Luxury real estate player Sunteck Realty Ltd, says for FY24, the focus will be on establishing the 25.5 million square feet of projects acquired in Mumbai over the last two years. Kamal Khetan, chairman and managing director of Sunteck Realty Ltd, told businessline that the company will spend approximately ₹7,000 crore on developing these projects over a period of 7-8 years, with an initial investment of around ₹400 crore. In FY22, it posted revenues of rupees 218.54 crore.

“Since the onset of the Covid-19 pandemic, we have acquired projects across MMR, namely, Vasai West, Vasind, Borivali West, Kalyan (Shahad) and Mira Road. These projects together have a total gross development value (GDV) of close to ₹20,000 crore, and about 80–85 per cent of these projects would be in the residential space, while the commercial and retail segments would be about 15 per cent,” Khetan added.

In the past 12 to 24 months, the industry has experienced significant consolidation, particularly among troubled developers who have not been able to finish the projects and are either surrendering or partnering with a strong developer—larger and better-known developers in the real estate market—to execute the project, he explained. “Even Sunteck has taken advantage of this, as quite a few of our projects have been distressed assets.”

As for expanding its market across the country, the MD said that their focus will be on the MMR region for the next few years, while Pune and Goa are two geographies under consideration for expansion beyond the MMR region.

“We are not looking to expand across the country as we believe that the Mumbai market is one of the best and most resilient markets in the country right now. Only in Mumbai can one create a product for ₹5,000/square feet while also creating a product for ₹1 lakh/square feet.

Moreover, developers from the NCR and the South have entered the Mumbai market, reflecting the potential that the market holds. “When the market is so strong here, why would we strive to enter a less competitive area?” he noted.

Sunteck Realty Limited (SRL) is a Mumbai-based luxury real estate development company that develops projects in residential, retail, and commercial spaces. It has a portfolio of around 52.5 million sq ft of development across 20 projects and 13 completed projects.