Mumbai (India): Housing Development and Infrastructure Limited (HDIL) has announced its results for the third quarter ended on 31st December 2016.
Sarang Wadhawan, Vice Chairman and Managing Director, said “The real estate sector was already experiencing a low phase and demonetization has only added to the existing woes. However, we expect things to improve as banks have started lowering interest rates. Also the recently announced budget would help in reviving the market with announcements focused towards affordable housing sector.”
“On these lines, we have also announced our new brand in the affordable segment. Through this brand we shall provide quality housing in the affordable segment for first time buyers in the Mumbai Metropolitan Region (MMR). Under this brand, HDIL will provide affordable homes within Rs.50 lakh inclusive of stamp duty and registration in Mumbai Suburbs (Mulund-500 units) and within Rs.20 lakh including stamp duty and registration charges in Vasai – Virar region (1msf)
The Mulund launch will likely happen over the next 3 months and will be followed by Virar shortly. We view this development as incrementally positive especially as the company had not launched new projects over the last 3 years given its focus on debt reduction. With debt levels now reducing 40% from peak, the company is now looking to selectively ramp up its affordable housing vertical, something that it has targeted to do for a long time.
We expect a strong uptake in demand for the sector in the coming quarters.”