Mumbai: Mahindra Lifespaces Developers Ltd, the realty arm of Mahindra Group, expects a five-fold rise in its revenues in the next five years led by a strong growth in the residential space, a top company official said.

"In the next five years, we expect a five-fold rise in our topline. The growth will be majorly coming from residential projects," Mahindra Lifespaces MD CEO Pawan Malhotra told reporters.

The company consortium with Billimoria Co Ltd (BEBL) has won a 25 acre residential development project at Multi-modal Internal Hub Airport at Nagpur (MIHAN).

"The total investment in the project will be Rs 500 crores over a period of five years. The project consists of 2.74 million square ft development of which 1.6 million of built up area is to be developed in the first phase," Malhotra said.

The first phase will be completed within 36 months from the development agreement date.

The land for the project will be acquired at a cost of Rs 75 crore, of which Rs 21 crore has already been paid.

The consortium will form a special purpose vehicle to undertake the project in which 70 per cent equity will be held by Mahindra Lifespaces and the remaining by BEBL.

On the industry, Malhotra said that it was now the right time to bid for the projects as the "euphoria" over land price appears controlled.

The market, however, has witnessed a 15-20 per cent correction in prices owing to high input costs and interest rates.
Source : PTI