The company aims to double its retail and commercial portfolio to over 8 mn sq. ft. from 4.5mn sq. ft.
M.S.Ramaiah Developers and Builders (MSRDB) propose to invest over Rs 3,000 crore to expand its retail and commercial real estate portfolio across Bangalore, Goa and Andhra Pradesh.
Raksha Ramaiah, a director of MSRDB said, “We plan to develop 3-5 mn sq. ft. of land annually and most of these projects will come up in North Bangalore. We are a debt light company and would prefer to keep it low in the future too,”
Currently, MSRDB has three hospitality projects in the pipeline in Bangalore and Coorg and they are also developing 900,000 sq. ft. entertainment and hospitality project close to the airport.
Apart from the above, the company has signed over 12 mn sq. ft. of joint development and joint venture agreement with top builders to expand its residential portfolio.
“We are in talks with some of the international operators and will soon close the deals for hotels,” he said.
MSRDB, which owns a huge land bank in north Bangalore, has tied up with TATA Realty, Birla Estates, Godrej Properties and Embassy Group amongst other large developers.
“We do not want to invest in land and will expand the joint venture and joint development model with some of the top builders. We only develop land up to 5 acres in-house,” said Ramaiah.
According to various industry estimates, about 530 acres of land has already been banked in North Bengaluru by builders. In H1 (Jan to June) 2022, Bengaluru residential market recorded the highest half-yearly sales since H1 2008. It recorded a sales growth of 169% in H1 2022 as compared to H1 2021. By comparison, in Q2 2022, however, sales of residential apartment units witnessed a decline of 8% Q-o-Q as the new launches also came down by 28% in the quarter, said JLL.