The New Delhi-based realty firm TDI is planning to invest Rs 1,000 crore to build low-priced homes in the national capital region in the next three years, a senior company executive said.
The demand for homes is coming back slowly, said TDI managing director Kamal Taneja, outlining the companys priority to attract buyers.
TDI, which has its real estate projects spread over New Delhi, Kundli and Panipat in Haryana and Mohali in Punjab, recently launched 350 residential units in Kundli and claims to have sold all these in just a month.
Taking its presence further, the company is now planning to launch another 350 homes over the weekend in Kundli, around 35 kms from central Delhi. The 900-sq ft independent floor homes will be priced between Rs 16.50-19.50 lakh.
A total of 700 homes entailing an investment of around Rs 1,000 crore would come up in Kundli over the next three years, Mr Taneja said.
TDI has tied up with architectural firms Drew Dickson Associates of Australia and HO Partners of Hong Kong for development of its 1,600-acre Kundli township. Of late, there has been a surge in fund-raising activity via QIP by many listed real estate companies, including Unitech, HDIL and Sobha, following a revival in the capital market.
Some other unlisted firms such as Lodha Developers and Emaar MGF are also lining up their initial share sale. But Mr Taneja thinks that the market is still volatile and an IPO for TDI is not on the cards.
He said his company is relatively less leveraged and doesnt intend to go in for any private equity deals immediately and would focus on selling homes to raise cash.
There is very little private equity money available and there are too many developers chasing it. Also, private equity investments made these days are actually debt structured as equity, he pointed out, explaining why he is not excited about getting PE fund infusion in his company.