Risland to invest Rs 700 crore on the South Delhi project; two more projects to come up in Mumbai and Chennai
Hong Kong-based real estate firm Risland Holdings has forayed into the Indian market and is developing the company’s first luxury housing project in Delhi’s Chattarpur area at an estimated cost of Rs 700 crore. The project is RERA registered and would formally be launched by June-end.
Li Qiongjia, Risland’s North India Director, said the company is developing projects in Mumbai and in Chennai and is open to developing townships, commercial projects and industry parks going forward if it gets the right partners.
A: Risland is a Hong Kong-based multinational real estate conglomerate. We have developed projects in many countries including the United States, UK, Australia, New Zealand, Thailand, Indonesia and now India. We entered the Indian market in 2017 and our currently working on projects in New Delhi, Mumbai and Chennai.
Sky Mansion is our first project in India -- a 100-metre tall ultra luxury residential condominium that is set to redefine the skyline of South Delhi. Construction work has already started and the project would be ready for possession in November 2021. The construction contract has been awarded to CCTEB India (China Construction Third Engineering Bureau).
Risland will develop 160 units in the project, which will be launched for sale next month in the Rs 7-12 crore price range for an apartment. The rates of penthouses will be Rs 22-25 crore.
The total project cost is estimated around Rs 700 crore, which will be funded through internal accruals and advances from customers against sales. The company has tied up with local developer Uppal group to construct the Chhattarpur project. Uppal group owns 4.1 acres of land.Q: Why did you launch your first project in Delhi-NCR?
A: India is one of our fastest developing countries. A large population wants better housing and a better experience. We chose Delhi first as it is the capital city and Mumbai because it is the economic capital -- these two cities are very important for the company to have a footprint in India.
We selected Chattarpur for SkyMansion because it is in South Delhi and the area boasts of farmhouses. The land sanction plan was ready by our partner Uppal and we saw it as a good opportunity to construct South Delhi’s only skyrise.
In Mumbai, we are coming up with a project called Icon in Thane. The Chennai project is still in initial stages. All land approvals are in place.Q: What is the company’s total investment in all the three projects?
A: The company has invested Rs 900 crore across three cities. We are currently focusing on Delhi. For SkyMansion, we have invested over Rs 300 crore on the entire construction so far and plan to invest more than Rs 700 crore on construction and finance cost.Q: What are the facilities being offered at the Delhi project? Is the project RERA registered?
A: Our joint development partners have already sought land approvals. We are registering the project with RERA. Simultaneously, we have also obtained the GRIHA pre-certification on a three star basis.
Some of the facilities on offer include a temperature-controlled pool, gymnasium, library, café, international tennis court, jogging track and five layered landscaping. There are other benefits in terms of utilisation of technology.
The focus is on how quickly you can get into the apartment, how secure do you feel and how do you utilise technology inside to enhance your comfort. The floor area ratio (FAR) available is 2.0. We will be constructing approximately eight lakh sq ft of built-up area.
Apartments start from level four and amenities are available on level 3. A 3 BHK unit is approximately 3,200 sq ft on a carpet area basis, 4 BHK apartment 3,900 sq ft and penthouses about 11,000 sq ft, which are three floors high and would have two apartments per floor. We have about eight penthouses in the project. Prices for a 3 BHK range from Rs 7 crore to Rs 8 crore, 4 BHK from Rs 8 crore to Rs 9 crore and penthouses from Rs 21 crore to Rs 24 crore.
Overall, there are 27 floors including one basement, two podiums, one community and one fire check floor on the 17th floor.Q: Reasons behind launching a luxury project in a slow market?
A: The first project is always important. This is our landmark project. It may not be difficult to sell as we have only 160 units to start with. There are around 2,500 farmhouse owners in the vicinity. We are not in a hurry to push sales. We have already reached level 14 in terms of construction. The project is expected to be complete in November 2021, but we are targeting to complete it much earlier.Q: Are you planning to continue focusing on the luxury market or are you open to other asset classes?A: Delhi is the prime market for us, but the city has limited land supply. Going forward, we are also targeting Gurugram, Noida and Faridabad. In Delhi NCR, we are scouting for more residential projects.
In the next three to five years, we are looking at eight to 10 projects. We are primarily focusing on residential complexes, but are also looking for greenfield township projects with schools, shopping malls, power sub-stations, etc as we do in other countries. We are also open to commercial projects and industry parks if we get the right firstname.lastname@example.orgSubscribe to Moneycontrol Pro and gain access to curated markets data, exclusive trading recommendations, independent equity analysis, actionable investment ideas, nuanced takes on macro, corporate and policy actions, practical insights from market gurus and much more.