Ansal plans Rs 1,700 cr Gurgaon township

Ansal API, the New Delhi-based real estate player, is looking at launching a 112 acre township in Gurgaon, Delhi, with expected sales of Rs 1,700 crore, a senior official said.

The company would invest up to Rs 1,300 crore to build the township in phases and would fund the investment through customer advances, the official said. It has already invested Rs 400 crore for the land acquisition.

The developer has received sanctions of Rs 125 crore from HDFC Bank. “This is the first township to be rated as a green project by GRIHA, which is promoted by the ministry of new and renewable energy, and we expect all our new projects to be rated by them.

The costs do go up by 5-7% as you use more expensive technology like solar power, etc, but project gets more credibility and are environment friendly,” Ansal API managing director Pranav Ansal said.

The units in the luxury project would be priced between Rs 50 lakh and Rs 5 crore, and includes villas, flats, apartments and plots.
Ansal has a debt equity ratio of 1:1 and the company believes it is at a comfortable position to service debt from regular business operations and is not immediately looking to raise funds through equity dilution or qualified institutional placement of shares.

Ansal is also looking to launch 1 million square feet of commercial and retail space in Lucknow and would invest Rs 200 crore to construct it.

 “We have seen rentals stabilising in the last 6 months, and in areas such as Delhi and Gurgaon they have increased by 10-15% in the last quarter. We have over 10 million sq ft of commercial and retail space in the Delhi region alone, and we have couple of commercial projects coming up this fiscal,” a senior Ansal official told DNA.

The developer is currently working on 19 townships focusing on the residential sector, which includes two mega townships - the 1,765 acre Sushant Golf City, Lucknow and 2,504 acre Megapolis Dadri, Greater Noida.

It has received Rs 410 crore as advances from sales in its Sushant City project and has bought land for the first phase in Megapolis. The townships are expected to clock in sales of Rs 330 crore in fiscal 2011 and Rs 400 crore in fiscal 2012.