Mahindra Lifespaces Hits Rs 18,000 Crore GDV In FY25, Shifts Focus To Premium Segment For Growth
Managing Director and Chief Executive Officer Amit Kumar Sinha said that the company expects to maintain a steady growth trajectory in the coming years led by a stronger GDV.
Mahindra Lifespaces, the real estate and infrastructure arm of the Mahindra Group, has achieved Rs 18,000 crore gross development value (GDV) in FY25 led by enhanced focus on mid-premium and premium market segments.
GDV represents the projected market value of development upon completion and serves as a crucial indicator of a real estate project's profitability.
Speaking to NDTV Profit, Managing Director and Chief Executive Officer Amit Kumar Sinha said that the company expects to maintain a steady growth trajectory in the coming years led by a stronger GDV.
“In FY20, our GDV addition was Rs 1,000 crore. In FY24, we achieved Rs 4,400 crore. This year, we have crossed almost Rs 18,000 crore, marking significant growth. Bringing all the GDV additions together for execution will be our key focus going forward into FY26 and beyond,” Sinha said.
Sinha said that Mahindra Lifespaces is collaborating with Livingstone Infra Private Limited for a cluster redevelopment project in Mahalaxmi, Mumbai, with a GDV of Rs 1,650 crore. The project is expected to launch within the next nine months.
“We have an aggressive timeline, and with our partner, we are confident of achieving it. This Rs 1,650 crore project will feature premium construction, a high-end clubhouse, and spacious 3 and 4 BHK apartments,” Sinha mentioned.
The Mahindra Group company has also joined hands with Kolkata-based GKW for a 36.87-acre project in Bhandup, Mumbai, targeting a GDV of Rs 12,000 crore.
Additionally, it has executed a lease deed with Nihon Parkerizing India for 18.92 acres of land in Tamil Nadu. According to its website, Mahindra Lifespaces is present in nine cities across India and has developed 53 residential projects.
Amit Kumar Sinha mentioned that Mahindra Lifespaces is now focusing on the mid-premium and premium segments for growth in the coming years.
“We are not playing affordable anymore with new launches. We have a lot of commitments that we are fulfilling. And the market that has a lot of cyclicality or swings is the luxury market. By volume, it's only less than 1%, but by value, it's 10% of the market. Our sweet spot is mid-premium and premium, which is 49%, 50% of the market, but by value, that's, like, 67%, 70% of the market,” he said.
The top executive acknowledged the cyclical nature of the real estate sector, noting that upcycles typically last five to seven years. The past four years have been particularly strong for the industry, benefiting both Mahindra Lifespaces and its peers, he stressed.
“The last four years have been remarkable. However, the next phase will see more balanced growth. While price increases will moderate compared to recent years, volume growth is expected to remain healthy, driven primarily by end consumers,” Sinha explained while commenting on the road ahead.
Shares of Mahindra Lifespaces closed 0.05% higher at Rs 327.60 on the NSE, while the benchmark Nifty50 ended 1.24% higher at 23,190.65.
