New Delhi: Realty firm Sobha Ltd has tied up with another realtor Chintels India to develop a group housing project comprising 1,700 flats in Gurgaon at an estimated cost of Rs 1,000 crore.
The 39-acre project, which is expected to be launched by end of next month, would be developed in phases over the next 6-7 years, Sobha Ltd vice chairman and MD J C Sharma said.
"We are coming out with a new group housing project at Gurgaon in partnership with Chintels," he said, adding that this would be the company's second project in NCR region.
Bengaluru-based Sobha is already developing a luxury villa project named 'International City' on a 150-acre land parcel near Dwarka Expressway in a tie-up with Chintels group and QVC Realty.
Both the partners would be sharing revenues from this project, which is located adjacent to the its existing villas.
"Total saleable area in this project would be over 3 million square feet," he said.
The project would fall in luxury category, he added.
Asked about the project cost and launch price, Mr Sharma refused to share the details, but said the product would be introduced at a competitive rate looking at current market condition.
Property market in the Delhi-NCR region is facing a huge demand slowdown, resulting in liquidity crunch to developers and huge delays in execution of projects.
However, Sharma expressed confidence that its project would have a good demand despite general slowdown in NCR.
When contacted, Chintels managing director Prashant Solomon confirmed the joint venture with Sobha Ltd to develop this project on a revenue-sharing basis.
"We have tied up with Sobha for a 39-acre group housing project," Mr Solomon said. He refused to share further details.
However, sources said the construction cost of this project would be about Rs 1,000 crore over the next 6-7 years.
Sobha recently reported 33 per cent fall in consolidated net profit at Rs 40.1 crore for the quarter ended September 30, against Rs 59.5 crore in the year-ago period.
Its total income fell 33 per cent to Rs 456.1 crore from Rs 676.8 crore in the corresponding quarter last fiscal year.
Sobha is developing about 40 million square feet of projects across 9 cities. Gurgaon-based Chintels has a land bank of about 500 acre in the NCR region.