Listed real estate company TARC Ltd said on Jan 11 that it plans to invest close to ₹1200 crore to develop a luxury housing project comprising more than 400 units in Central Delhi.
The project TARC Kailasa is a 1.7 million sq ft development spread across 6 acres of land located on Patel Road, in Kirti Nagar. The project will have five high-rise towers of 35 floors each and will be designed by Andy Fisher Workshop, a Singapore based architectural firm. Arabian Construction Company is the construction contractor.
“We have launched a luxury housing project in the heart of Delhi. The company will develop 1.7 million sq ft in the project. The total investment would be ₹1200 crore excluding the land cost,” TARC MD and CEO Amar Sarin told reporters here, adding the construction cost would be met through internal accruals.
It should be noted that the company held the land for the last 15 years and has converted it to residential land use.
The construction of the project has started and is expected to be completed in the next 42-48 months. “We have excavated two basements and have one more basement to go,” he said.
Price of the units
The 3BHK and 4BHK housing units are priced between ₹9 and 12 crore per flat. The size of the units varies from 3440 sq ft to 4246 sq ft.
The project consists of 418 housing units in five towers of 35 storeys each. At least 40% of the inventory comprises of 3BHK units and the rest 4BHK units.
Sarin said that the company has already sold apartments worth ₹1,200 crore in this project and is targeting to sell 60-65% of the inventory in the next one month.
“We are expecting a revenue potential of around ₹4,000 crore from this project,” Sarin said.
Mix of end users and investors
The project has a mix of both end-users as well as investors.
“Demand for luxury housing is growing. With disposal incomes increasing and the economy growing at a fast pace, people are upgrading homes, in this case many people are moving from low rise kothis to high-rises and opting for community living. Their parking issues are also getting resolved. Demand is primarily from people from South and West Delhi as well as NRIs from Singapore, Middle East and London,” he said.
The company intends to launch one more luxury project in Gurgaon next month.