Tata Housing is planning to make an investment of up to Rs. 800 crore to add 8-10 projects to its portfolio in 2017-18 which will be a combination of Greenfield and brownfield projects, said Tata Housing Managing Director and CEO Brotin Banerjee.

Out of these 8-10 projects, around 3-4 would be under its affordable housing division Tata Value Homes, he said.

They are looking at 3-4 projects which are in the affordable segment. They are also waiting for the public-private partnership policy on affordable housing to be formulated, which is likely to come in the next couple of months.

Banerjee said that the company wants to expand its portfolio substantially and is looking at three routes — joint venture, joint development and outright buyout of assets.

Banerjee said that at the moment, they are not looking at smaller, tier-II or tier-III Indian cities. The company is looking at cities like Mumbai, Delhi, Pune, Hyderabad, among others, for expansion.

The implementation of Real Estate (Regulation and Development) Act (RERA) and GST is likely to spur consolidation in the sector, which presents an opportunity for Tata Housing to expand its portfolio.

There is already a slowdown in the sector and now with the addition of new regulations of RERA and GST, those with access to very large land banks or projects and not in a position to sustain in future are looking at consolidating. They see this as an opportunity for expanding their portfolio.

Banerjee talking about whether the valuations were attractive and the sellers ready to take a haircut, he said that sellers are far more reasonable now about valuations and land prices. This is one good thing that has happened due to the slowdown. Hopefully, rightly priced projects or land banks can be acquired and rightly priced inventory can be sold.

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