Prestige Estates Projects Limited (NSE: PRESTIGE) Q4 2025 Earnings Call dated May. 30, 2025
Corporate Participants:
Pritesh Sheth — Senior Vice President
Irfan Razack — Chairman and Managing Director
Zayd Noaman — Executive Director
Amit Mor — Chief Financial Officer
Analysts:
Parikshit D Kandpal — Analyst
Puneet Gulati — Analyst
Yash Gupta — Analyst
Parvez Akhtar Qazi — Analyst
Kunal Lakhan — Analyst
Akash Gupta — Analyst
Biplab Debbarma — Analyst
Abhishek Lodia — Analyst
Presentation:
Operator
Thank you ladies and gentlemen, good day and welcome to the Prestige Estates Q4 FY ’25 Earnings Conference Call hosted by Axis Capital Limited. As a reminder, all participant lines will be in the listen-only mode and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during the conference call, please signal an operator by pressing start and on your touchstone phone. Please note that this conference is being recorded. Thank you. I now hand the conference over to Mr Pratesh Sheth from Axis Capital Limited. Thank you, and over to you, sir.
Pritesh Sheth — Senior Vice President
Thank you. Thank you, Rutuja. Good afternoon, everyone. Apologies for the delay, but welcome to the call. We have with us the management of Prestige estates, represented by Mr Ilfan Razak, Chairman and Managing Director; Mr Red Noman, Executive Director; and Mr Amit Moore, the Chief Financial Officer. I’ll now hand over the call to the management for their initial comments. Thank you, and over to you, sir.
Irfan Razack — Chairman and Managing Director
Good afternoon, everyone. I’d like I said Amit and and Mr are with me. So I’d like Red to do the opening call and opening comments and then we’ll take question-and-answers. Red?
Zayd Noaman — Executive Director
Thank you, sir. A very good afternoon, everybody, and thank you for joining us today. Our FY ’25 was the year that tested us reaffirmed the strength in our fundamentals. While we faced a few external headwinds, particularly around approval, we are pleased to share that we closed the year with a strong 4th-quarter, delivering a meaningful recovery across several metrics. In Q4, we recorded new sales of INR6,957 crores, which is a 48% year-on-year growth on the back of a robust launch pipeline and solid customer response, especially to our premium offerings.
We sold 4.49 million square feet across 2,301 units during the quarter. It’s also worth highlighting that in this quarter, our sales in Mumbai overtook Bangalore, a significant milestone that underlines the success of our geographic diversification strategy and the growing contribution of non-South markets to our top-line. For the full-year, we clocked INR17,023 crores of sales. This is 19% lower than last year, largely due to the deferred launches. However, this was offset by strong pricing power.
Average realization for residential apartments, village and commercial products rose 36% year-on-year to INR14,113 per square-foot, while plot and development saw a 50% year-on-year increase. Our performance was underpinned by a balanced geographic mix. Bangalore contributed 45%, Mumbai 30%, Hyderabad, 23% and other cities made-up the rest. There is a clear shift as you can see from our earlier years and reflects our successful expansion across our home markets.
Collections remained steady at INR12,084 crores for the year, up slightly from FY ’24 and launch momentum picked-up sharply in Q4 with 14 million square feet launched across four cities. For FY ’25, total launches stood at 5.63 million square feet with a GDV of 26,223 crores. Our non-residential segments continued to perform well. Our gross leasing in our office portfolio was 4.1 million square feet with occupancy holding firmly above 90%.
In retail, we saw 2,264 gross turnover across our malls with a strong 99% occupancy and 18 million footfall. From a financial perspective, we reported revenues of INR7,735 crores for this financial year, impacted by slightly lower handovers during the year. EBITDA stood at nearly INR3,000 crores, while profit-after-tax was INR617 crores. Our EBITDA and margins remain healthy at 38% and 8% respectively, reflecting robust operational efficiencies.
And looking ahead, we are entering FY ’26 with renewed momentum. Q1 has already seen a strong start with the launch of the Prestige City Indrapuram, a marquee township development in NCR with a GDV of INR9,000 crores, of which we have already sold over INR6,500 crores. We also marked our in inaugurations in Mumbai with hand over the Prestige Classic, at the Prestige City Malong and Prestige Tower at Malashmi, backed by a robust pipeline of projects with the overall GDV potential of approximately 42,000 crores across geographies such as Bangalore, Mumbai, Hyderabad, Chennai, Goa and NCR. We’re pleased to say that we are well-positioned to scale to new heights in the coming year. I thank you for being patient and I look-forward to addressing your questions.
Questions and Answers:
Operator
Thank you thank you. Thank you very much. We will now begin the question-and-answer session. Anyone who wishes to ask a question may press and one on the touchstone telephone. If you wish to remove yourself from the question queue, you may press TR and 2. Participants are requested to use answers 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 Kandarpal from HDFC Securities. Please go-ahead.
Parikshit D Kandpal
Hi, Mr Vak congratulations on a decent quarter. So my first question is what is the guidance of previous guidance for FY ’26 now?
Irfan Razack
You can set to the target. So we are — see now what has happened is we had kept a target of INR24,000 crores for fiscal ’25, which of course, we can short up on this thing, but I think this first-quarter itself will give us some INR12 crore to INR13 crores. So I believe that we should cross INR25, maybe INR27,000 crores should be the — if not more, but I think let’s take INR27,000 and go along the deal.
Parikshit D Kandpal
Do you think first-quarter you will do almost INR2,000 crores 13,000 crores?
Irfan Razack
Yes, please.
Parikshit D Kandpal
Wow. So now the second question comes to the velocity is so high and we only have this — in the slide, I can only see INR42,000 crores of gross development value left to be launched. So how are you thinking about new business development and how do you see this pipeline growing? What is the business development done in FY ’25 and what is your target for FY ’26?
Zayd Noaman
Thanks, Parikshit. Yes, we have moderated our GDV pipeline, the slide that we saw to INR42,000 crores, but this is not only what we are going to launch. This is something with absolute certainty, which we can say that will come in this year. Of course, apart from this, you can see that we have plenty other projects, which if we feel will fall sort, we will bring that also to the market because this is something with certainty we can say that we can launch. So we have the INR42,000 crores worth of pipeline for the year. Plus we have another 10,000, IN 15,000 crore, which if we can push hard, we can launch it within this year, the end-of-the year. What was the business clock of INR20,000 crores all this year?
Parikshit D Kandpal
Yeah. So I can see that you’ll spend close to about INR5,680 odd crores on land and other TDR. So what was the pure land spend in this and what was the business development done in terms of GDV addition for FY ’25?
Amit Mor
Out-of-the 5,500 what we have spent on the business development, close to INR1,500 was on stake acquisitions. We had done a couple of stake acquisitions in Q3 and Q4, including PL acres, PGPL and Mumbai. Right. So that contributed close to INR1,400. Apart from that, we have done acquisitions, including in Bangalore region, we had acquired Phase-3 of Park where we have spent close to INR400 crores and then in the current quarter, other included we have spent on Southern star, some amount we have spent on approvals and on Indrapur, we have made some land approval payments.
Parikshit D Kandpal
So Amit, all this put together, how much would be the land addition in terms of GDV addition? So this INR1,500 crores the stake acquisition. So how much was that in terms of value of business development?
Amit Mor
INR1,500 crore was we have acquired the balanced stake and most of them we have made it 100% and in PPPL, we have increased just take from 60% to 74%.
Parikshit D Kandpal
So how much did that brings the value? Additional, it would have contributed close to 20,000 odd crores.
Amit Mor
So for INR1,500, we have added 20,000 crores in GEV. Yes, because if you see in these projects, especially in LPL, we have launched couple of them like India itself was INR11,000 crores. And upon that we have other projects as well. You have Falcon City, lots in that we had a, Hyderabad, then in Northulus, we had acquired 40% stake, okay. So these are some large acquisitions we have done.
Parikshit D Kandpal
So just as we’ve been cleaning — as we have been cleaning the structure, so is there anything else tending to be cleaned or now almost everything like falls into the listed entity anything else is still pending? And if it is pending, how much would be incremental spend to acquire that?
Amit Mor
Now what is spending is only in PPPL, what the promoters are currently holding 24%, okay. But I don’t think so in the near-future, we intend to acquire that 24%. In the current financial year, I don’t — we don’t foresee any further spend on further strip acquisition.
Parikshit D Kandpal
Okay. Just last question to, sir. So now in NCR, we have already clocked INR6,500 crores, which I think told. So how do we see this market now incrementally in terms of growth and what are our plans for business development? And over next two, three years, how do you think this market will build-up and even how good will play-out here?
Irfan Razack
No, actually, that’s why we were trying to test out this market and market has really welcomed us that shows there’s a huge amount of potential here. We are currently — concurrently evaluating a lot of deals that have come to us and very soon, we should be able to lock-in a few deals, a sensible ones. Of course, we don’t want to go the surf on this. And I think if things work-out, we should be having some land in MCR some more so that the pipeline keeps maintaining.
We do have one land in a small piece of land in JB Mark, which again will come out to the market very soon. But then we are looking at-scale. So in that scale, we have identified a few lands, both in our Noida,, all of these places. But once it’s done, we’ll keep going. I think it’s — it’s a good market, it’s a good test for us and I believe that there is enough potential. We always knew there was potential. It’s only a question of we have to break the ice there and I think we have done it and done it in.
Parikshit D Kandpal
Sure, sir. Thank you. Those were my questions and wish you the best.
Irfan Razack
Thank you.
Operator
Thanks thank you. Thank you. The next question is from the line of Punit from HSBC. Please go-ahead.
Puneet Gulati
Yeah, thank you so much for the opportunity and congratulations on a good start. My first question is, can you also talk a bit about the rest of the INR6,500 crore that you think you will sell-in 1Q? What are those projects?
Irfan Razack
No, we have ongoing in, in Mumbai, we are going to launch Chennai in June. We’ve got the approval and we are waiting for to come, which should come in first week of June. So if you really ask me giving you a breakup, I think you can — as you have already done the talking, it will be quite a — in some of the existing projects plus one launch. We also did a launch in Bangalore called the Gardenia State, which is opened and it’s like open and shut that itself gave us about INR1,000 crores of revenue or INR800 crores of revenue. So I think onwards in existing stock, new in different geographies will give us that number.
Puneet Gulati
Okay. Understood. That’s helpful. And secondly, when I look at on a quarterly basis, the construction spend seems to have fallen a bit on a Q-on-Q basis. How should one read that? And what would be your sense for next year?.
Irfan Razack
The quarterly spend last quarter was little high because we had spent a significant amount on government approvals, especially on North as well as on TPC in. So on an average, our quarterly spent only on the construction — on the residential segment should be in the range of INR1,600 crores to INR1,800 crores for that.
Puneet Gulati
And that is not going up because your sales momentum has gone up. So will that also go up?
Irfan Razack
No, right now it covers all the ongoing projects, incrementally, whatever we bring that maybe slightly it will go up, but then whatever we launch in the financial year ’26, the major construction spend will happen in ’27. So it won’t significantly add 26
Puneet Gulati
Understood. That is clear. The second question is on your — the cash-flow profile that you share, which is the free-cash flow from residential project, INR19,740 crores and INR24,000 crores. If I look at the disclosures for Q3, the number seems to have gone down decently. What should one attribute that to?
Irfan Razack
Basically, if I’m not wrong, last-time it was 48, now it is close to, 44 45. Now, that is basically because of we had couple of launches,
Puneet Gulati
Okay. So there has been a shift from the upcoming to ongoing. So if you see the breakup, the upcoming has come down and the ongoing cash flows have gone up. Okay. But on overall basis also we have done collections during the quarter. And again, most of the projects in the upcoming category are on the design phase. So we will keep revising the construction cost estimate as and when the designs are getting finalized. So it will vary maybe by 3%, 4% once the designs are finalized? Because cumulatively it is down INR5,500 crores. So just trying to understand, is that just cost changes or reserve?
Irfan Razack
No. Basically collections also have happened. We have collected during the quarter around INR3,000 crores to INR3,500 crore that collection has reduced. Apart from that, this is number, right, so collection minus construction spend, which is still a lower number 1,000 odd crores in some quarter perspective. That’s what I’m saying. It’s a combination of collections plus revision in our estimates for our upcoming projects. It’s a combination of both.
Puneet Gulati
Okay. And areas and areas also. Areas also, because we would have allocated something for the residential portion, maybe during the design phase, if we decide we have to include a portion of retail and all that. So those changes happen and that impact the cash-flow okay, got it. Lastly, you know, Amit also noted that there is still some stake of promoters, 24%. How do you take this call of what remains with promoters and how — what eventually gets bought by the company? What is the deciding criteria? If you can give some color, it would be very helpful. Thank you.
Irfan Razack
See, again, last year, after the QIP, I think so during the road shows some of the investors have suggested that to keep the entire, I would say, the structure clean and whatever is held by the promoters, we should acquire it. In that process, we have done the acquisitions post the QIP and acquired the promoter stake in most of the entities. And as I mentioned earlier, we have already spent close to INR200 to INR1,300 only on the promoter stake. Now acquiring the balance 24% also will require a significant sum of outflows, which will put pressure on our cash flows and impact is on our debt profile.
So considering the cash outflow impact on the stake acquisitions, I don’t think so in the current year, we are planning any further acquisitions. And would you be able to give any estimated value of this number that you would have to spend if you were to acquire? Sure. See, for acquiring 16%, we had paid close to INR500, okay. Post that some of the projects have already launched in that entity in-period. So you see has got launched, okay. And similarly, has got launched.
So if you take benchmark of 500, it could be not and other projects, I understand. So these projects have got launched. So what discount factor we had given for one launch, that no longer applies, okay. So the valuation. If you take 500 as a basis, today the 24% will be valued at INR800 crores. Removing the discount factor, it will be higher. I don’t think so I will be able to comment roughly that number, but will be upwards of INR800 crores.
Puneet Gulati
Okay. Understood. And lastly, on the market side, if you can comment on the pricing environment that you’re seeing in the competitive intensity on business. That’s all from my side. Thank you and all the best.
Irfan Razack
Yeah. We believe that the pricing environment is good, though prices have gone up, absorption has been very, very strong, be it in Bangalore, Mumbai, Hyderabad or in fact Indrapurup, now that we’ve launched, we can comment on that. And at the same time, we have a very balanced approach that at looking at new acquisitions where we believe that the project should fund itself. So we are not very aggressive in the way we are price — price our acquisitions. So over there, we look at an EBITDA margin of 30% to 35%. And based on this, we look at acquiring these assets. So even though realizations have gone up on the customer side, we are conservative when we look at new acquisitions.
Puneet Gulati
Okay, that’s. Thank you so much and all the best.
Irfan Razack
Thank you.
Operator
Thank you. The next question is from the line of Yash Gupta from Astec Koteja Family Office. Please go-ahead.
Yash Gupta
Good afternoon, everyone. Sir, in slide number 24, GDV of the project that expected to complete in FY ’26 is around INR17,000 odd crores. Is it fair to assume that we will book this revenue of INR17,000 crores in FY ’26 with an EBITDA margin of 30%, 35%?
Amit Mor
It will depend on at what point in which quarter it gets completed. So the revenue recognition happens on two fronts. One, the first — the project should have got completed and second, the handover should have happened in case of 17,000 maybe the GDV, but the comp handovers also we have to factor. So for example, if a project is getting completed in Q4, we may not have enough time to complete the handover. So 17,000, maybe we can apply a percentage maybe 70% to 80% of that we should be able to hand over. Anything on EBITDA margin? EBITDA margin will be in that period. Yes, it will be in the range of 25% to 50%.
Yash Gupta
Okay. And sir, second question on Hyderabad market, how the Hyderabad market is moving for us. We have a good inventory of INR5,200 crores there and we don’t have any major launch in Hyderabad in FY ’26.
Irfan Razack
Sir, for Hyderabad, we do have some projects which are upcoming and under planning that is Prestige Rockless and Prestige Imperial Park. This we will try to bring in this financial year.
Amit Mor
We are also acquiring for development. And we also tied-up a deal for about 9 million square feet of residential, which is again a great location. So all this is work-in progress, but these two are the major launches that are going to come.
Yash Gupta
Okay, sir. Sir, any thoughts on completion of Aero City and the launch of in? Is there any delay into project?
Amit Mor
No, no, there’s not at all. In fact, Aero City is on-track. In fact, the office component of INR600,000 is already committed and leased off. The hotels, obviously, it will be ready by this year end of early next year, but then it takes about four to five months of simulation. So it will — we are planning to see that it starts trading in the month of July next year, but the office itself per se, we will do the handover by the end-of-the year.
Yash Gupta
And anything on, Mumbai?
Irfan Razack
Yeah. Also it’s — all the planning is getting done aggressively. Now we named the project the Prestige Place created a new brand ident TV called the Prestige Place. It’s a mixed-use development. It has hotels, it has office, it has branded residences, shopping center and residences for-sale. We’ve appointed SOM as the architect and they are on-the-job. We’ve already paid some premiums for getting secured in the FAR, the FAR and other things. And it’s work-in progress. It will certainly hit the market soon. But the question is how soon is to be evaluated. We don’t want to hurry this up. We want to do it well. We want to plan to come out in well and we are planning to — the hotel brand we are planning to do in the of Astoria with all of Astoria branded residents.
Yash Gupta
Okay, sir. And sir, just last question on the Mahara Lakshmi tower. We have completed this tower and recently you have also announced it. So how is the demand going on and what rate we are leaving?
Irfan Razack
The tower is not for-sale. That’s actually that Maharashmi has called the prestige turf tower, it’s only to rehabilitate the turf estate tenants who are there in the property and they will move. Evergreen also will move there. I think between the two of them going into this building and the company may not have anything left over as such, unless we bought a few units here and there. But then the whole thing is to rehabilitate them, so we can complete our the most iconic development for the Mumbai city, which is deep prestige.
Yash Gupta
Okay, sure. Thank you, sir.
Operator
Good. Thank you. The next question is from the line of Parvesh Kazi from Nuvama Group. Please go-ahead.,
Parvez Akhtar Qazi
Hi, good afternoon and thanks for taking my question. Sir, wanted to get your views on the approval side. In FY ’25 approval were an issue for the industry, but now with our launches picking-up, do we see that approval situation has now stabilized and I wanted to get our status on some of our major projects which are planned for launch in FY ’26 like Raintree Park, Salcon City,, Guram, etc.
Zayd Noaman
Thank you so much. Thanks. Thanks for this. Yes, I think we’ve got a grip on approval and they have started falling in-place. What we have said earlier also when we give the launches planned and the GDB slide, most of these projects are in the final or penultimate stage of the approval. And since we operate in various geographies, the nuances are slightly different and each project will have its own nuances. But having said that, we’re very confident that we’ll pull this off. Evergreen, Raintree Park and Fast in City lucks, they should also happen in the next two or 3/4. Sure. And, Chennai will happen this quarter. Chennai will happen this quarter.
Parvez Akhtar Qazi
Sure. Thanks and all the best.
Zayd Noaman
Thank you.
Operator
Thank you thank you. The next question is from the line of Kunal Lakhant from TLSA. Please go-ahead.
Kunal Lakhan
Yeah, hi team. Firstly on the launch — on the sales guidance, right, if we are — if we are guiding for INR12,000 crores INR13,000 crores of sales in Q1 itself and considering incremental INR40,000 crores of launches, excluding Palaba, Pala Gardens. Just — yeah, just trying to understand because if you look at last year, right, I mean, whatever you have launched, you have sold like 50%, 55% of the launched inventory. So how should we look at — if you’re able to get these INR40,000 crores worth of GDV launched, how should we look at this guidance of INR27,000 crores since you’ve already — you’ll already be clocking INR2,000 crores INR13,000 crores in Q1 itself.
Zayd Noaman
By this time you want to be conservative. We got INR20,000 crores worth of inventory. So the thing is I rather under-promise and over.
Kunal Lakhan
Sure, sure. Okay. And also in terms of — sorry, I don’t know whether I missed this number, but in terms of our G — our new acquisition target for this year in terms of land spend as well as GDV that we plan to acquire for ’27, any targets we have kept?
Zayd Noaman
Our land spend on business development should be in the range of INR4,000 crore to INR4,500 crores, which should translate into a GDV of close to INR30 crore to INR40,000 crores
Kunal Lakhan
Understood. Understood. And also lastly, like on Southern Star, we had reported numbers in the March quarter. I mean, we had launched that in the last week of March. Are any incremental — data you can share in terms of like how the sales have panned out in the project in April and May?
Zayd Noaman
It’s work-in progress. It’s done very well. And I think when we come to June numbers, we’ll be pretty happy because again, it’s that yourself said we sell 60% to 70% of the inventory in the launch itself. So that’s going to happen.
Kunal Lakhan
Sure, great. Thanks. Thanks so much and all the very best you.
Operator
Thank you. The next question is from the line of Pradesh Sheth from Axis Capital. Please go-ahead.
Pritesh Sheth
Yeah, thanks for the opportunity. First is on collections, which was flat this year. And I can see while pre-sales scaled-up for us in Q4 it didn’t result in too much pickup in terms of collections so how do you see this collections growing next year.
Irfan Razack
Yeah. If it is — despite — if you see last year, we did INR21,000 crores of sales and did a collection of close to INR13,000. And this year it was flat despite our sales falling to INR17,000. In Q4, again, the collection though the sales numbers were higher, the collection remained fat because you see most of the project got launched in the fag end of March. So two of the projects, your Southern star as well as the Spring got launched just two days and seven days before March 31. So those collection numbers didn’t flow-in the financials in FY ’25, but then all those numbers should flow-in FY ’26. So you will see a healthy pickup in selections during FY ’24.
Kunal Lakhan
Sure. So just to clarify, we didn’t collect anything of — apart from the usual booking in Southern star and Spring ice, right?
Irfan Razack
Absolutely missed. No, we did collect more than the nominal amount that you’re talking about, but it happened at the fag end-of-the quarter, it all reflects in the Q1 of this year with respect to those projects and those collections remain very healthy as per our normal benchmarks.
Kunal Lakhan
Sure.
Irfan Razack
And was since a lot of completions will come in this financial year, you see amount of collections coming in this financial year.
Kunal Lakhan
Okay. Perfect. That’s helpful. And just last on Noida, any breakthrough expected this year for launch of guidance?
Irfan Razack
As issues, I don’t know when because we are also now very tired JD. So we are looking for other labs, the — we got completely sort of set back because we were depending on that for a long-time and thankfully, we would do this Indrapurup. So we’re looking for new land. And whenever the happens, we take it as it comes. Because right now, it’s an issue not only for us, it’s a global issue for everybody.
Kunal Lakhan
Sure. So in NCR now will contribute us equal to what we are doing in Bangalore, right? So a very large market for us now and we don’t have a volume, a mass-market product there right now. So any big acquisitions expected either in or any other Tier-2 markets within NCR or Gurgaon, Noida can drive that much sales going ahead for us?
Irfan Razack
Yeah, I saw work-in progress. I think by the end of this quarter or next quarter, we’ll discuss it, right now it’s all work-in progress. Moment we tie it up, up automatically we’ll come to.
Kunal Lakhan
Sure, perfect. That’s it from my side and all the best. Thank you. Thank you.
Operator
The next question is from the line of Akash Gupta from Nomura. Please go-ahead.
Akash Gupta
Hi, am I audible?
Irfan Razack
Yes, absolutely.
Akash Gupta
Hi, sir. Congratulations on a decent quarter. Sir, my question was respect to your FY ’26 pre-sales growth guidance, pre-sales number at INR250 bill INR270 billion. Just wanted to understand is there any downside risk to this number from a demand perspective or approvals not coming in perspective like how confident are we on this number?
Irfan Razack
So there’s as always, there is, especially in our business. I think we are very confident that our are looking at positive side and even that we will able to achieve this guidance that we have a lot of GDV coming in the launches that we have after the year.
Akash Gupta
And sir, like are you seeing any red flags with respect to the demand in the sense? Any changes in footfalls or conversions, anything like that?
Irfan Razack
Absolutely lot, absolutely lot.
The product is good. I think it will keep going as long as the product goes through the right target, I believe this is a business as we us.
Akash Gupta
Understood, sir. Great. Thank you so much, sir. Thank you.
Operator
Thank you. The next question is from the line of Punit from HSBC. Please go-ahead.
Puneet Gulati
Yeah, thanks for the opportunity again. If you can also give some color on how do you intend to lease both the Prestige and DKC projects? Is there — have you leased some part already or do you tend to lease it closer to completion only?
Irfan Razack
No, the teams are working very hard on this. I’m happy to say leasing pre-leasing is happening, but at the moment, I can’t either the or the company because we find a lot of confidentiality with them. But it’s very, very, very positive and that’s why we are quite bullish on both these projects.
Akash Gupta
And then should we see
Irfan Razack
Of the is also going on at full-speed. So even during completion also, we can start looking at it in the year ’28 for BKC and year ’29 for new.
Akash Gupta
28 when you say it’s calendar ’28 or fiscal ’28?
Irfan Razack
Yeah. Fiscal ’28 for BKC for sure. And 59 for
Akash Gupta
The deep because understood. That’s very, very helpful. That’s all from my side. Thank you so much. Thank you.
Operator
Thank you. The next question is from the line of Viplava from Antique Stock Broking. Please go-ahead.
Biplab Debbarma
Good afternoon, sir. My first question is on the status of Jujar another project. So is the SRA work done and entire project cleaned up? I mean, what is the status of the project? All SRA-related work done?
Irfan Razack
Sir, bulk of it has been done. We’ve already started constructing the and risk camps, everything over there. And I think there’s a small, I think 20% odd left to clear up over there, which is still in-process and it will happen.
Biplab Debbarma
So 20% around —
Irfan Razack
Yeah, around that much.
Biplab Debbarma
Okay, okay. So 20% more to be cleaned up after that and the rest of the
Irfan Razack
12% about 10%
Biplab Debbarma
Okay so that would be five, six months sir for that cycle be cleaned up
Irfan Razack
Earlier than five, six months think.
Biplab Debbarma
Okay, okay, sir. Now my second question is on the capex project, your BKC and and Delhi, Aero City. How much more capex to be incurred, including approval, construction cost and all the other costs in these three projects.
Irfan Razack
Just give me a moment else pick-up these numbers yeah, the total capex spent on all these three projects will be in the range of INR7,000 crores to INR8,000 crores.
Biplab Debbarma
Okay. Okay, okay. And my final question is we recently did the site visit of the three projects in that you have delivered. We have tower in Malashmen, Jazdan and CSI in Malone. The delivery timeline seems to be like three, 3.5 years, if I’m not mistaken. For Mumbai, many of us have seen in time taking for delivery five years, six years, whereas you have delivered 3.5 years. Is it the norm? Would it be the norm like you would be delivering 3.5 years, four years or this is just three projects are just an.
Irfan Razack
So it generally takes about four years to 48 months-to do any real-estate project, but depending on the nature of the project and scale, sometimes it could go up by a year or two over there because what happens is if there’s a hike, if there’s a lot of basement, high-rise, sub structure work and if it’s like maybe 100 acres in size or whatever, it could should take some time-based on the scale and all of this is factored in. We generally take the amount of time it technically takes to do the work, sometimes we even deliver faster. That is the USP of prestige.
Biplab Debbarma
And that’s really commendable.
So that’s really commentable and all the best for FY ’26, sir.
Irfan Razack
Thank you. Thank you. Thank you, sir.
Operator
Thank you. The next question is from the line of Kunal Nakhand from TLSA. Please go-ahead.
Kunal Lakhan
Yeah, hi. Thanks again. Just the recent acquisition of the project or the stake in 50% stake in that project with Estate. So we paid INR500 crores for 50% stake. If you can give us broader economics of like how much incremental cost will be incurred in terms of FSI premiums and construction costs and how much will be uptick?
Irfan Razack
Yeah, I see this whole project will be 1.5 million square feet of office, it’s already been designed and very soon we can lock it in for approvals. Obviously, you have to get through the whole gamut of things. So our contribution — company’s contribution to get 50% equity in that company is that SPV is INR504 crores. And then the rest of it will be a contribution of equity from the — both the partners or debt. So that decision will take as we go along. And this money is not something that the company has to invest upfront today. We’ll have to invest it over the life of the project. And so only when that INR504 crores gets exhausted, do I have to contribute together or take — I mean, and get into that as far as we are concerned, I think the rest of it will come in the form of that. And if you ask me what is the cost of the overall project, the numbers are not readily on-hand with me, but I think Amit can share it with you later.
Kunal Lakhan
Sure, sure. And in terms of timelines, when do you expect this to be ready and completed?
Irfan Razack
Yeah. I think again it’s like it’s four base months. So it’s excavation can start almost immediately. So again, it’s not a high-rise building, it’s only 11 floors. We should be able to finish this in three to 3.5 years because we want to go it on a fast-track.,
Kunal Lakhan
Sure, sure. And just clarifying, the INR500 crores that we paid stays in the company. It was not a cash-out by the earlier.
Irfan Razack
No, no, no, no. Nothing is a cash-out. Yes, having said that, there is a small component with the other partner is do a small takeout, but then they have to bring it back-in and only to make that SPV debt-free, there’s some INR50 crores INR60 crores debt there is so which we are now paying it now and then that will come back as to top-up to that INR504 crores. There is no take-off from either party.
Kunal Lakhan
Understood. Thank you so much.
Operator
Thank you. The next question is from the line of Yash Gupta from Astec Coteja Family Office. Please go-ahead.
Yash Gupta
Sir, my question is on commercial side. If you look at the exit angle of the commercial business, we have taken BKC and at around INR375 per square feet, but current rates are very much higher than what we are expecting. So do we need to take any uptick in the FY ’20 and ’20 exit rental?
Zayd Noaman
Okay, is corrective as we go along? I think that itself is a great number. Even as we get a better rent, it’s great. But as of today, we believe it’s a fair number to sort of work with and sometime if you do some deal easing if that’s how — and this is we are talking on — not on carpet, we are talking on a super built area that 350 375 on super built area, not on. Will be 500 plus.
Yash Gupta
Okay, sir. And sir, next question on this Mumbai prestige Horizon Height. This is the Mira project that we have taken last quarter.
Zayd Noaman
Yeah.
Yash Gupta
And this will be launched in FY ’26 only.
Zayd Noaman
Yes, yes, we are trying hard to bring it for to come earlier. There again, unfortunately, the MOES committee has been disbanded in Maharashtra. So the moment the environment committee comes in and we get the, it’s a matter of time to get the approval and launch it. So we are also waiting a very — any for that to happen.
Yash Gupta
Thank you. Sir, just last thing on the dividend policy. This year, this time we have paid INR1.8 as a dividend. So is this dividend will be the continuing one or it will be like a one-off dividend?
Zayd Noaman
No, the last year also we did tax have INR1.8 rupees. So this year also the Board sell because in the previous year, it was INR1.5 year INR1.8 and of course, if the company does have additional cash-flow, it depends on the Board maybe later on when it to the interim and then do more. That depends on how generous the Board is
Yash Gupta
This question was pertaining to because next year we will going to expect like a big completion in terms of residential and we are looking for INR13,000 crores of booking revenue in residential. That was
Zayd Noaman
— so the thing is if there is surplus cash-flow, see, always it’s a balance if we — too much of dividend is paid out, we don’t want it to happen that again we have to look for funding and cash-flow. So the best is to be conservative. And if things have to happen, I mean, there’s a lot of not more cash-flow available in the company, we will definitely declare more.
Operator
Thank you. The next question is from the line of Abhishek Lodia from Motilal Oswal Financial Services. Please go-ahead.
Abhishek Lodia
Good afternoon, sir. I just want to have one question. For retail capex, right, balance spend has increased by roughly INR1,100 crores. So what is it attributed to?
Amit Mor
This is — if you see the breakup mainly attributable to the upcoming projects where we were just based on the design specification, we had we looked at the cost Which is mainly attributable to upcoming projects.
Abhishek Lodia
Okay, thank you. Thanks thank you.
Operator
Thank you. Ladies and gentlemen, that was the last question for today. I now hand the conference over to the management for closing comments.
Irfan Razack
Thank you. Thank you so much everybody for the insightful questions. You had to have lovely conversation and we do hope you’ve understood what the company is up to. More than feel free-to ask any questions offline at and and Amit are more than happy to answer. And it’s wonderful interacting with you as always. You want to add-up? Thank you so much, everybody. We remain focused on to improve our results year-on-year and we remain committed to delivering for older value.
Operator
Thank you very much. On behalf of Axis Capital Limited, that concludes this conference. Thank you for joining us and you may now disconnect