Real estate stress: Now, Supertech to develop other players' stuck projects

Looking to expand its business, realty firm Supertech has decided to take up stuck projects of other builders and has tied up with Gold Souk to develop a housing project in Gurgaon with expected sales revenue of Rs 2 billion

The Noida-based firm is in talks with three other local builders to add more projects in its portfolio, the company's managing director Mohit Arora said.

"There are a lot of distressed real estate projects in Delhi-NCR because of slowdown in the property market. We have decided to take up such stuck projects and grow our business," Arora told PTI.

"We have entered into development management contract with Gold Souk for a 15-acre housing project in Gurgaon," he added.

In this project, he said, there would be around 400 plotted development having a sales value of Rs 2 billion. These plots would be sold under a housing policy of the Haryana government.

"We are targeting to add 10 such projects next fiscal," Arora said.

Supertech is developing about 30 projects currently and will be delivering 8,000 homes this fiscal.

On sales bookings, he said the company would achieve Rs 20 billion this financial year despite sluggish demand in the property market.

Supertech has recently raised around Rs 8 billion from Altico Capital and L&T Finance to complete its ongoing projects.

Arora said, the company is focusing on delivery of existing projects and has targeted to complete 10,000 flats annually for the next 4-5 years.

He said, the company has delivered 20,000 units in the last three financial years.

Supertech has projects in Noida, Greater Noida, Ghaziabad, Gurgaon, Meerut, Muradabad, Dehradun, Haridwar, Rudrapur and Bengaluru.