Godrej Properties has set a target for being among the top three real estate developer in every market that it operates in. Godrej Properties is already the biggest listed developer in the country in terms of sales bookings over the last couple of years according to Pirojsha Godrej, the Chairman of Godrej Properties.
The company is majorly focusing on locations like Pune, Mumbai, Bangalore and Delhi-NCR which account for close to 2/3rds of the realty market in India with regard to value according to Godrej. Over the last two years, the company has been the biggest listed developer in the country in terms of booking value and is now aiming to scale up efficiency and operational scale according to him. The company is gunning for market leadership in cities like Bangalore, Pune and Mumbai along with the NCR.
Godrej Properties notched up Rs.2,020 crore in sales bookings for the 2016-17 fiscal along with Rs.5,038 crore in sales bookings for the 2015-16 fiscal. The Mumbai-based realty developer has a unique business model where it directly partners with landlords for developing projects instead of buying land outright. Godrej also highlighted the focus on getting higher equity returns in comparison to the industry average. The medium-term aim for the company is to garner 20% in returns on equity according to him.
He also stated that there were plentiful opportunities in the Indian real estate market but there would be strong competition posed by several global and domestic rivals. Godrej stated that the company has to strongly emphasize on aspects like operational efficiency and scale, customer centricity across all areas of operation and overall employee engagement.
He also added that RERA will infuse newer sector reforms and aspects like timely delivery of projects, good governance and quality construction will become the major differentiators in the sector in the near future. Godrej Properties is presently developing commercial, residential and township projects which encompass 140 million sq. ft. across 12 Indian cities. The company posted Rs.207 crore in net profits in the last fiscal on gross revenues of Rs.1,733 crore.