Macrotech Developers to invest ₹8,000 cr this fiscal on land acquisition for business expansion

Realty firm Macrotech Developers Ltd plans to invest more than ₹8,000 crore this fiscal to acquire land parcels in Mumbai Metropolitan Region (MMR), Pune and Bengaluru for building housing projects as part of its expansion plan.

Macrotech Developers, which sells properties under the'Lodha brand', is one of the largest real estate companies in the country.

In an interview with PTI, Macrotech Developers Executive Director- Finance Sushil Kumar Modi noted that housing demand continues to be strong, especially for big brands having astrong track record of executing projects.

To expand business, he said the company has set a target of acquiring multiple land parcels this financial year to develop projects, which can generate a revenue of ₹25,000 crore.

Under the new business development, Macrotech Developers purchases land outright and also partners with landowners.

In the 2024-25 fiscal, the company acquired 10 land parcels across MMR, Pune and Bengaluru.

These land parcels will be used to develop projects with an estimated revenue potential of ₹23,700 crore.

"Last fiscal year, we invested ₹7,000 crore in new business development. To add new projects worth ₹25,000 crore, we will have to invest more than ₹8,000 crore in the current fiscal," Modi said.

For joint development agreements (JDAs) with landowners, the company has to make some upfront payments to landowners.

On other operational metrics, Modi said the company has given a guidance of ₹21,000 crore worth of sale bookings for this fiscal, almost 20 per cent higher than the 2024-25 fiscal.

Earlier this month, the Mumbai-based firm had reported a 21 per cent increase in its sale bookings during 2024-25 fiscal to a record ₹17,630 crore from ₹14,520 crore in the 2023-24 financial year. The pre-sales guidance for 2024-25 was ₹17,500 crore.

On Thursday, Macrotech reported a 38 per cent increase in its consolidated net profit to ₹921.7 crore for the latest quarter ended March on higher income.

Its net profit stood at ₹665.5 crore in the year-ago period.

Total income rose to ₹4,420.3 crore in the fourth quarter of the last fiscal from ₹4,083.9 crore in the corresponding period of the preceding year.

Net profit increased to ₹2,764.3 crore in 2024-25 fiscal from ₹1,549.1 crore in the preceding year.

Total income grew to ₹14,169.8 crore last fiscal from ₹10,469.5 crore in the 2023-24.

Macrotech Developers has delivered around 100 million square feet of real estate so far and is currently developing more than 110 million square feet under its ongoing and planned portfolio.