Mahindra Lifespace Developers announced on Monday that it has secured a redevelopment project in Mumbai with an estimated revenue of Rs 950 crore from the saleable area
Mahindra Lifespace announced in a regulatory filing that it has been chosen to develop a redevelopment project in Mumbai's Lokhandwala Complex, Andheri West.
The company, which has also secured four redevelopment projects in Mumbai, estimates that the project has a gross development value (GDV) of about Rs 950 crore.
Three residential societies will be redeveloped with Mahindra Lifespaces as the preferred partner. The cluster redevelopment policy of Maharashtra will guide the project's development.
Amit Kumar Sinha, Managing Director & CEO of Mahindra Lifespace, stated, "This strategic move strengthens our presence in the western suburbs of Mumbai. This project is in a prime location, is well-connected, and provides an excellent lifestyle. It will be a premium development."
Mahindra Lifespace recently reported a consolidated net loss of Rs 22.47 crore for the quarter ended December 31, 2024.
Last year, the company made a net profit of Rs 50.02 crore.
In the third quarter of this fiscal year, total income climbed to Rs 185.77 crore, up from Rs 88.77 crore during the same period last year.
The total costs went up from Rs 125.12 crore to Rs 200.88 crore in the previous year.
In seven Indian cities, the company has completed, ongoing, and planned residential projects totaling 39.44 million square feet (saleable area).
Additionally, it has more than 5,000 acres of planned and ongoing projects at its four integrated developments/industrial clusters.
What is the Redevelopment?
In Maharashtra, several old buildings, particularly those with two to seven stories, are being redeveloped.
The redevelopment of housing projects entails demolishing and replacing old structures with modern, larger structures that adhere to various regulations. Residents of older buildings receive larger apartments in the newer building for free because the builder sells a certain number of apartments in the new building for a profit. The government generates revenue by selling the floor space index (FSI) to the builder.
On January 23, the company announced the acquisition of 8.2 acres of land in North Bengaluru for a housing project worth ₹1000 crore.
"The land has a developable potential of approximately 0.9 million (9 lakh) square feet of saleable area and a projected Gross Development Value (GDV) of almost ₹1,000 crore," the company said in a regulatory filing.
Mahindra Lifespaces intends to launch the project within the next nine months. The project will include medium-priced residential apartments.
