Stock Report

Sunteck Realty expands its annuity income business

Posted On : 2024-04-02 21:06:59( TIMEZONE : IST )

Sunteck Realty expands its annuity income business

Sunteck Realty Limited (SRL), one of India's leading Luxury real‐estate developer, is expanding its annuity income business of its commercial portfolio as it enters a long term understanding/ agreement of its second premium commercial building at BKC Junction, Sunteck Icon, to Bennett, Coleman & Co Ltd.

The built‐up area of Sunteck Icon is approximately 2 lakh square feet with an approximate rental of Rs. 300 per Sq. Ft. per month on carpet area basis. This will allow the company to generate a revenue of close to Rs 2,000 crore over the tenure of 29 years.

This encompasses a major milestone for the company as this is the second building on BKC Junction for Sunteck after leasing out BKC51 to Upgrad last year in March 2023 for 29 years.

Speaking about the commercial portfolio of the company, Mr. Kamal Khetan, Chairman, Sunteck Realty Limited,said, "Building on the momentum of our 2023 success with the leasing of BKC51 to Upgrad, it is with great pleasure that we announce the successful deal of Sunteck Icon our premium, world‐class commercial building with Bennett, Coleman & Co Ltd. The combined performance of the two rental assets is projected to yield an impressive average return of 30% on the invested capital. We envision more such developments in city‐centric prime locations, and anticipate more such marquee transactions, thereby further solidifying our position as a leading developer in the real estate segment."

"Strengthening our commercial portfolio, going forward we will be strategically positioning ourselves in the two key business districts of the Mumbai‐ Bandra‐Kurla Complex (BKC) and Oshiwara District Centre (ODC), Goregaon (West)." Mr. Khetan further added.

This partnership reflects Sunteck Realty's ongoing pursuit of excellence in the real estate sector, creating environments that inspire productivity and innovation. Sunteck Icon is a world class building equipped with all the modern facilities and amenities possesses Green Building Pre‐Certification from Edge‐IFC, a member of the World Bank group.

Overall Sunteck Realty boasts a robust and diversified pipeline of projects, encompassing over 50 million square feet. The company has achieved a remarkable feat by more than doubling its Gross Development Value (GDV) in under three years to an impressive INR 30,000 crores in FY '24. The company had recently announced expansion of uber luxury residential portfolio with entry into the poshest locations at Nepean Sea Rd and Bandstand‐Bandra West with GDV of over ₹3000 Crores.

Shares of Sunteck Realty Limited was last trading in BSE at Rs. 429.70 as compared to the previous close of Rs. 425.95. The total number of shares traded during the day was 37368 in over 2190 trades.

The stock hit an intraday high of Rs. 432.50 and intraday low of 421.85. The net turnover during the day was Rs. 15966521.00.

Source : Equity Bulls


SunteckRealty INE805D01034 Agreement PremiumCommercialBuilding BKCJunction SunteckIcon