“Real estate expert Abhishek Lodha considers expansion to a fourth city as Macrotech Developers, Lodha, evaluates Bengaluru’s growth potential”
Macrotech Developers, also known as Lodha, is contemplating entering a fourth city as part of its expansion strategy. Currently active in Mumbai, Pune, and Bengaluru, the company is adopting a cautious, step-by-step approach to geographical expansion. Abhishek Lodha, Managing Director, stated that after the successful entry into the Bengaluru market in November 2023, the company is evaluating the possibility of further expansion. The second project in Bengaluru is expected to launch in the next three months. The decision to enter a fourth city will be assessed over the next three to six months.
Lodha highlighted the growth potential in Bengaluru’s residential market, estimated at Rs 60,000 crore to Rs 65,000 crore, with an 18 percent growth over the past four years. The company aims to strengthen its presence in Bengaluru and achieve a run rate of about Rs 3,000 crore in the next three to four years.
Despite having projects in the UK, Lodha expressed a focus on growth in India. The company recently finalized the acquisition of a 100 percent stake in Goel Ganga Ventures India, a real estate developer. Lodha acknowledged the long housing cycle in India’s transition to a mid-income country and emphasized the extended nature of the housing cycle during such transitions.
In the third quarter of FY24, Macrotech Developers reported a 17.6 percent drop in net profit to Rs 313.20 crore compared to the previous year, while net sales increased by 67 percent to Rs 2,793.90 crore.