Mumbai-based listed real estate company Keystone Realtors operates under the Rustomjee Group brand name. The company is now concentrating its efforts on Mumbai and surrounding areas. You will be astonished to note that the developer has 22 projects in the pipeline with a potential 37 million sq ft of saleable area with a gross development value (GDV) of Rs 35,000 crore. These details were revealed in an exchange filing and the company’s annual report for 2022-23.
Boman Irani who is the chairman and managing director of Keystone Realtors mentioned in the annual report that the company’s robust business development pipeline ensures consistent y-o-y (year-on-year) growth in new project additions, supported by ample liquidity. Presently, the company has 13 ongoing projects having a saleable area measuring 4.94 million sq ft, and 22 forthcoming projects having a GDV of Rs 35,000 crore.
The company’s healthy launch pipeline is assisting it towards attaining presales growth of 25% y-o-y over the next 3-5 years. The company’s management aims to enhance its presence in the mid-mass and aspirational segments as these are the largest and fastest-growing segments in the MMR (Mumbai Metropolitan Region), said Irani.
Irani further stated how the year also witnessed the company getting nominated as a favored partner for the redevelopment of five projects. These additions are in alignment with their asset-light strategy. Additionally, 85 percent of these acquisitions in terms of GDV are from mid-mass and aspirational segments.
The company has been in existence for more than 27 years and has delivered 20-plus million sq ft of development with 15,000-plus homes across the length and breadth of the city (Mumbai). Rustomjee is proud to have provided assistance to customers across market segments (from affordable to super-premium) and understand their dream of having their own home in Mumbai. The company has a healthy pipeline of 37-plus million sq ft of ongoing and forthcoming projects.
On 7 August 2023, the company reported its best first-quarter pre-sales of Rs 500 crore, showing an annual growth of 106 percent. The company said that net debt in the quarter to June 30 was reduced by Rs 70 crore, leaving zero red on its books. Its profit after tax Q1FY24 stood at Rs 50 crore, down from Rs 70 crore in the first quarter of FY24.
In November 2022 during the time of its IPO, Irani said that 70 percent of the company’s future supply will be in the Rs 1-7 crore segment in the lines of residential real estate. The company is growing its presence in Thane and plans to study markets in MMR to have niche segments in Mumbai.
Rustomjee is also contemplating and taking more time and resources in the redevelopment of building projects in MMR that provide housing to many families such as chawls, apart from restoring slums. Being one of the huge brands in the redevelopment space, the company has rehoused more than 1,400 families. The company intends to provide improved living conditions for such families through its several projects.