Vijay Shanthi Builders mulls Rs. 8,000-mn investment

Chennai: Chennai-based Vijay Shanthi Builders will invest around Rs 800 crore in various residential projects in and around Chennai targeting the mid-segment of the population.

The company will fund these projects through internal accruals and bank loans. It has so far raised Rs 45 crore as term loans from banks.

The projects will come up in Kelambakkam, Sriperumbudur, Madharavam, Thaiyur and in Ambattur.

Suresh Jain, managing director, Vijay Shanthi Builders, told reporters that the projects were meant to attract the middle-income group. Each flat will be priced in the range of Rs 2,600 per sft to Rs 2,800 per sft, he said.

The company has also introduced its ‘pre-EMI’ concept where the interest paid to the bank from the time the loan is sanctioned till the buyer occupies the home would be borne by Vijay Shanti. This scheme will ease the burden of the middle income segment who will not be burdened with additional expenses, besides the rent, he added.

As part of its expansion plan, Vijay Shanthi is planning to focus on tier II cities and will come up with new projects in Coimbatore and Bangalore shortly.

Plans are also on to construct hotels and service apartments in Chennai, Bangalore and Mumbai, besides diversifying into the hospitality and educational sectors, Jain said.