Realty major DLF, the largest real estate firm in India in terms of market cap, has revealed its ambitious plans to launch properties worth nearly Rs 80,000 crore over the next 3-4 years. This move aims to capitalize on the rising demand for housing and commercial projects in the country.
Impressive Sales Figures and Projections
During the fiscal year 2022-23, DLF sold properties amounting to Rs 15,000 crore, and indications show that the company is poised to surpass this figure by a significant margin in the current financial year. An investors’ presentation outlines the agenda of launching 10 million square feet of area with a revenue potential of Rs 32,000 crore in the next fiscal year alone. Furthermore, DLF has identified an additional 22 million square feet of area that could potentially yield a revenue of Rs 46,850 crore for the 2024-25 fiscal year and beyond.
Emphasis on Luxury Residential Projects in Key Cities
DLF’s plans primarily prioritize the residential segment, with a focus on luxury and ultra-luxury housing. Key cities like Delhi-NCR, Mumbai, Goa, and Chennai have been singled out as target areas for the company’s upcoming project launches. This strategic focus on areas with high demand and market potential aligns with DLF’s objective to meet the evolving needs of homebuyers and maximize their business offerings.
Seizing the Opportunity Amidst Post-COVID Surge in Demand
DLF’s decision to scale up its residential business comes as a response to the considerable spike in housing demand following the impact of the COVID-19 pandemic’s second wave in 2021. Notably, the primary first-sale markets of major cities have experienced a remarkable surge in demand, creating an opportune market for developers. Buyers are increasingly gravitating towards developers known for their track record of delivering quality projects.
Positive Sales Performance
Benefiting from the surging demand, DLF’s sale bookings have doubled on an annual basis, reaching Rs 13,316 crore during the first three quarters of this fiscal year. To put this growth in perspective, during the same April-December period in the previous fiscal year, the company’s sale bookings amounted to Rs 6,599 crore. Notably, DLF achieved its highest-ever quarterly sales booking in the December quarter, clocking in at Rs 9,047 crore, which reflects a more than three-fold increase compared to the year-ago period.
Impressive Development Potential for DLF
DLF currently possesses approximately 215 million square feet of development potential across residential and commercial segments. In addition, the company boasts an annuity portfolio exceeding 42 million square feet, reflecting the stability and income-generation potential from an expansive commercial real estate footprint.
Conclusion
DLF’s bold plans to launch properties worth Rs 80,000 crore in the coming years demonstrate its confidence in the real estate market’s prospects and the growing demand for housing and commercial projects. With a focus on luxury residential developments in key cities, the company aims to ride the wave of increased demand following the COVID-19 pandemic. Furthermore, positive sales performance and an impressive development potential position DLF as a key player in the real estate sector as India continues to witness robust growth in the real estate market.
