Developers of macrotech will assess moving into a fourth city: MD Lodha Abhishek

Developers of macrotech will assess moving into a fourth city: MD Lodha Abhishek

In addition to India's Bengaluru, Pune, and Mumbai, Lodha has completed projects in the UK. But the business wants to concentrate on expanding in India.

We'll begin to assess if we should begin making incremental progress toward the fourth city of operations. Therefore, we don't currently have a conclusive response, but it's something we will likely consider and assess over the course of the next three to six months," Abhishek Lodha, MD and CEO of Macrotech Developers, commonly known as Lodha, is said to have stated during the company's January earnings call. 29.

Macrotech Developers, a.k.a. Lodha, is a company that operates in Bengaluru, Pune, Mumbai, and could grow into a fourth city.

The firm indicated that its business plan, which includes global growth, is mostly a step-by-step cautious approach. The company joined the Bengaluru real estate market in November 2023.

During the business's results call, Macrotech Developers' managing director, Abhishek Lodha, informed investors that Bengaluru has started off well for the company and that the launch of the second project in the city is anticipated to take place within the next three months.

"We'll examine whether to begin making incremental progress into a fourth city of operations as soon as that occurs. We will thus likely consider and assess it over the course of the next three to six months, but we have During the company's January 29 results call, Lodha said, "At this point, there is no definitive answer.

The business claims that the Bengaluru residential market has expanded at a rate of around 18% over the last four years, with a current valuation between Rs 60,000 crore and Rs 65,000 crore. Over the last four to five years, the market size has doubled.

over the call, representatives of the company said that prices had gone up significantly, rising by almost 40% over the last five years as opposed to roughly 10% during the preceding five.

Bengaluru preparation

"We launched our initial venture next to Manyata Tech Park in North Bengaluru in November," stated Rajendra Joshi, CEO (Bengaluru). We were able to sell almost Rs 600 crore in presales in the first weekend alone, which is about 80% of the total amount (which includes inventory) at Macrotech Developers.

"In order to grow this business to a run rate of roughly Rs 3,000 crore in Bengaluru over the next three to four years, we aim to build a strong organization comprising local capabilities in the areas of sales, manufacturing, marketing, and customer service." He continued.

In addition to India's Bengaluru, Pune, and Mumbai, Lodha has completed projects in the UK. But the business wants to concentrate on expanding in India.

On January 4, the business announced that the deal to buy a 100% share in real estate developer Goyal Ganga Ventures India had been closed.

"As India moves from a low-income to a middle-income nation, we are in the third or fourth year of a lengthy cycle for the housing business in India, maybe lasting fifteen years. Additionally, the housing cycle lengthens significantly when such changes occur, as we have seen in several cases, Lodha said on the call.

In comparison to the same period last year, the company's net profit in the third quarter of FY2024 decreased 17.6% to Rs 313.20 crore, while net sales rose 67 percent to Rs 2,793.90 crore.