At a time when many so-called pan-India real estate players pulled out of national expansion plans due unfavourable business climate, the move by
Godrej Properties Ltd (GPL) to foray into key markets outside Mumbai has paid off.
Godrej Properties, the real estate arm of the Godrej Group, has done well in the markets of Gurgaon, Ahmedabad and Kolkata where it recently launched premium residential projects.
In the January-March quarter, 40 per cent of the company's revenue came from one project, Godrej Garden City, Ahmedabad, a large township project.
"Our projects continue to have sustained sales momentum with Godrej Garden City, Ahmedabad, Godrej Frontier, Gurgaon and Godrej Prakriti, Kolkata registering strong bookings during the year," said Adi Godrej, chairman, Godrej Properties at the announcement of the firm's results.
For the January-March quarter the company reported net profit of Rs 59.9 crore, up three per cent on consolidated total income of Rs 333.5 crore.
For the financial year ended March 31, 2011, the company's net profit went up by six per cent to Rs 130.8 crore on consolidated total income of Rs 558.9 crore.
The board has recommended a final dividend of Rs 4.50 per share.
In January this year, the company launched the Phase III of Godrej Garden City, Ahmedabad. This project registered sales of 1.6 million sq ft. Similarly, Godrej Prakriti, Kolkata witnessed strong sales growth recording bookings of over 0.63 million sq. ft. in the financial year 2010-11.
Godrej Frontier, Gurgaon, which was launched in the October-December quarter, reported bookings of 0.67 million sq. ft (GPL's share).
Total bookings during the year 2010-11 grew by 132 per cent to 3.2 million sq ft (GPL's share) as compared to 1.38 million sq ft (GPL's share) in the previous year.
Godrej Properties is developing property mostly with local land owners to keep costs under control as well to prevent itself from blocking capital in the purchase of land.
The company concentrates on design, development, quality and marketing of projects. Construction is carried out by Larsen & Toubro (L& T) which is Godrej Properties' preferred contractor.
In January this year the company had launched its flagship project called 'The Trees' at Vikhroli, Mumbai, on land owned by the Godrej Group.
"I am excited about the prospects of our recently commenced flagship project 'The Trees' where the pace of construction is in line with the aggressive schedule planned," Godrej said.
Courtesy: Mail Today 
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