Shares of Brigade Enterprises Limited advanced 5 percent to Rs 1,055 in early trade on February 22 after the company signed a joint development agreement with PVP Ventures Limited to develop a 2.5 million square feet, high-rise residential project in Perambur, Chennai.
The company believes that this project has a revenue potential of up to Rs 2,000 crore. "Bengaluru, Chennai, and Hyderabad are key focus markets for Brigade and this strategic expansion in the residential and hospitality sectors is an integral part of the overall growth plan", the company said.
Follow our live blog for all the market action
A 9:20 am, the stock was trading at Rs 1,026, up 2.2 percent from the previous close on the NSE. The Brigade Enterprise stock has gained 36 percent in the last three months.
"The residential sector is showing sustained growth across the country, with Chennai gaining momentum from the increased presence of IT/ITeS, BFSI, manufacturing, automotive, and GCC companies in the region. We have a land bank of over 12 million square feet of residential projects across Chennai, which will be our second biggest market after Bengaluru", said Pavitra Shankar, managing director of the company.
Not just the high-rise apartment, the company's wholly-owned subsidiary, Brigade Hotel Ventures Limited, has signed a 45-year lease agreement with the Landowners to build a 250-room resort on East Coast Road (ECR) in Chennai. "The ECR property will be our first resort and is part of our plan to increase our total room count by another 1200 keys over the next four years", the company said.
Disclaimer: The views and investment tips expressed by investment experts on Moneycontrol.com are their own and not those of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.
Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
