HDFC Realty eyes Rs 250 crore turnover
With its different business verticals finding traction, HDFC Realty, the real estate advisory and brokerage company of the HDFC Group, is eyeing a top line of ₹250 crore in five years, a top company executive said.
“In the last five years we have grown from ₹12 crore in 2012 to ₹35 crore last year,” said Vikram Goel, CEO, HDFC Realty.
“We started commercial and land related business two years back. The brokerage aggregation distribution network was started about six months back and now we are ready for rapid growth.”
“Looking at the business that we have on hand and the future work we will get, we can go to about ₹250 crore turnover in five years,” Mr. Goel said. “Expansion will happen in brokerage aggregation, commercial and land businesses.”
The firm provides services in all aspects of real estate include consulting, valuation, portfolio management, corporate leasing, development solutions, real estate market research, strategic advisory and real estate due diligence among others.
From helping in buying and leasing of commercial and office space, it is also into residential real estate brokerage as well as land transactions including providing valuation services and project planning.
Mr. Goel said the commercial brokerage and land-related business would be the focus area of growth in the next five years.
“This business, which is now contributing 35% revenue…, will grow to the size of 55-60% in five years. In commercial space, the volumes are much larger and including land it will become 55% to 60% of our whole business. And the margins are always better in commercial.”
HDFC Realty is now looking for more business from its broker distribution network that will give it volume.
This network, which now has 7,000 broker members from across India, will expand to 1,00,000 in five years, Mr. Goel said.
With Real Estate Regulation Act (RERA) coming in real estate brokers are joining professional set ups like HDFC Realty which are helping them with compliance and providing business from across the country.
The firm is present at 19 cities from where it is covering about 50 locations. “We want to consolidate the 50 locations and add some secondary locations to it and go to about 75 towns in India. Bulk of our business will come from top 20 cities and the next set of cities will give us the power to do business,” Mr. Goel added.