Godrej Properties announces acquisition of 60-acre land parcel in Chennai

The real estate development arm of Godrej Group said it would develop a residential project on the land

Godrej Properties on Friday announced it has purchased a 60-acre land parcel in Chennai's Oragadam Junction. The real estate development arm of the Godrej Group said it would develop a residential project on the land. 

Oragadam Junction is recognised as one of the fastest-growing businesses and largest industrial corridors of Chennai, with manufacturing facilities of 22 Fortune 500 companies spread across the industrial belt stretching from Sriperumbudur to Oragadam. The area is well-connected via road and rail and offers good civil and social infrastructure consisting of schools, colleges, hospitals and retail outlets.

"We are happy to add this land parcel to our portfolio. It fits with our strategy of deepening our presence across India's leading cities. We will aim to build an outstanding plotted development project in Chennai that creates long-term value for its residents," said Gaurav Pandey, MD & CEO at Godrej Properties.

The plot is "strategically" located in between Grand South Trunk road (GST road) and NH-4, just off Oragadam Junction (on the 6-lane SH-48) with access to other parts of the city via Chennai Bypass Road, Chennai Tiruvallur High Road and Red Hills Road, the company said in a BSE filing.

In 2022, Godrej Properties executive chairman Pirojsha Godrej announced that the company would invest $1 billion in the future development of projects. It is aggressively acquiring land parcels either outright or in partnership with land owners.

Godrej Properties has already added more than 10 land parcels this fiscal year with an estimated sales potential of over Rs 20,000 crore. With three months left in 2022-23 fiscal, the company might add another Rs 5,000-10,000 crore worth of projects to its portfolio. 

Earlier this month, the company said it sold 870 units for Rs 435 crore in its housing project in Ahmedabad, Gujarat. It has sold over 1 million square feet of area at the launch of a new phase in its project "Celeste", which is part of a township, Godrej Garden City.

"The company has sold 870 homes with a booking value of approximately Rs 435 crore since Celeste was launched in October 2022," the regulatory filing said. 
Gaurav Pandey said it was a sign of rising cutomer confidence in the sector. 

Godrej Properties has set a target of Rs 10,000 crore in sales bookings for 2022-23 as against Rs 7,861 crore registered during the last fiscal year.

It has already clocked a 60 per cent growth in sales bookings during the first half of this fiscal year at Rs 4,929 crore as against Rs 3,072 crore in the year-ago period.

Recently, the company bought 9-acre land in Gurugram for around Rs 300 crore to develop a housing project.

(With agency inputs)