Mumbai: Godrej Properties Ltd is planning to enter the capital market this fiscal to raise funds for its expansion plans. The size of the issue is still in the drawing board and the company is in talks with investment bankers for this purpose, Godrej Properties managing director Milind Korde said.
"We are planning to enter the capital market this year to fund our various projects," said Korde.
Godrej Properties has presence in Bangalore, Hyderabad, Mumbai, Pune and Kolkata and is actively looking for opportunities in Chennai, Goa, Nagpur, Nashik and the National Capital Region, he said.
There is a huge demand for real estate projects and ''we have lots of projects planned'', he said.
About 85 per cent of the current demand for commercial sector is coming from IT companies, Korde said, adding that every one sq ft of IT commercial space resulted in demand for seven sq ft of residential space.
Korde said issues like interest rate hikes are only short-time irritants and would even out in the long run, adding, ''When you look globally, interest rate hikes affect only in the short run and not in the long run''.
The RBI had increased lending rate forcing banks to hike their primary lending rate, which in turn led to high home loan rates.
However, despite the hike in interest rates, housing finance companies are growing at 30 per cent. Even if it settles at 20 per cent, it is still a good business,'' Korde said.