Bangalore: Indiabulls Real Estate Ltd is set to launch as many as seven projects outside Mumbai in the remaining part of 2012-13, a move that could help the company hedge against the over-exposure to its core market.

The firm will launch primarily residential as well as office projects in Sonepat, Gurgaon, Indore and Chennai, according to a company presentation released post its quarterly results announcement late Tuesday.

Having said that, Indiabulls still has a high-value portfolio of projects in and around Mumbai, including a newly launched township in Savroli on the Mumbai-Pune expressway. Mumbai and its neighbourhood constitute more than half of Indiabulls’ portfolio in terms of project value. “The strategy is to focus on metro markets such as Mumbai and Greater Mumbai, NCR (National Capital Region that includes Delhi) and Chennai," said Saurabh Mittal, co-founder and vice-chairman, Indiabulls Real Estate.

While most of the firm’s Mumbai projects are in the luxury category, it has no specific pricing for its projects outside the region. “We are looking to do projects in both premium and mid-market categories to cater to both kinds of buyers, depending on the location," said Mittal. The projects are subject to regulatory approvals.

Since April, the Mumbai-based developer has launched two projects—a super-luxury residential project, Blu, in south Mumbai, and IB Golf City in Savroli, a premium residential township with a golf course.

Indiabulls relaunched Blu earlier this year, and it is now being sold at a base price of around 45,000 per sq. ft. The project is coming up on mill land that the firm bought in 2010 for about 2,000 crore. Indiabulls plans to re-launch the first of its Sky projects in Lower Parel, Mumbai, as well by the end of 2012 with new specifications.

According to the presentation, the company had a total saleable area under construction of 19.44 million sq. ft as of 30 September. Of this, 10.35 million sq. ft has been sold for 6,583 crore and the remaining space is expected to sell at 13,074 crore as per the current market rates.

Indiabulls Real Estate has done nearly 1,200 crore of pre-sales in its projects across India, of which 900 crore was from projects in the Mumbai Metropolitan Region (MMR).

The company had a land bank of around 3,589 acres and added another 212.09 acres in the September quarter. “Most of it (the land) is for future development with a three-five years horizon," said a person familiar with the development.

Macquarie Research, in a 4 October India property report, said Indiabulls Real Estate’s over-exposure to high-end residential property in Mumbai was a risk because of high speculative and investor interest.

“If Indiabulls’ project portfolio outside MMR takes off well, it would be a balancing factor because the dependence on the Mumbai property market would cease and it would also boost its sales numbers," said an analyst with a domestic brokerage, who didn’t want to be named.

For the September quarter, Indiabulls posted a net profit of 32.24 crore, down 17.43% from a year ago and down 14.59% from the preceding June quarter. Total income from operations rose marginally by 0.7% year-on-year to 342.30 crore, and by 59.45% sequentially.

In August, Canada-based Veritas Investment Research Corp. targeted Indiabulls Real Estate and Indiabulls Power Ltd in a report saying the purpose of the former firm seemed to be to bilk institutional and retail investors for the benefit of select insiders. Indiabulls retaliated by initiating legal proceedings.

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