High-Value Land Deal in Mumbai: Real Estate Company Plans Rs 80 Crore Project
The stock is up by 17.6 per cent from its 52-week low and has a price-earnings (PE) ratio of 14.
Suraj Estate Developers Limited has recently acquired a strategically located land parcel at Shivaji Park, Dadar (West), Mumbai, for a total consideration of Rs 4.75 crores. This acquisition is part of the company's plan to develop a luxury residential project, leveraging the FSI benefits under Regulation 33(7) and potential clubbing schemes as per Regulation 33(7)(22) of the DCPR 2034.
The project is expected to offer a saleable RERA carpet area of approximately 0.16 lakh square feet, with an estimated gross development value (GDV) of Rs 80 crores. The location offers scenic sea views and is in proximity to the upcoming Siddhivinayak Metro Station. The residential project will feature 2 BHK and 3 BHK apartments, designed to cater to the increasing demand for luxury living in the area. Mr Rahul Thomas, Promoter and Whole-Time Director emphasized that this strategic acquisition aligns with the company's vision to create exceptional luxury living spaces in prime locations, contributing to the development of the Shivaji Park area.
Suraj Estate Developers Limited, incorporated in 1986, specializes in residential and commercial real estate development in South Central Mumbai. The company holds a 61 per cent market share in redevelopment projects in the region, having redeveloped over 1,011 homes. It accounts for 16 per cent of total unit absorption and 15 per cent of total value absorption among the top developers in the area.
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With a focus on luxury and value-luxury segments, Suraj Estate Developers has completed 42 projects, covering over 10 lakh square feet, and has 13 ongoing projects with a saleable carpet area of 6.1 lakh square feet. The company is also planning 18 new projects, including notable developments in Bandra and Mahim. Despite its reliance on third-party contractors for construction, the company has successfully reduced its debt from Rs 650 crores in FY22 to Rs 450 crores in H1FY25, utilizing IPO proceeds for debt repayment and land acquisitions.
Suraj Estate Developers Limited has a market capitalization of over Rs 1,400 crore. The stock is up by 17.6 per cent from its 52-week low and has a price-earnings (PE) ratio of 14.
Disclaimer: The article is for informational purposes only and not investment advice.