Brigade Group Plans to Expand Office Space by 3 Million Sq Ft, Aims for Revenue of Rs 380 Crore
Brigade Group, headquartered in Bengaluru, intends to increase its office space by 3.15 million sq ft across Bengaluru, Chennai, and Hyderabad by the end of FY25, according to Nirupa Shankar, the group’s joint managing director. Alongside, the company has 1.4 million sq ft under construction and anticipates generating revenue of Rs 400 crore from both ventures.
The upcoming projects comprise 1.2 million sq ft in Bengaluru, 1 million sq ft in Hyderabad, and the remainder in Chennai.
Shankar mentioned, “Presently, we operate 7.5 million sq ft of office assets. However, within the next two years, we aim to add a total of 4.5 million sq ft in these three cities.”
In Bengaluru, the focus is on Whitefield, the eastern IT hub, for future developments. Additionally, the company is finalizing 1.3 million sq ft of office assets in north Bengaluru, scheduled for completion by the first quarter of the next fiscal year.
The forthcoming office developments will predominantly feature major office parks across these cities. Moreover, the company possesses a 3.5 million sq ft land parcel near the international airport, earmarked for a built-to-suit development.
Furthermore, the company plans to maintain its focus on Bengaluru, Hyderabad, and Chennai in the next fiscal year while expanding into smaller cities like Thiruvananthapuram and Kochi.
In Q3FY24, Brigade Group recorded a net profit of Rs 56 crore, up 31 percent from the previous year, with revenue reaching Rs 1,208 crore. The company leased out 0.49 million sq ft in the office segment, generating a revenue of Rs 247 crore.
Shankar indicated that the flex office space portfolio under the brand BuzzWorks currently comprises 3,110 seats. They plan to add 400 seats by Q1 FY25 and aim to double the total seats to around 1,000 by the end of the next financial year.
The flex segment presently contributes 30-35 percent to the overall office segment, with plans to expand into tier II cities. The retail portfolio also aims to double, with plans for a destination mall in Hyderabad and two smaller malls in Bengaluru townships.
Moreover, the company intends to add four more properties in the hotels segment—one each in Chennai, Hyderabad, and two in Bengaluru—by the end of FY25. The total development potential for the hospitality segment is 1 million sq ft, with one hotel in Mysuru slated to begin operations by Q3 FY25.
( Credits: Money Control )
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