Real estate developer Nitesh Estates plans to launch three projects in the next few months with a total saleable area of over three million sq ft, according to a top official of the company.

Mr L.S. Vaidyanathan, Executive Director, Nitesh Estates, told Business Line that the total turnover of these joint development projects would be over Rs 1,000 crore. The company would launch a 22-acre villa project in North Bangalore. “We are planning to develop 5.5 lakh sq ft, and would launch the project in the next two-three months,” he said.

The other project would see development of over 1,000 high-rise apartments across 21 acres. “This project would consist of two- and three-bedroom apartments in the price range of Rs 45 lakh to Rs 70 lakh,” said Mr Vaidyanathan. The third project would be a “unique development” at Marathahalli, he added, however refusing to give other details regarding the project.

On funding for these projects, he said that the company would fund these projects from pre-sale proceeds, and also use their credit limits with banks on a “case-to-case basis”. Currently, the company's debt equity ratio stands at 0.12. The company has no definite plans of raising funds, he said.

Nitesh Estates has over six million sq ft on ongoing construction at various stages of development. “We plan to launch about four million sq ft development every year,” he added.

The demand for residential space is “largely determined by the location of the project”, said Mr Vaidyanathan. According to him, response to launches in Marathahalli, Varthur, Whitefield, Bannerghatta Road and Kanakapura Road was good. “The newer markets are doing slow at the moment,” he added.

The company is also expected to commence construction of its mall project, for which it broke ground in early February, in the next couple of months.

> anju@thehindu.co.in

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