In an interview, Hubtown Managing Director, Vyomesh Shah revealed about the growth possibilities and recent happenings with the company.
He reportedly spoke about the possibilities of growth in this financial year 2015 for the company which are far better when compared to last FY2014. For Hubtown, they have started seeing improvements for this quarter. They have witnessed great sales enquiries and it is shown in numbers along with increased footfalls. With having new government policies, they have seen more movements and happenings in real estate.
Recently, there are around 7-8 projects which are under recognition for revenue growth in this year. There are some projects subject to some essential permission in the next quarter. They will launch 5 to 6 more new residential projects.
The prices of real estate are about to grow up slowly and they are not going to stay as is. The enhanced input cost has also become the reason for painstaking growth of real estate prices in Mumbai. Builders have to pay premiums and input cost to the municipality and government for permissions. Hence, it leads to slow growth in sales prices also.
Hubtown is majorly focused in delivering projects in Maharashtra along with Mumbai suburbs. They also perform well in Gujarat. Over the next couple of years, they would have enough inventories to expand their reach in fresh tier II cities. For the time being, they are going to raise their construction in and around Mumbai and Mumbai Metropolitan Region (MMR) for FY15.
It seems that the growth of revenue would be 50% topline according to the location of project in this financial year 2015. It could be better than previous year when it comes to revenue growth of the company. Most of the projects are strategically positioned to provide close proximity to major areas of the city.
They have also developed some SEZs (Special Economic Zones) and contributed to make it top line. They are also going to develop one more SEZ in the heart of the city which is the first SEZ in MMR region. After launching it, they are planning to make it even better.