- Real estate developer TARC plans to prepay all NCDs well in time
- The company is eyeing ₹1,500 crore sales value in FY24
- The company is looking to clock a topline of nearly ₹7,000 crore from sales of some three-odd high-end projects – two in New Delhi and one in Gurgaon
GOWRI MANICKAVASAGAM
AHMEDABAD, JULY 6
Targeting the potential investors from Amdawad, New Delhi based luxury real estate developer TARC said those who have made bookings in its high-end luxury, ultra luxury and super luxury projects have observed that the properties’ value appreciated by whopping 65 percent within a span of six months.
Speaking with navjeevanexpress.com, CA Pradeep Kumar Agrawal, Financial advisor, TARC Ltd, said, “One of the projects which we launched in October, in Delhi, saw bookings start at ₹15,000 per sq ft, which subsequently appreciated to ₹25,000 per sq ft or over 60 percent appreciation by the end of the fiscal (March 2023).”
Riding high on the demand for luxury residential projects, we have recently launched two projects – one launched in October in Delhi, and another in Gurgaon, the third will be launched in the national capital between September and October in Central and South Delhi districts. These will be high-end luxury projects with delivery timelines being spread over the next two to four years, Agrawal said.
He added that the company has a huge land bank in the NCR Region, in prime locations like AeroCity in New Delhi, which it had bought over three decades ago. TARC’s land bank currently includes plots for residential usage, mixed-use, hotels, and also for commercial use. This is helping the company to execute excellent infrastructures like sports, recreation and yoga amidst green environment. Thus our customers get value for money.
“The outlook for residential sales continues to be strong, and a very positive one. People wanted to upgrade which led to improved numbers. We play in the high-end segment and plan to be there. In the next two years, we would look at residential offerings primarily,” he said.
Answering a query on whether the company will venture into Gujarat, Agrawal said, “The company will currently focus on high-end offerings in the residential sectors across Delhi and Gurgaon markets and then expand in Noida. It will think of projects in other states as and when the need arise in future.”
The company reported project sales of ₹520-odd crore in FY23.
TARC is eyeing a ₹1,500 crore sales value in FY24 and it is looking to clock a topline of nearly ₹7,000 crore from sales of some three-odd projects – two in New Delhi and one in Gurgaon.
Pre-payment of NCDs
TARC Limited has made a payment of RS. 87.95 crores on June 1, 2023, out of which Rs.56.90 crores has been towards partial redemption of unlisted NCDs. With the prepayment made in last financial year 2022-23, the company has fulfilled the payment obligation of Rs. 100 crores much before the due date of June 30, 2023.
Similarly the company will prepay Bain Capital, which had invested by way of NCDs, ahead of four year term, Agrawal said.
Commenting on the advantages NCD prepayments, Agrawal said, “Our notable sales achievements have strengthened our financial position, which has been made possible by our exceptional sales and collection efforts, and successful project execution demonstrates the Company’s proactive approach. Looking ahead, we aim to continue this momentum, targeting major repayment towards retirement of NCDs in the next couple of years, further strengthening our financial position. This pre-payment generates significant impetus to enhance TARC’s credit rating and greater financial flexibility in the future.”
