Mumbai, 26th August 2015: India Ratings today assigned Lodha Group, India’s largest real estate developer, an ‘IND A-’ rating and ‘stable’ outlook affirming the group’s financial strength in a sluggish market.
The Indian rating agency took into account considerations such as the company’s extensive land bank, vast portfolio of projects and sales among other criteria, in FY14 and FY15. The rating also took a consolidated view of Lodha Group’s clean land titles, approvals in place, a demonstrated execution track record, and strong collections and cash flows.
` Abhishek Lodha, Managing Director, Lodha Group, said: “Lodha Group has been the largest developer by sales in the country for the last 3 years. Our customers are looking for the best value i.e. best product delivered with the highest credibility at the right price and Lodha delivers this consistently, due to our strong investments in people and processes. The rating by India Ratings reflects our strong fundamentals, operational and sales expertise and high quality land bank. We look forward to further strengthening our financial performance over the next 18 months.”
In a highly cyclical and volatile sector, the ‘IND A-‘ rating confirms the group’s commitment to quality housing through world-class design, alliances and differentiated branding. Lodha Group focuses on large-scale projects across segments; its top projects include Palava, World Towers, The Park and New Cuffe Parade, which accounted for 80% of the total sales in FY 14-15.
About Lodha Group:
Established in 1980, privately held Lodha Developers is India’s largest real estate developer and amongst the world’s select multinational real estate brands with presence in India and the United Kingdom. The company is one of the most profitable players in India and the largest by sales for three consecutive years. It achieved net sales of INR 7,790 Cr for FY 14-15 and INR 7,520 Cr for FY 13-14. The group is currently developing over 45 million square feet of prime real estate across Hyderabad, Mumbai and Pune, and over 0.3 million square feet* in London (*net internal area). It currently has total land holdings of over 6,000 acres with an estimated saleable area of ~490 million sq ft. Of this, 27 ongoing and 21 planned projects, spread over 1,284 acres of land, comprise 100 million sq ft of saleable area. In addition our land reserves of 4,750 acres – the largest in the Mumbai Metropolitan Region – have an estimated saleable area of 388 million sq ft. Historically, we have executed and delivered projects to the tune of 26 million square feet across Mumbai, Pune and Hyderabad. In FY 14-15 alone the company delivered 5.7 million square feet and 5,500 units across projects. The group plans to deliver more than 11.8 million sq ft in FY 15-16. Lodha’s vision of ‘Building a Better Life’ extends across markets with several landmark developments to its credit including World One – the world’s tallest residential tower, and Palava City – the first Greenfield smart city in the country. The group has brought some of the top global names including Armani/Casa, Trump, Philippe Starck, Jade Jagger, Kelly Hoppen, Greg Norman and Pei Cobb Freed to India.In November 2013, the Group extended its international footprint with the acquisition of the landmark MacDonald House at 1 Grosvenor Square in Prime Central London from the Canadian Government for a consideration of over GBP 300 million (INR 3,100 Cr). The Group acquired another premium site in Prime Central London, ‘New Court’ at 48 Carey Street, taking the combined investment to GBP ~400 million. The group is on target to deliver over 1,000 homes each year from 2017 and is planning a further £3 billion worth of investment in the UK by 2018. Lodha Developers is one of the largest corporate entities in Mumbai, with over 3,900 direct associates and over 25,000 workmen at its sites. Over 2% of the group’s annual profits are dedicated to social programs with a focus on education as the best medium to enrich society. With offices in London, Dubai and Shanghai and planned openings in the USA and Singapore, the group is on the road to a substantial international presence. www.lodhagroup.com
Press Contacts: Lodha Group: Jovita D’Souza firstname.lastname@example.org I +91 9930339238