Keystone Realtors, the developer behind the Rustomjee brand, plans to increase its investment in residential projects this fiscal, with an estimated spend of Rs 800-900 crore on construction alone. This move is part of the company’s strategy to enhance its execution capabilities.
In an interview with PTIBoman Irani, Chairman and Managing Director of Keystone Realtors and President of CREDAI, revealed that the company is aiming to double its investment compared to the previous year, where it spent around Rs 400 crore on construction.
Irani highlighted that the company is well positioned for growth, with excess liquidity of around Rs 3,000 crore. This financial cushion has been further enhanced by Rs 800 crore raised through a qualified institutional placement (QIP) and strong internal cash flows.
“The demand in the real estate market remains robust,” Irani said, adding that Keystone Realtors has set an ambitious target of achieving 32 per cent growth in sales bookings this fiscal year, with a target of Rs 3,000 crore. The company is confident of surpassing this target as it has achieved pre-sales of Rs 611 crore in the first quarter, marking a 22 per cent increase over Rs 502 crore in the same period last year.
In the entire fiscal year 2023-24, Keystone Realtors sold properties worth Rs 2,266 crore. Despite this success, the company reported a 45 per cent decline in consolidated net profit for the June quarter, standing at Rs 25.82 crore, down from Rs 46.97 crore in the year-ago period. However, total revenue rose to Rs 437.20 crore during the April-June period, compared to Rs 282.82 crore in the previous year, reflecting an increase in construction and other expenses.
During the June quarter, Keystone Realtors launched two new projects with a Gross Development Value (GDV) of Rs 2,017 crore and acquired one additional project valued at Rs 984 crore.
Keystone Realtors has a robust pipeline of projects, with 34 completed projects, 15 in progress and 27 nearing completion. To date, the company has delivered more than 25 million square feet of construction area and has another 43 million square feet in the pipeline.
(With PTI inputs)
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