MAX ESTATES LTD (NSE: MAXESTAT) Q1 2026 Earnings Call dated Aug. 11, 2025
Corporate Participants:
Unidentified Speaker
Sahil Vachani — Vice Chairman and MD
Nitin Kumar Kansal — CFO
Analysts:
Unidentified Participant
Ashwini Agrawal — Analyst
Pratish — Analyst
Ritvik Seth — Analyst
Ronald Sioni — Analyst
Raj — Analyst
Sucre Patel — Analyst
Prakshit Gupta — Analyst
Presentation:
operator
Ladies and gentlemen, good day and welcome to Max Estate Limited Q1FY26 earnings conference call. As a reminder, all participants lined will be in. Listen only more and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during this conference call, please signal an operator by pressing Star then zero on your touchstone phone. Please note that this conference has been recorded. I now hand the conference to Mr. Sahil Vacani, MD, and Vice Chairman of Max Estate Limited. Thank you and over to you sir.
Sahil Vachani — Vice Chairman and MD
Thank you and good morning to all for joining us on this quarter one FY26 earnings conference call for Max Estates. Along with me Today we have Mr. Nitin Kansal, our CFO and Mr. Archit Goel, our head of IRN SGA, our investor relations Advisors. The presentation has been issued to the stock exchanges and uploaded on our company’s website. I hope you’ve all had the opportunity to go through it. Let me first share some industry highlights and then business highlights for the quarter. Delhi NCR is expected to maintain its dominance across the country’s top metros in terms of semi luxury and premium housing demand and supply in the country.
Infrastructure advancements, employment opportunities and increased urbanization continue to strengthen the NCR’s housing market in the near to midterm. The first half of the calendar year 25 proved strong for the residential segment. Ultra premium homes priced at 5 crores and above continue to attract high end buyers. With volume sales growing by 9% to 5,200 units approximately in the first half of the year across the top seven cities, Delhi NCR accounted for 65% share of the total premium and luxury sales sectors such as rising disposable income, aspirational lifestyle priorities and home buyers scouting for homes with better amenities have kept the demand steady in this region.
Not to mention the consolidation that we see is continuing. Despite an annual decline in residential sales volume for the first half, real estate developers are actively launching premium supplies with the best amenities and superior construction quality. The share of premium and luxury sales to overall sales has also risen to 27% as compared to 19% previous year. On the commercial front, NCR’s office space leasing touched an all time high of 7.2 million square feet in the first half of the year, up 27% year on year. This makes NCR the second largest commercial office market in the country.
Gurugram leads both commercial and residential segments as demand shifts towards premium offerings and global firms expand their footprint. Noida has also caught up well with the Gurgaon market in the first half of the year. Global capability centers or GCCs have also expanded their share growing from 11% of leasing activity last year to 31% in the first half of commercial year 25. Transaction volumes also remain vibrant across major business districts in both Gurgaon and Noida. Noida’s expressway corridor and Gurgaon’s golf course extension remain magnets for global enterprises that value high construction standards, robust infrastructure and fantastic ecosystem and developers with a proven track record of execution Coming to Max Estates I’m delighted to share that till date we have recorded cumulative pre sales of more than 7,300 crores in just two years for which the projects are under implementation.
Of this we have already collected close to 1800 crores with a collection efficiency of more than 96%. We plan to launch 9500 crores of new projects or GDV in the second half of this year across three projects and across two micro markets one in Gurgaon and two in Noida and target of FY26 pre sales of INR 6000 crores which was our original guidance as well representing 15 to 20% growth over FY25. On the commercial front we are poised for an annuity rental income potential of over 700 crores over the next five years basis. Peak Occupancy of Projects currently in the portfolio at present our real estate portfolio stand at 17 million square feet spanning both commercial and residential asset classes including projects currently under development.
Speaking on the residential portfolio and coming to our projects first Estate 128 Noida both in phase one and phase two. Having booked more than 2,700 crores of pre sales 100% sold out, we have collected 905 crores till date. Already phase two of Estate 128 saw 40% price premium over phase one reflecting strong demand for design and hospitality led end user focused residential developments and solidifying the brand of Max Estates. Estate360 in Gurgaon recorded pre sales value of 4600 crores approximately with 98% of the project sold as of 30th of June. The project has already received a collection of close to 900 crores as of June 25.
Max Estate’s joint development in Gurgaon on a land parcel of 18 acres having a potential of 4 million square feet adjacent to the already successfully launched Estate 360 project has a GDV potential of 9,000 crores and is planned to be launched in Q3 of FY26 on a medium term basis, we target cumulative presales of 21,000 crores by FY28 growing at a 15 to 20% CAGRADE of this projects which we have already secured include Estate 361 in Gurgaon, Delhi 1 in Noida and Sector 105 in Noida as well which contribute about 15,000 crores of this GDV and these launches planned in FY26 and FY27 now coming to the mixed use portfolio.
As we updated, Max Estates has received the final approval From NCLT and NCLAT for the revival of the Delhi 1 project which is designed to be as a luxury first of its kind mixed use development. The project spans approximately 2.5 million square feet within the 10 acre land parcel. The project planned to be launched in Q4 of FY26 has a gross development value of 2000 crores as well as an annuity income potential of 220 crores annually. The development of this project will consolidate Max Estate’s position as the leading premium real estate developer in Noida and in NCR.
In addition to this, Max Estates had acquired 10 acre land parcel in sector 105 through an auction from the Noida Authority for 711 crores which is again a mix of residential and commercial. This project has a gross development value of approximately 3,000 crores and annuity annual rental income potential of approximately 150 crores. This project is also expected to be launched in QF Q4 of FY26. With this, please allow me to hand it over to our CFO Nitin Kansal for a detailed update on the commercial portfolio as also financial updates. Thank you.
Nitin Kumar Kansal — CFO
Thank you Sahib. Good morning everyone. Let me give you an update on the commercial portfolio. Max Towers Noida and Max House, both phase 1 and phase 2 in Delhi continue to be 100% leased and occupied with a rental income of Rs. 13 crore and 12 crores respectively for the quarter 1 of financial year 26. Max Square has also achieved 100% occupancy within a year of its launch with a recent lease of 23% area to a marquee. Let’s see. Adobe commanding a 30% premium to the micro market, showing strong leasing traction. Now coming to commercial projects under design and development.
Max two Noida projects having a leasable area of 1 million square feet is on track and is expected to receive occupancy Certificate by the Quarter 2 of Financial Year 28. The project is expected to yield an annual rental in excess of rupees 110 crores max 65 at sector 65 Gurugram, having a leasable area of 1.6 million square feet is on track and is expected to receive occupancy certificate in two phases, first phase of 40% by quarter two of FY28 and the second phase by quarter three of FY29 respectively. The project cumulatively is expected to have an annual rental in excess of rupees 200 crore.
Overall our commercial portfolio is poised for an annuity rental income potential of over Rs 700 crores on 100% basis over the next five years. All the developments across Work well and Live well portfolio are pre certified to be LEED or IGBC Platinum or Gold Ratings with deep focus on best practices for sustainability and health and well being. We are delighted to also announce that our commitment to end user experience reflected in how we operate our assets has also earned us the prestigious Lead O and M well Health and Safety and multiple ISO certifications. With our strong growth momentum and an unwavering commitment to the live well and work well philosophy creating spaces that elevate the quality of life, we are confident in our ability to emerge as a dominant force in the NCR real estate market targeting a position among the top two brands.
Our priorities remain centered on sustaining a healthy balance sheet and generating robust cash flows enabling timely execution and delivery of our commitments. To give you a financial Update on the quarter one results, our consolidated revenue stood at rupees 52 crores in quarter one showing a growth of 27% on year on year basis. The consolidated EBITDA stood at rupees fourteen crore in the quarter one consolidated EBITDA was seventeen crore as compared to twelve crores in the corresponding period. Total area leased is 1.2 million square feet across all our commercial assets. Lease rental income across the three assets, Max Towers, Max House and Max 12 was up 33% year on year basis and the revenue for the facility management Max Asset Services was 13 crore in quarter one showing a growth of 52% on year on year basis.
As on 30th June. The gross debt of the company stood at rupees 1406 crore with a cash balance of rupees 1578 crores. We hit net cash of rupees 172 crores further of the debt of 1578 crore. Share of Max Estate stood at rupees 837 crores with the balance of 730 crore representing the share of New York Life in the commercial assets. Now I Would like to open the floor for the question and answer session.
Questions and Answers:
operator
Thank you. We will now begin the question and answer session. Anyone who wishes to ask the question you may press star and one on your touchstone telephone. If you wish to remove yourself from the question queue you may press star and 2. Participants are requested to use handsets while asking a question. Ladies and gentlemen, we will wait for a moment while the question queue assembles. The first question is from the line of Ashwini Agrawal from D Meter Advisors. Please go ahead.
Ashwini Agrawal
Hi. Morning Sahil and team. Wonderful updates and results. I had a couple of questions. One is on the commercial portfolio. You know, once the whole thing is rolled out. What is the kind of debt on a consolidated basis that you will have in the commercial portfolio once your full 725 crores odd of rental potential is in operation? And how much of that would be match estate share? Any ballpark number. So.
Nitin Kumar Kansal
Thanks Vishen, this is Nitin. Once we have all the assets completed under construction and the lease rental flowing of 700 crores our construction finances would have been converted into L and our existing lrds would have got significantly paid down. At that point of time we would be expecting a number of close to 1500 crores which would be outstanding. Of which our share would be corresponding to 51%. A number close to 750 crores which you can expect a debt on account of Max estates. And is there any money that New York life still needs to bring in or.
They brought in everything because now they have 51% across all projects. Right?
Ashwini Agrawal
They got 49% according.
Nitin Kumar Kansal
Yeah. So what is happening? They have deployed capital for our commercial asset 65 Max square and the Delhi 1105. There’s a small component of across close to 100 crores across this assets which they need to bring in which we will. Which they will deploy. Will do a capital call at the. At the appropriate time as and when the the project needs capital. Sorry, what’s the amount that still needs to be called? Close to 100 crores across all the assets. Yeah, but having said that this is a total availability of capital which we have with them.
Having said that parallel we have also achieved financial closure on these assets by raising debt. So this capital would be required to be called from. If I’m right, it’s in the second or third year from here on. Okay. And the area that is being serviced by Max Max Asset services is there. You collected 13 crores during the first quarter. Is all of that just the service revenue or that includes some development revenue? That you are allowed to collect on projects under development jointly with New York Life. So this is all facility management income. The development manager FEES which is 5% accrues on the balance sheet of MEL.
That doesn’t go to Max Asset Services. This is purely an account of facility management.
Ashwini Agrawal
Okay.
Nitin Kumar Kansal
Okay. And this is roughly about 35 rupees per square foot per month. Would that calculation. What happens is we have got multiple effects now. We have got facility management charges ranging from 20. From 20 rupees to 30 rupees depending upon. In. In the case of Max house the number might be close to 30. And in case of Max where the number would be 20 you can say the average would be close to 25 which would be collecting across the portfolio. But that 13 number doesn’t come because right now area that’s being serviced is roughly 1.3 million square feet.
Right. So the only catch which comes in this is in addition to the area which we own there’s another. What point? 3 million square feet which is owned by Max Life Insurance Company in Max Towers in which the income also accrues to Max Asset Services. Oh, okay. That’s a mistake I’m making. Okay. Okay. And the residential portfolio will basically be self funded by. Through customer deposits or customer advances. Yes, yes. In fact if you see we have been already able to collect close to 1800 crores across both the assets which we have launched till date.
And we also carry a balance of balance close to what? 8, 8.5900 crores against both the sets which is currently in the rare accounts. And last question sector. 105. Noida. The residential portion. Is there a minority interest holder there or that’s 100% Max Estates. So there is there in fact three holders in that we have got Max Estates owns 51% over there we have got New York Life and we have got other minority shareholders also which are in the tune of 7% and close to 43% is owned by. By New Life. New York Life would be the commercial part.
Right. The residential part. They don’t participate or they participate there.
Nitin Kumar Kansal
In these two projects. Ashwini. In both side. This is Sahil in both 105 and also max 1 or Delhi 1. New York Life has a shareholding across the whole project. Oh, okay. Okay. So whatever other realization that you do from residential sales.
Ashwini Agrawal
Yeah.
Nitin Kumar Kansal
Will go to them as well.
Ashwini Agrawal
Yeah. I won’t think the revenue but at the bottom line.
Nitin Kumar Kansal
The bottom line.
Ashwini Agrawal
Yes. Yes. After we fund the commercial portfolio there.
Nitin Kumar Kansal
Yes. Oh, okay. Okay. Got it. Okay. Thank you. So much thanks and all the best. Thank you.
Ashwini Agrawal
Thank you.
operator
Thank you. The next question is from the line of Pratish set and from Access Capital. Please go ahead.
Pratish
Yeah, thanks for the opportunity. First question is on the demand side. So I think quite an actionable quarter in terms of multiple launches across various developers. And we have seen projects getting absorbed from 50% to even 100%. How do you see the demand going ahead, Sahil, considering we know these uncertainty around tariff etc. Which might impact certain sector etc. So how you see it going ahead and as per your assessment, what has worked in last quarter in terms of products etc, you know, which would be a key learning for our projects which are upcoming for us in second half.
Sahil Vachani
Yeah. Thank you Pradesh. So firstly, you know, I think we all live in a very uncertain environment and it’s very difficult to be able to predict predict the future. Frankly, you know, my guess is as good as yours in terms of how some of the things will pan out with tariffs and the ramifications or outcomes of that. Having said that, what I will say is that for us at Max Estates we remain very confident because of the following reasons. Number one, if you look at our launches, they are spread over three different projects. In Gurgaon there’s a project and two projects in Noida.
Second, in the project in Gurgaon our launches is we have a section that is for Max Estates and a section that we will sell under the Antara brand. So from our perspective there are two different product categories, there are two different brands and there are two different sales networks or channels through which we are selling that. So that’s the second. The third is if you look at it from a size perspective, each launch that we are doing is not more than 350, 400 units per se in each location or micro market. In fact, in Noida we’ll have 290 units.
In Delhi 1 we will have 50 units only. And in Gurgaon we’ll have a total of about 450 units. So it’s not that the concentration of number of units in each micro market or in each location or in each project is very large. Fourth, what we are seeing to your question in terms of how we have seen it in the past is brands who have there is a consolidation trend, there is a shift towards quality. And we believe that at Max Estates we are at the forefront of that with what we have delivered and the kind of confidence that we have garnered more so that there has been an uplift and even for the price appreciation that people have seen in our projects has been far superior to what the market has seen.
So there is an overall added optimism in terms of what we want to do. So if I were to summarize our strategy of having multiple brands, which is Antara and Max Estates, our strategy of not concentrating in one micro market in just one location, our strategy of the number of units in that project, we remain very confident that we will be. Able to do that.
Sahil Vachani
In terms of your larger question on demand, honestly, very difficult to predict the future in these uncertain times.
Pratish
Sure. And just whatever sales you did in this quarter, in terms of your usual conversion cycles, timelines, etc. Any mark change there versus, you know, what we have usually seen, actually for.
Sahil Vachani
Us it’s been pretty good because we have no inventory left now at all. We’ve sold everything that we had and more. So for us, the collections have been fantastic. So a key lever, I understand, is how good collections are. And if you look at our collections, we’re at 96, 97% collection overall. And the remaining 4% are also that are not due right now. They are due like in the next few weeks. So what is due? We’ve collected 100%. So our collection cycle has been really fantastic as our numbers are showing. So we are very optimistic and confident that for us particularly, it’s not showing any signs.
But like I said, we live in a very uncertain time and we see what the coming months have in store for us.
Pratish
Sure. And just on the slide on the growth pipeline, quite a few changes that I see on that disclosure versus last quarter. So one, I think Noida, one of the project which was outright last quarter has been converted to JDA this time. Is it on our discretion of how we want to go ahead or.
Nitin Kumar Kansal
Okay, yes, absolutely, it’s on our discretion. And you know, I think while we are very optimistic and we want to close out opportunities, we are very aggressively pursuing opportunities. We don’t want to do that at the cost of financially being imprudent or being too over aggressive and therefore with some of the prices that they work out in the way that they are. And there is sometimes a mismatch if we go out for an outright acquisition. We feel sometimes it may be more prudent from a balance sheet perspective to look at some of those deals through a JDA construct.
Having said that, we are still very confident of our continued focus on business development. We have two years of pipeline that is already that we have secured, in fact, a little bit more than that. And we are very confident that basis, our Growth. And we are very confident that we’ll add to that for our third year onwards.
Pratish
Sure. In general, what are the timelines for each stage? Like, you know, how much time it takes for us to reach a final signing from commercial negotiation or a definitive documentation, if you can explain that, for our benefit.
Sahil Vachani
So I think from the day we start commercially engaging on a deal to when we close the land, it takes anywhere between nine months to 12 months, you know, from full, for a full end of the cycle, from start to finish. We have had experiences where we’ve done it in shorter time as well, about six months. But we like to take the time upfront to make sure that we don’t get caught out on the wrong foot. And we are, because, like I said, we are conservative in our underwriting, we are conservative in our diligence, and therefore we’d like to take the time up front to do that.
Pratish
So all of these projects would get finally signed in next 912 months, is it? And little earlier as well.
Sahil Vachani
Yeah, I don’t think that all of them will, but I think that obviously we are working on, you know, if you see our aspiration, it’s to add 3 million square feet of projects. And if you look at the total deals that we are working on, we are working on around 14, 15 million square feet. Right. So the idea is to add 3 million to keep with the growth pipeline that we are doing. So the question is we have to keep many balls up in the air and have many conversations and many deals and try and select the best one that.
That we feel is in our interest.
Pratish
Sure, got it. And just one last, I think two Gurgaon projects, the size of those two projects have also gone up. Is it just expanding the scope with same landowner partner or. These are like completely new projects.
Sahil Vachani
They’re separate projects. They’re separate projects.
Pratish
Okay. Okay. Okay, got it. Thanks. That’s it from. I said all the best.
Sahil Vachani
Thank you. Thank you.
operator
Thank you. Before we take the next question, we would like to remind participants, you may press star and one to ask a question. The next question is from the line of Ritvik Seth from 1Upfin. Please go ahead.
Ritvik Seth
Hi, good morning, sir. So a couple of questions from my end. Firstly, just continuing the question on the bd, what kind of outlay do we expect to spend in FY26?
Nitin Kumar Kansal
Hi, good morning, this is Nitin. What? We’re expecting to spend a number in the range of 500 to 800 crores in the BD in the current year.
Ritvik Seth
Okay. Okay. And so this do we have cash on hand, like usable cash excluding the RARA cash. Yes, yes. So as we speak we have got cash available for closing this funding and the operating cash flows which get generated from the existing projects will also help us fuel this growth. And so in the last three years we have launched two projects actually two projects and one more phase at Sh128 also where we have seen immediate sales of those projects within few months. So you know now seeing the cycle little bit rationalized, what kind of internal estimates do we have like time period for selling these upcoming three projects for FY26, Delhi one sector 105 and the gurdao of sector 36 project. So just trying to get a sense, you know. Yeah.
Nitin Kumar Kansal
What we are doing is if you see our target launch pipeline for the current year is close to 9, 500 crore rupees. And what we are expecting is giving a guidance of 6 to 6500 crores. Although in the past what we have seen a consistent trend across the project that we are able to sell all the units in a very short span of time. But in the current year we’ve been conservative about it. In spite of launching 9500 we will selling close to 6 to 6500 crores across these three assets.
Ritvik Seth
Okay. Okay. So 2 third kind of project sales we are targeting in six months itself.
Nitin Kumar Kansal
Yes, yes.
Ritvik Seth
Okay. And a couple of bookkeeping questions. How much money Max has invested as equity in the commercial projects in the under construction project. The two under construction projects till date.
Nitin Kumar Kansal
So we, so we would have, in terms of equity we would have deployed close to 550 crores across these two assets. And she has got corresponding equity share also coming from New York Life.
Ritvik Seth
Right. Okay, got it. And just on the total debt is everything related to commercial or there is some part of residential as well in the total debt.
Nitin Kumar Kansal
So currently all debt is either construction finance which is for commercial assets or lease rental discounting which we have taken across our lease assets for residential. They’re still funded and the collection is being used to is getting deployed in the project itself.
Ritvik Seth
Okay, okay, great sir, thank you. And all the rest.
Nitin Kumar Kansal
Thank you.
operator
Thank you. The next question is from the line of Ronald Sioni from ICIC Securities. Please go ahead.
Ronald Sioni
Yeah, thank you sir for the opportunity and congratulations on good numbers. Just on the sales front like you will be having less than 200 crores, right for Estate360 Burza. And hence the launch, you know would be very much critical for the H2. So if you can give us, you know, at what stages these three projects are there in terms of approvals and where should we expect, you know, radar to be filed for this project?
Sahil Vachani
Yes, thank you Ronald. So yeah we are in building plan approval stages for both our 361 project and also the Max 1 project. And we are going to submit our building plans shortly for our sector 105 projects. So like I said H2 is the right assumption for us. Spread over Q3 and Q4 for these three projects.
Ronald Sioni
And like you mentioned the number of units to be launched. So in terms of gdv can you also highlight that because some part of it would be launched in FY20.
Sahil Vachani
Yeah. So the GDP that the GDV that Nitin mentioned is we are going to be launching about 9,000 crores of GDV this financial year. That’s our launch plan of GDV and our guidance is to be able to achieve 6,000 crores of resales.
Ronald Sioni
So bifurcated into this three possible, I.
Sahil Vachani
Think broadly if you look at it it will be about 4,000 crores, four and a half thousand crores for Estate 361. It will be about 2,000 crores for Max 1 and it’ll be about 3,000 crores for 105.
Ronald Sioni
Thank you very much. And on the Estate 360 front did we see a flat is kind of realizations, you know over the last last six months. Like the rate is coming around 21700 odd from earlier under 22,500 per square feet. So are we seeing a stagnancy?
Sahil Vachani
No, actually if I, if I can correct you there please Ronald. We launched sales in Estate 360 at if I’m not mistaken, a price of 18 to 19,000 rupees a square foot. And we are currently seeing our last transaction at close to 22,000 rupees a square foot. So in a short span of almost 6, 7, 8 months. There is also, it’s not a flattish curve, it’s an increasing, it’s an increasing curve. And I just pass on to Nitin, he wants to add to this as well.
Nitin Kumar Kansal
Further to this what is happening earlier units had a higher component of PLC which was getting attached to it. When we, when you saw net realization the number would have been higher. These number, the base number has gone as Sahil mentioned from close to 19 to 22. But because of the PLC not being there on these units it gives an impression that the realization is less.
Ronald Sioni
Okay. And if you can just broadly highlight on the pricing front like what. Because most the industries does not expect, you know, more than single digit hikes this year. So as you know, the kind of price hikes over the last two years which we have seen would be done away with and we should expect single digit hikes from here on. And if it is, you know, is there, you know, some kind of concern in the investor community, especially in the Delhi and Sia region that you know, would taper down a bit because of this, because of low pricing?
Nitin Kumar Kansal
Yes. So what has happened the last couple of years had been an exceptional run in terms of residential real estate pricing. And that was in fact that couple of years was more kind of a reflection of what had happened in last 10 years. So it was a kind of a catch up which was happening for last 10 years in the pricing which happened in the last couple of years. Going forward, we don’t expect a repeat of same pricing increase to happen. And we would like to say, we.
Sahil Vachani
Would like to underwrite a much more.
Nitin Kumar Kansal
Conservative, if I can say early double digit kind of growth prices happening in the pricing.
Sahil Vachani
I can also just add to that. I think one of the other aspects here is that we are building communities that are very end user driven. And while our belief is that while we cannot control what happens during the construction period, but we are very confident that when these communities are handed over there will definitely be significant price appreciation because of the end user nature of the community. For example, in Gurdon we have senior living. Senior living is not even an investor led market. Right. It’s more an end user led market. So we have seen that where there is end user occupation is where there will be a significantly better ecosystem to live in which will lead to as an outcome better prices.
So just wanted to share that as well.
Ronald Sioni
Thank you very much.
Sahil Vachani
Thank you.
Ronald Sioni
Congratulations again for good number.
Sahil Vachani
Thank you. G. Thank you. Thank you so much. Thank you.
operator
Thank you. A reminder to participants, if you wish to ask question you may press Star and one on your touchstone phone. The next question is from the line of Raj from Arjun Partners. Please go ahead.
Raj
Hello. Am I audible?
Sahil Vachani
Yes please sir. On the ongoing part, about 7,589 crores. Right. So what are the EBITDA per percentage on which we operate?
Raj
Yeah, sure.
Nitin Kumar Kansal
So if you see in our, in a presentation what we mentioned is that our current project have got, we have got two classes of assets which are running. One is an outright which is Estate 128. We have given a guidance with the margin of 40 to 45% in that. And the case of Estate 360 which is a Joint Development Agreement construct. We have given a guidance of 20, 25% EBITDA margins on that. What it translates is that we are looking at an embedded better of what sales we have done in the range of 2000-2400 crore rupees as we speak today.
Raj
All right. And sir, on the launch part, so we are going to launch around 9,500 crores in H2FY26, right?
Nitin Kumar Kansal
Yes.
Raj
What will be our completion timeline and what will be our EBITDA in it?
Nitin Kumar Kansal
So in this again we would what we guiding is that we would be looking at an outright project. Our guidance is that an outright would have a margins which would be in the range of 25 to 30%. Our launch in sector 105 is an outright. And in the case of 361 which is a JDA, we would be looking in the margins in the range of 15 to 20%. And our expectation in terms of delivery of these projects would be meaning from FY30 onwards. Starting from FY30, FY31 we would have a staggered delivery of these effects.
Raj
All right. And sir, in overall ongoing plus upcoming part, how much of funds will be required to to be invested into it?
Nitin Kumar Kansal
So all. So if we can, if I can break this up in two parts. One ways which we have got is commercial assets. In the commercial assets and with partnership with New York Life we have been able to achieve the complete financial closure whereby the partners have bought in the equity and the debt has also been tied up with the leading banks. In terms of residential assets, the way we look at is that we have been in the case of we have put in the initial money required to put in to acquire the land through equity which has been done and also a capital of close to 200 crores has been earmarked for deployment and these assets before they are launched.
Post which the residential projects become self funded and the collection from customers is used to complete the project.
Raj
Okay. All right. All right. Yeah. All right. Thank you.
Nitin Kumar Kansal
Thank you.
operator
Thank you. The next question is from the line of Sucre Patel from Eyesight fin Trade Private Limited.
Sucre Patel
Good morning to the Max team and good afternoon to Mr. Vachani. My name is Sukhruv Patil and I have a forward looking question for you sir. Is that how is Max Estate planning to grow its business over the next two to three years? And is Max Estate planning to do it by integrating asset light development models, line partnerships or platform led leasing solutions? As urban real estate is shifting towards a more experience driven flexible format and an extension to this just a hypothetical view in case if consumption doesn’t pick up in India as it is forecasted, these max states ready to bite the bullet and slash the prices and give the premium properties which they are holding at a discounted rate to incur a sale.
Yes sir, thank you very much. That that was my question.
Sahil Vachani
Okay, thank you. Lots of questions but I’ll try and take a few. So firstly our growth plan. We have very categorically stated in our opening comments and I’ll recap it for a few minutes. Basically our plan is to grow in commercial and residential real estate in the NCR region. Our plan is to take our commercial annuity income portfolio up to 700 crores in the coming four to five years. Our plan is to do sales of residential developments of up to 21,000 crores in the next three years. So this is the three to five year plan that we’ve shared both for residential as well as for commercial.
Your second question is with respect to our strategy of being able to go ahead and acquire these land parcels and to sell. As we have demonstrated in the past, we already of this 21,000 crore have a pipeline of 14 to 15,000 crores which we believe is sufficient for the next two years plan that we have outlined. And we will continue to acquire more assets for our third year and beyond that in our, in our endeavor to do that we will be looking at outright acquisitions. We will be looking at acquisitions through the insolvency code as we have done through NCLT NCLAT process.
We will be looking at joint development agreements which we will continue which we have done in the past and will continue to do. And also we look at participating in auctions as we have done in the past. So across all four on the supply side we look to continue to focus on to acquire. On the demand side we are very focused on, like I said, the commercial side. We believe that the global capability centers and the demand for office space, given the supply, demand economics for the kind of office spaces that we are creating continue to be very Strong.
We are 100% occupied across all our operating assets at a 30% premium to the micro market and we are confident of this moving forward. On the residential side, as I explained in the previous question and the answer that I had given is that we are focused across many micro markets. In Noida and Gurgaon we are focused on multiple projects. We don’t have large number of units per project and therefore we’re very well diversified. We’re also diversified because some of our large projects Have Antara Senior Living and Max Estates, which is an intergenerational concept that we have pioneered and has done really well for us.
Your last question. In terms of price drops, I don’t see that at all. I think our balance sheets along with many other listed players are stellar. We are net debt zero balance sheet. All our residential real estate projects are fully funded from a RERA account perspective. And therefore I frankly don’t see a situation of price drops, particularly for the organized and listed and strong real estate developers. And we like to consider ourselves as one of them. I hope that answers all your questions. Thank you.
Sucre Patel
Yes, just. Just for my ending note. So you are very positive that consumption sector will continue in the polish, is what your view is correct? Am I correct?
Sahil Vachani
My view is that for an organized brand like Max Estates, with the strategy that we are following, we remain confident of achieving our targets. I’m not commenting on how the macro can play out or some of the like I said earlier, very difficult for me to comment on how tariffs and some of these things will play out. But for Max Estates, we remain very optimistic and confident.
Sucre Patel
Thank you very much. That was a wonderful guidance and best of luck for all your future endeavors.
Sahil Vachani
Thank you so much.
operator
Thank you. The next question is from the lineup, Prakshit Gupta from Fair Value Capital. Please go ahead.
Prakshit Gupta
Thank you very much for the opportunity and congratulations on a great result. Most of my questions have been answered. Just one question, which is more of a structural question in nature. This is about your commercial real estate portfolio. Looking at the tenant profile, it’s super diverse, but I just wanted to ask the exposure to the IT industry and structurally we understand that there are certain shifts such as the slowdown in the US spending as well as the reduction in the total number of people getting hired in these firms. So do you have any comments about if that shift might also affect real estate developers such as ourselves? And are you seeing any stresses from that already?
Sahil Vachani
Thank you. Parishit. So we are not seeing any stresses on our portfolio. In fact, to the contrary, we are seeing that there is a supply shortage for grade A quality office spaces and there’s almost no vacancy, including ours. So we are not seeing that at all. To answer your question from an IT slowdown perspective, frankly our IT exposure in the overall portfolio is in very low single digits. So we don’t see ourselves very highly exposed to that. That’s also frankly a focus area for us because I think moving forward we can do much better with global capability centers and IT to grow.
So that is there. I think from A perspective of the clientele that we have. We have a very diverse mix of clientele. So we are across bfsi, professional services, law firms and we are very, very, very well diversified both in every asset and in the overall portfolio. So in one particular asset nobody takes more than 20% of the overall building and in the overall portfolio also the total industry concentration is at most 20% and even that is quite diverse within that industry. So just I think we feel very confident in terms of, you know, our client mix and the diversification that we have to augur.
Well.
Prakshit Gupta
Understood. This is super helpful. Thank you again and good luck for the current quarter.
Sahil Vachani
Thank you so much. Thank you.
operator
Thank you. The next question is from the line of Pritish Seth from Access Capital. Please go ahead.
Sahil Vachani
Hi Pritesh.
Pratish
Yeah hi. Sorry, I didn’t realize I was on mute. Thanks for the follow up. Just one bookkeeping question. You know, what was the construction spend, capex spend and land spend during the quarter? And then going ahead it would be just helpful if we if you can provide us with a, you know, a cash flow statement stating all these, you know, facts. I understand we are still in nascent state but I think you know that those information would be helpful.
Nitin Kumar Kansal
Thank you. Sure. Sure. Thank you. Going forward we’ll do that in terms of our spend in the current quarter on the land we had taken over the Delhi 1 asset which had entailed we putting in close to 200 crore rupees for equation for the Delhi 1 assets. And an overall construction spend across all assets would be in the range of 150 crores which got spent in the current quarter.
Pratish
And construction spend would be both residential as well as commercial.
Nitin Kumar Kansal
Yes, yes, both residential, commercial. Going forward we’ll include a table on the subject also. Sure.
Pratish
Okay, thank you.
Nitin Kumar Kansal
That’s it from me.
operator
Thank you. The next question is from the line of Ritvik Seth from one of ten. Please go ahead.
Ritvik Seth
Yeah, so thanks for the follow up this on residential construction spend. What kind of spend do we expect for FY26 and the selection we mentioned that you received second chance from Sh 128 and what kind of collection we expect for FY26 if you can give us a sense on both these.
Nitin Kumar Kansal
Yeah. So in terms of what we have already collected in the first quarter is the number of 360 crores which is predominantly by the second tranche collection for Estate 128 in the current year we expecting another tranche of collection to happen in state360 which would be 9 of close to 900 crores. And so in total we would be expecting a number close to 1200 to 1300 coming from the existing projects and a number of incremental thousand to twelve hundred crores to come from the sales which you see during the current year. A guidance on 6,000 to 6,500 crores.
And the total deployment across the assets in terms of construction would be in the range of 450 to 500 crores.
Sahil Vachani
Okay. So 2000 approximately 2000 crores of collection and 500 odd crores of construct.
Nitin Kumar Kansal
So 2020500 to 2600 crores of approx. Collection in the current year with the 900 crores coming from Estate 360 and close to.
Ritvik Seth
Oh got it.
Ritvik Seth
Yeah. Right. Right. And so what would be the fixed corporate overheads on an annual basis for us?
Nitin Kumar Kansal
So we have a small. Currently the way it is structured is on the corporate overlays are distributed across all the assets. And what is the only the shareholder expenses are housed in the corporate book as we speak today. The shareholder expenses would be in the range of 25 to 30 crore rupees per annum.
Sahil Vachani
Okay. Okay.
Ritvik Seth
Got it. Okay. And one, one last question from my end, sir. Any update on the Delhi master plan or any notification that has come up or any. Any progress on that front?
Sahil Vachani
No progress so far. We are also waiting in terms of any update. We are hoping that with the new government in Delhi they will look to approve the Master Plan 2021. We are hopeful for that but so far no optimum.
Ritvik Seth
Okay.
Sahil Vachani
Okay.
Ritvik Seth
Okay. Thanks. And all the best.
Sahil Vachani
Thank you very much. Appreciate it. Thank you.
Ritvik Seth
Thanks.
Sahil Vachani
Thank you everybody for taking the time for joining the call today.
operator
Ladies and gentlemen, that was the last question for today. I now hand conference to manage management. For closing comments.
Sahil Vachani
Thank you for joining the call today and speak to you next quarter.
operator
Thank you. On behalf of Mac Estate Limited concludes this conference. Thank you for joining us. And you may now disconnect your lines.