Sobha Developers has sold 0.74 million square feet of new space valued at Rs 502 crore, during the quarter ended December 31, 2013, at an average price realization of Rs 6,786 per square feet. During the quarter, the company had launched Elan (a joint development residential project with Lakshmi Machine Works) in Coimbatore having a total saleable area of 323,330 square feet and Sobha Estate (plotted development) in Mysore having a total saleable area of 135,083 square feet. Both the new launches have generated a positive response from the customers.
The new sales in terms of area sold have grown by 5.3% Y-O-Y during the calendar year 2013. There is a marginal decline in the area sold during 9M-14 compared to 9M-13 on account of weak sentiments prevailing in the NCR market coupled with the economy related factors.
The new sales value achieved during calendar year 2013 increased by 20.3% Y-O-Y. The sales realization has gone up by 14.3% compared to calendar year 2012. In spite of a minor downtrend in new sales, the company could achieve better price realizations resulting in a higher sales value.
The company had at the beginning of the fiscal set a guidance of new sales area of 4.20 million square feet valued at Rs 2,600 crore for the current fiscal. At the close of 3 quarters of FY 2014, the company has registered new sales area of 2.66 million square feet valued at Rs 1,737 crore.