014, the Noida-based developer had launched 'Prateek Grand City' project at Siddharth Vihar in Ghaziabad with an estimated investment of Rs 5,000 crore.

"We have raised Rs 275 crore from Piramal for our Grand City project," Prateek Group Chairman Prashant Tiwari told PTI.

The company would develop 7,000 units in this project in two phases.

"We have launched the first phase of 4,500 units. About 3,000 units have already been sold despite demand slowdown," he said, adding that the company would deliver the first phase by 2019-end.

In the first phase, the company launched units in the price range of Rs 28-63 lakh.

Piramal Group had earlier invested Rs 200 crore in another residential project of Prateek Group 'Prateek Edifice' at Noida's sector 107.

"This project is near completion. We will soon give exit to Piramal Group in this project by repaying their investments," he added.

Prateek Group is developing various projects in Noida, Greater Noida and Ghaziabad.

Piramal Capital and Housing Finance is funding in a big way to real estate developers, which are facing cash-crunch because of sluggish housing sales.

The real estate market, especially residential segment, is facing a multi-year slowdown. Lakhs of buyers in Delhi-NCR region are stuck in projects of many developers including Jaypee group, Amrapali, Unitech and The 3C Company.