The company expects to earn DM fees of Rs 60-65 crore from these projects over a period of 30-36 months
Shares of Kolte-Patil Developers rose 4 percent intraday on July 4 after the company signed three new projects in Pune.
The projects are strategically located at Wagholi in East Pune and Kiwale and Ravet in West Pune and have saleable potential of 1.2 million square feet with over 1,250 units to be developed, it added.
As the development manager, Kolte-Patil will lend its brand to these projects and jointly collaborate with the land owners to oversee product design, sales and marketing, project quality and cash flow management leading to time-bound handover to buyers.
The company expects to earn DM fees of Rs 60-65 crore from these projects over a period of 30-36 months. The project costs would continue to be borne by the respective projects.
Gopal Sarda, Group CEO, Kolte-Patil Developers said, "The DM model will help diversify our revenue stream with the inclusion of the fee-based income and enable us to increase our customer reach across product categories and geographical micro-markets. This is in line with our ongoing strategy of looking for capital-light growth opportunities."
At 1148 hours, Kolte-Patil Developers was quoting at Rs 226.35, up Rs 6.55, or 2.98 percent on the BSE.India Union Budget 2019: What does Finance Minister Nirmala Sitharaman have up her sleeve? Click here for top and latest Budget news, views and analyses.
