Signature Global to invest Rs 2,200 crore to develop housing project

Realty firm Signature Global will invest Rs 2,200 crore over the next five years to develop a new luxury housing project in Gurugram as part of its expansion plan amid strong consumer demand, its Chairman Pradeep Aggarwal said.

“We have launched a new housing project in Sector 37D, Gurugram on Dwarka Expressway. The total units will be 1,008 in the project,” he said.

The company has already sold the entire 1,008 luxury flats for over Rs 3,600 crore, reflecting strong consumer demand despite the price rise.

Aggarwal said the company received 5,400 EoIs (Expressions of Interest) from customers in this new 16.5-acre housing project ‘DE LUXE-DXP’.

Asked about the project cost, Aggarwal said the company would invest around Rs 2,200 crore to develop this project.

The investments will be funded through internal accruals and advances from customers against sale bookings.

He said the company would deliver this new housing project in 2028.

With sales of Rs 3,600 crore in this new project, Aggarwal said the sale bookings number has crossed Rs 6,700 crore so far this fiscal.

“We expect total sale bookings in this fiscal to easily cross Rs 7,200 crore as against Rs 3,430.58 crore in the previous year,” he said.

Already, Signature Global has achieved 41 per cent growth in sale bookings to Rs 3,124.12 crore during the April-December period of this fiscal from Rs 2,209.78 crore in the year-ago period.

Housing demand has revived post-Covid pandemic across major cities driven largely by end-users, although investors have returned to the market with decent price appreciation in the last two years.

“With growing affluence in the middle class, a significant population segment has developed better purchasing power and higher aspirations,” Aggarwal said on the reason behind the surge in demand.

“…modern-day consumers are seeking a mix of features, amenities, space, and affordability to fulfil the demands of the new age lifestyle,” Aggarwal said.

In September last year, Signature Global successfully launched its maiden public offer to raise Rs 730 crore.

The public issue, comprising a fresh issue of shares worth Rs 603 crore and an Offer For Sale (OFS) of Rs 127 crore, was subscribed 11.88 times.

Signature Global is mainly into mid-income and affordable housing segments.

Till December 2023, Signature Global has delivered a 6.7 million square feet area. It is developing a 16.9 million square feet area and also has a future pipeline of 28.4 million square feet of saleable area.

First Published: Mar 08 2024 | 11:38 PM IST