Signature Global's Rs 2,200 Cr Gurugram Housing Project

New Delhi, Jun 29 (PTI) Realty firm Signature Global will invest around Rs 2,200 crore to develop a new housing project in Gurugram to expand business and achieve over 20 per cent growth in its pre-sales this fiscal year.

The company has recently launched a premium residential project, 'Cloverdale', comprising 770 apartments, on Southern Peripheral Road (SPR), Sector 71, Gurugram.

Signature Global emerged as the fifth largest listed real estate developer last fiscal in terms of sales bookings by achieving record pre-sales of Rs 10,290 crore.

The Gurugram-based company has given a guidance of posting Rs 12,500 crore worth pre-sales in the current fiscal.

"We have launched a new housing project in Gurugram. Housing demand continues to be strong in this city, especially for reputed builders," Signature Global Chairman Pradeep Kumar Aggarwal told PTI.

The company is selling homes in a price range of Rs 4 crore to Rs 7 crore in this project, which is spread over 8 acres and is part of an overall 22-acre development.

The project is scheduled to be completed by 2031.

Last month, Aggarwal said the company will invest around Rs 4,000 crore this fiscal to acquire land parcels and carry out construction activities in its housing projects at Gurugram.

Signature Global had invested Rs 1,070 crore last fiscal year to purchase 48 acres of land in Gurugram, Haryana.

"Land is an important raw material for real estate developers. We will be investing around Rs 1,200-1,500 crore on the acquisition of land parcels," he had said.

Aggarwal said the investment in construction activities would be around Rs 2,500 crore in 2025-26 against Rs 1,900 crore in the preceding fiscal.

Last week, Signature Global announced plans to raise Rs 875 crore through issue of non-convertible debentures to refinance debt and expand business.

"We have taken the approval of board to raise funds. We will also seek shareholders approvals," Aggarwal said.

He said the company will use Rs 450 crore to refinance its existing debt while the remaining amount will be for business growth.

Aggarwal said the company is targeting to raise funds by end of August, subject to shareholders' approval.

Signature Global, one of the leading real estate developers in the country, started its business to develop affordable housing projects but shifted its focusing on mid-income, premium and luxury segments because of high land cost in Gurugram.

It posted a net profit of Rs 101.2 crore last fiscal, a sharp jump from Rs 16.32 crore in the preceding year.

Its total income grew to Rs 2,637.99 crore in the last fiscal from Rs 1,324.55 crore in 2023-24.

Since inception, Signature Global has delivered 13.5 million square feet of housing projects and has a strong pipeline of about 21.6 million sq ft of saleable area in upcoming projects, along with 46.38 million sq ft of ongoing projects, targeted for completion within the next 2-3 years.