LEVERAGING THE EXECUTION PROWESS THE WADHWA GROUP
THE GROUP’S BUSINESS PHILOSOPHY LAID DOWN BY ITS CHAIRMAN – EMERITUS VIJAY WADHWA, HAS BEEN REINFORCED WELL UNDER THE YOUNG AND VIBRANT LEADERSHIP OF NAVIN MAKHIJA, MANAGING DIRECTOR OF THE WADHWA GROUP WHO HAS BEEN TAKING THE COMPANY TO NEW HEIGHTS WITH HIS FUTURISTIC, INNOVATIVE AND CUSTOMER-FRIENDLY APPROACH.
When most of the Indian real estate industry came to a screeching halt due to the sudden Coronavirus outbreak, Mumbai’s five-decade old ‘The Wadhwa Group’ sailed this rough weather successfully. Navin Makhija’s ability to foresee the market and economic fluctuations have not only helped the Group consolidate its position as ‘the preferred developer’ of today, but also under his able guidance, company’s seasoned real estate professionals are emphasizing on nourishing financial viability of the projects and raising the construction and architectural standards.
“WE HAVE BEEN CAUTIOUS YET SUCCESSFUL IN ACQUIRING STRATEGIC LAND PARCELS AT MARQUEE LOCATIONS AND HAVE ALWAYS AVOIDED OVERAGGRESSION & OVERTRADING. GOING FORWARD, THE GROUP IS KEEN ON ACQUIRING STRATEGIC LAND PARCELS UNDER ASSETLIGHT APPROACH.”
FINANCIAL STRENGTH & PRUDENCE
Practicing the financial discipline, The Wadhwa Group boasts of a clean portfolio of construction finance loans and is focused on reducing exposure in non-core assets. Navin elaborated, “As an organisation, we have always attempted to be financially sound in peak or weak times. We have paid–off our construction finance loans taken in three large joint venture projects, which are now generating positive cash flows for the Group. Such a move is unusual; yet a notable task for any developer, particularly during the pandemic where the fraternity has been under immense debt ladder. In the last one year, we have reduced debt levels by more than Rs. 600 crs. We are targeting to further reduce debt levels by at least 20 per cent in the next one year.”
In addition, the sales cycle of the projects has been consistently increasing even during the pandemic with rising revenues, better pricing and profitability. Moreover, the Group ensures ‘transparency’ and has opened up digital avenues for customer solicitation and to facilitate closures. “This extra push fetched early financial closure for all our ongoing projects,” said Navin.
PROMISE OF SUSTAINABLE HOMES ON-TIME
Currently, The Wadhwa Group, is developing over 4.21 million sq. ft. of residential, commercial and township projects with a further 45 million sq. ft. of development in the pipeline. Navin believes that the customer is evangelist for any project and his priorities have to be met first. With this rationale, the Wadhwa Group has always ensured speedy execution of every project for a timely delivery. The company is known for timely completion of projects – a tag wellreckoned by over 20,000 customers of its various residential projects and over 150 corporate tenants.
“OUR FOCUS ON BUILDING INCOME GENERATING A-GRADE COMMERCIAL ASSETS AND COMPLETING THE ON-GOING PROJECTS ON A STANDALONE BASIS PROVED TO BE A GOOD STRATEGY FOR US DURING THESE CHALLENGING TIMES. DURING THE LAST FINANCIAL YEAR, THE GROUP HAS ACHIEVED SALES CLOSURES EXCEEDING WORTH RS. 2000 CRORES.”
Sensing much before than his peers that it was time for larger, eco-friendly homes, Navin not only introduced the Group’s novel concept of home designing called ‘Ventilit’, but he also focused on delivering larger and liveable spaces when the rest of realty sector was busy designing compact homes just to achieve larger volumes with lesser ticket sizes. Amid the pandemic, as people are looking for upgrading their homes, Navin’s prediction about changing customer preferences is proving to be just right. “The COVID-19 pandemic has taught us to rethink and re-invigorate in every way. As a branded developer, we find this as an opportunity to reconsider everything – how we build up communities, which are more sustainable, healthy and resilient.” shared Navin.
“THE WADHWA GROUP’S MOTTO OF ENSURING ‘TIMELY COMPLETION OF PROJECTS COUPLED WITH ADVANCED DESIGN & FOCUS ON INNOVATION’ BACKED BY STRONG MANAGEMENT OF FINANCE MAKES THEM CAPABLE OF ABSORBING CYCLICAL IMPACTS AND MARKET FLUCTUATIONS CAUSED DUE TO UNCONTROLLABLE FACTORS.”
The Wadhwa Group has always enjoyed the fancy of investors be it in retail or institutional format and has seen a consistent investors’ interest in its projects. Recently, the Japanese institutional investor Marubeni Corporation invested a maiden Rs 300 crore in the Group’s ongoing one-million sq. ft. of residential development ‘Atmosphere O2’ in Mulund suburb of Mumbai, where the first phase has already been completed and delivered to more than 700 customers. Also, Tata Capital and Apollo Global have inked pacts with the Company for grant of construction finance.