Realty firm Signature Global will invest about Rs 200 crore over the next four years to develop its 11th affordable housing project at Gurugram in Haryana, a top company official said. The national-capital based firm has launched 10 projects in Gurugram comprising about 9,700 flats under Haryana government’s affordable housing policy. It has so far delivered one project having 1,000 units.
“We have started construction work on our 11th affordable housing project spread over 5.5 acre and comprising 754 units,” company’s chairman Pradeep Aggarwal told PTI. The company will sell flats in a price range of Rs 19.5-24.5 lakh through draw system under the supervision of the state government officials. “We have already received over 2,800 applications from prospective customers,” he added.
On investment, he said the project cost is estimated at around Rs 200 crore, which will be met through internal accruals and bank/non-banking financial company funding. Aggarwal said the company is focusing on the development of affordable housing projects, which is being promoted by the government. The goods and services tax on under-construction affordable housing projects have been lowered to 1 per cent from 8 per cent earlier and interest subsidy up to Rs 2.7 lakh is provided under a scheme run by the Housing and Urban Affairs Ministry.
In this year’s Budget, the government has raised the limit of deduction on home loan interest to Rs 3.5 lakh from Rs 2 lakh earlier. This will be applicable for loans sanctioned during this financial year and homes priced up to Rs 45 lakh. Besides, Signature Global is developing two housing projects comprising 1,974 units at Karnal, Haryana, under the Deen Dayal Jan Aawas Yojna. It has also entered into commercial real estate segment and is investing Rs 100 crore to develop first shopping mall at Ghaziabad in Uttar Pradesh with a saleable/leasable area of one lakh sq ft. In this mall, there will be 80-room serviced apartments/suites to be managed by hospitality firm Clarks Premier. Signature Global had earlier raised Rs 200 crore fund from private equity player KKR and Rs 150 crore from ICICI Prudential to fund its projects.
