You are here: Home » Companies » News
Business Standard

Supertech eyeing to sell 9 lakh-sq-ft office in Noida for Rs 1,000 cr

According to sources, Supertech is in advance stage of discussions with some potential buyers to sell this office complex, and the deal could be finalised soon.


Press Trust of India  |  New Delhi 

Supertech logo. Photo: Twitter @Supertechltd
Supertech logo | Photo: Twitter @Supertechltd

Realty firm is in talks to sells its office complex in Noida for around Rs 1,000 crore as it aims to cut debt significantly and save interest cost, sources said.

The company has developed a 9 lakh sq ft office building in its 17.5 acre mixed-use project 'Supernova'.

According to sources, is in advance stage of discussions with some potential buyers to sell this office complex, and the deal could be finalised soon.

Earlier, the company had put on sale about 10 lakh sq ft retail space in the Supernova project.

Talks are on with interested parties to sell this retail complex, sources said, adding that sale of office complex is expected to conclude first.

also wants to divest its hotel properties at Rudrapur and Meerut comprising about 210 keys and has appointed some consultants to find buyers.

The company is looking to raise around Rs 1,500 crore through the divestment of retail space and hotels, sources said.

The total funds raised through sale of office, retail and hotel properties would be used for reducing debt and meet construction cost of ongoing as well as future projects.

Supertech has a total debt of around Rs 2,500 crore from banks and non-banking finance (NBFCs).

The company spokesperson declined to comment.

"We are looking to monetise our commercial space to raise funds for our ongoing projects and reduce debt," Supertech Chairman R K Arora had said in October.

Indian commercial real estate has been performing well in the last few years because of huge interest from domestic and global institutional investors in rent-yielding assets.

The government's decision to introduce Real Estate Investment Trusts (REITs) in India has also boosted the commercial segment.

Supertech had in December 2017 raised Rs 430 crore from Altico Capital to fund its ongoing housing project in Noida and repay debt. It had raised Rs 350 crore from L&T Finance in September 2017 to complete its Eco-Village 1' housing project, comprising 7,500 units, in Noida Extension.

In the 17.5 acre premium project Supernova, Supertech is developing five towers at an investment of around Rs 5,500 crore. The company has started delivery in two 44-storey residential towers comprising 575 units. In other towers, it is building studio apartments, a hotel and branded residences.

The entire project is expected to be completed in the next two-three years.

Supertech has delivered 40,000 units in the last 30 years and is currently working on 60,000 flats across 35 projects, mostly in Noida, Greater Noida and Gurugram.

The company also has projects in Ghaziabad, Meerut, Muradabad, Dehradun, Haridwar, Rudrapur and Bengaluru.

Dear Reader,

Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.
We, however, have a request.

As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.

Support quality journalism and subscribe to Business Standard.

Digital Editor

First Published: Wed, March 20 2019. 12:40 IST