Keystone Realtors Limited (RUSTOMJEE) Earnings Call Transcript & Summary

Ladies and gentlemen, good day, and welcome to the Keystone Realtors Limited Q3 FY '25 Earnings Conference Call. [Operator Instructions] Please note that this conference is being recorded. I now hand the conference over to Mr. Pritesh Sheth from Axis Capital. Thank you, and over to you, sir.

Thank you, and good afternoon, everyone, and welcome to the call. We have with us the management of Keystone Realtors represented by Mr. Boman Irani, who is the Chairman and Managing Director; Mr. Chandresh Mehta, Executive Director; Mr. Percy Chowdhry, Executive Director; Mr. Sajal Gupta, the Group's Chief Financial Officer. I'll hand over the call to the management for their initial comments, and then we can open the floor for questions and answers. Over to you, Boman.

Good evening, everyone, and welcome to our Q3 FY '25 earnings conference call. I am Boman Irani, Chairman and Managing Director of Keystone Realtors Limited. I extend my heartfelt gratitude to all of you for joining us today. At the beginning, I'm very happy to report that we've achieved our full-year presales for the last financial year within the first 9 months of FY '25. This is being driven by a series of successful launches. We had given a guidance of 4,000 -- we had given a guidance of INR 6,000 crores of launches. We've already launched INR 4,057 crores worth of projects. As we close the third quarter of FY '25, we are on track to achieve our full-year guidance that we had shared earlier. I'm very excited to walk you through our impressive achievements during this period, which highlights our ongoing growth and our commitment to excellence. In Q3 FY '25, we've seen remarkable growth with presales touching INR 863 crores, reflecting a 40% year-on-year growth. Our total presales for the first 9 months of FY '25 have reached INR 2,174 crores, marking an impressive 53% increase from last year. This surge in demand validates our strategic direction and demonstrates the growing trust our customers place in our products. A standout achievement in this period has been a project in Bandra West called Rustomjee Panorama, which not only sold the highest percentage of inventory of the available stock to sell but also set a new benchmark with a per square foot rate at about INR 1.16 lakhs on carpet area basis. This underscores the premium value of our project offer to our consumers. Our brand's reach and resonance have been further strengthened by comprehensive marketing campaigns, both online and offline. We've targeted a very diverse customer base by using impactful 360-degree campaigns for our key projects as well as engaging NRIs through memorable initiatives like India Calling in Times Square. We continue to build emotional connections with our customers. Our commitment to innovation, sustainability, and industry excellence has been recognized earning us accolades such as the Best All Award at the CREDAI-MCHI exhibition and a spot in Construction Week's Top Five Projects. As we move forward, our goal is clear: to continue delivering exceptional value to our customers, upholding the strength of our brand, and leading the industry with both passion and purpose. In terms of collections, we've achieved a collection of INR 542 crores in Q3 FY '25. This is a 20% increase from INR 452 crores in Q3 FY '24. Our total collections for the first 9 months of FY '25 stand at INR 1,579 crores. We remain confident in our strategy to further enhance collection efficiency and continue to generate strong cash flows. In this connection, one key focus area is accelerating our construction pace. We have put in systems and processes to further improve our efficiency and exceed our time line commitments and delight our consumers with quicker project delivery and optimize our collection cash flows. As the construction, we have received an impressive milestone of about 5 slabs in just one month, reducing our slab cycle from 8 to 9 days to just 6 days. We've successfully launched 5 new projects in 9 months of FY '25. These projects encompass a total salable area of 3.12 million square feet and an estimated GDV of INR 4,057 crores. The demand for our products remains robust, and we are excited about the pipeline of upcoming projects in the remainder of FY '25. A key highlight from the previous quarter is the significant progress of our upcoming project, wherein we have successfully cut short the time line between DA and issuing the notice to vacate to just 170 days. This is another testament of our strong ability in the redevelopment sphere. In terms of business development, I'm pleased to share that Q3 FY '25, we've added 2 new projects with a combined GDV of INR 980 crores. These are redevelopment projects again and strengthen our leadership position in this segment. They further solidify our standing in the redevelopment space. Overall, in the 9 months of FY '25, we have successfully added 6 projects with an estimated GDV of INR 3,297 crores, achieving about 82% of our FY '25 guidance of INR 4,000 crores in BD. Since FY '23, we have added 19 projects with a total estimated GDV of INR 16,276 crores. Of these, 16 are in the redevelopment. 14 of these fall in the mid-mass and aspirational category, which we've said time and again is one of the largest and fastest-growing segments for Mumbai and NMR. This aligns with our strategy to expand in these segments. These additions highlight our ongoing commitment to growth and leadership. I'm confident in our ability to continue adding and successfully executing new projects. The redevelopment opportunity in Mumbai is significant, and we keep emerging as the most trusted developer in this space, and we are well-positioned to capitalize on the current momentum. With a very strong balance sheet, we are well-capitalized and ready to seize these opportunities. During the 9 months of FY '25, we've generated an OCF, operating cash flow, of INR 353 crores, supporting the accelerated pace of new launches. Our investment in new projects during this period has been INR 396 crores. This is approximately 1.5x higher than the same period last year. The increased investment positions us well to develop a strong pipeline for projects ready to launch. Moving to our consolidated financial performance. We've reported a revenue from operations of INR 464 crores for the Q3 FY '25. For the first 9 months, our absolute EBITDA number has grown from INR 96 crores to INR 225 crores, that is by 134% year-on-year. Our PAT number has also grown from INR 81 crores to INR 121 crores, that is 50% year-on-year growth in the first 9 months. Our liquidity. Our gross debt stands at approximately INR 373 crores with a gross debt-to-equity ratio of 0.14:1 at the end of the Q3 FY '25. This is very well within our guidance. Our total free cash at the end of Q3 is INR 854 crores, indicating a very strong liquidity position. Our net debt is zero. Additionally, we continue to maintain an A credit rating with a positive outlook as assigned by ICRA. As we progress through Q3 FY '25, I'm pleased to share we have taken significant strides toward our commitment to environment, social, and governance principles. We have engaged extensively with internal stakeholders through surveys, cementing our dedication to sustainability and inclusivity. Our transition to green tariffs for our Mumbai suburban projects is progressing very well. This demonstrates our proactive approach to renewable energy during our construction phase. We are also ensuring rigorous data verification processes for all our projects, aligning with our BRSR reporting commitments, especially on health and safety. We're making substantial progress with our sustainability efforts, including the initiation of a near-net zero carbon project at Belle Vie, which is our plotted development in Kasara. We've completed our sustainability report for FY '23, '24 and are setting ESG goals across various functions. We've conducted training sessions for our teams on IGBC green building certification are in the process, and we are in the process of finalizing our supplier code of conduct. Also, I'm pleased to mention that we have received IGBC Green Home Silver rating at one of our residential projects in Urbania, Thane. A safe working environment is always on top of our minds. Our goal is 0 fatal accidents, and we are excited to state that one of our projects has achieved 5 lakh safe man-hours with no lost time, no injuries or fatalities, and no mentionable incidents. Our performance in Q3 FY '25 reflects our robust growth trajectory, commitment to project execution, and are maintaining our leadership in this market. As we continue to build on the significant momentum, I'm confident that we are poised for a strong year ahead. The fundamentals of our company remain strong, and we are confident in our ability to not only achieve our guidance but to surpass it. Thanks to the recently announced budget, we are pretty confident the real estate market will continue to stay robust. The demand for our products remains robust, and we are excited about the strong pipeline of upcoming launches for the remainder of FY '25. Further, our asset-light model with a focus on redevelopment opportunities, particularly in Mumbai, continues to be a key driver of our growth. As the most trusted partner in this space, as mentioned earlier, we are strategically positioned to leverage the vast redevelopment potential in the region. With our strong balance sheet and healthy capitalization, we are fully equipped to seize these opportunities and create sustainable value for our stakeholders. Together, we are on this exciting journey and are determined to maintain our upward trajectory and exceed the expectations with all of you. Let's embrace the opportunities ahead and continue to build on the momentum. We remain committed to delivering substantial value to all our stakeholders and positioning ourselves as a leading developer of our industry. I'd just like to say I'm very proud to share our commitment to excellence has been recognized through various prestigious awards such as the India Top Builders 2024 in the National category at CWAB Awards, Maharashtra State Best Employer Award at the 19th Employer Brand Awards. Our ultra-luxury project Rustomjee Ocean Vista was awarded Ultra Luxury Project of the Year at the Realty Plus Excellence Awards. We celebrated Skyspaper of the Year accolades for Rustomjee Crown at the Realty Plus Excellence Awards 2024. We were recognized with the Transformation of Excellence Award for our project in Bandra East at Science Redevelopment Award, underscoring our impact in transforming communities. Further, we secured the first position in the residential real estate brand category across 1,000 brands in 34 categories and 16 cities. We received India's Most Desired Real Estate Residential Brand 2024 award by TRA Research. These accolades inspire us and reaffirm us on our mission to set new benchmarks in the real estate sector. As we move forward, we remain dedicated to creating superior value for all of you and capitalizing on the opportunities ahead. Thank you for your continued support, and I look forward to addressing any questions you may have. Thank you.

[Operator Instructions] The first question from the line of Devansh Dhruv from Equentis Wealth Advisory.

Congratulations on a great set of numbers. I just wanted to ask a couple of questions actually. So first on the side of launches. So why have we seen no launches in this quarter? And particularly, if we see the guidance, it's around 8 projects for the full year, and we are at 5. So will the balance launches be seen in the quarter 4 of this year? Or can you just share some light upon it?

So thanks, Devan Shu, for that question. As I mentioned earlier, we've already completed 5 launches in the first 2 quarters. This quarter, we -- I mean, in our coming quarter, you're going to see our further 3 launches. And I'm fairly confident that these are well on the way to be launched in the immediate future. So we would have achieved our guidance of 8 project launches with about INR 6,000 crores. So we are well on our way. And yes, this quarter, we did not have any launches, but you're aware of the entire fact that we have taken 5 launches already in the first 2 quarters. So we were a little ahead. We will catch up in this quarter, and we'll be able to give the 3 launches that are due.

Any challenges that we have witnessed or it's just a lag?

Actually, we've had a phenomenal outcome from the launches that we've had and our sales have been stellar. As mentioned to you earlier, we've done INR 860-odd crores of presales in this quarter itself.

And another question was on the collection efficiency side. So this quarter, we have seen a dip in collection efficiency. If we see it's around 63% compared to last quarter that we had in the last 3, 4 quarters, we had witnessed around 78%, 79%. So why has there been a dip this quarter, while we have a great PV sales growth, the collection seems subdued.

Devan Shu, thanks for that question. As informed, these sales are now coming out of our fresh launches. So basically, always when there's a fresh launch, the collection value is always going to be less, whereas in the earlier time, we had finished products that we were selling, which allowed us to kind of have a higher collection. Having said that, our sales have been extremely robust and our collections have been good. And in spite of being fresh launches, we've had a very good collection cycle.

[Operator Instructions] The next question is from the line of Ritwik Sheth from One Up Financial Consultant.

Sir, a couple of questions from my end. Sir, what is the launch pipeline looking like for FY '26 with the projects that we already have acquired in the last 2 years?

So Ritik, thanks for that question. I'll have to lean back on what I just mentioned in my speech right now, we have closed projects about INR 16,000-plus crores in the last 2 years. So that always keeps us very strong in our launch pipeline for the coming years. I'm sorry, I cannot make any commitments right now. But this year itself, you've seen that we've guided for 8 launches, and we are already 5, 3 more will get launched in this quarter. So we'll be well within our guidance or well by our guidance itself of the INR 6,000 crore launches and 8 project launches this year. Having said that, if anyone's guess the number of projects that we've taken on and those in the mid-mass and aspirational category will all be coming up for launches in the next financial year.

Safe to say that we'll try to exceed FY '25 launch pipeline?

Yes, Ritik. I mean, honestly, one of the key things at Rustomjee has been that we've kept growth, which is both sustainable and something that is remarkable or on the upward growth trajectory. So we've managed through that. We've continued to excel from our guidance, and we don't plan to kind of slack out on that one. So our launches in the coming financial year will be higher than at least what we've done in the last 2 years itself.

And sir, with these projects in hand already, what kind of projects we are looking to add in FY '26? You've earlier mentioned that 1.5x to 2x of presales. So should we go by that guidance for FY '26 as well?

Ritik, basically, Rustomjee has been able to identify newer locations that when we entered in, people were not looking at and after we entered in, they became suddenly very hot. It isn't that they became hot after we entered. The fact is our data pointed us towards that much earlier than the other people or the other companies recognize this. Keeping the same thing in mind, we are continuously focused at newer locations at the same point of time, consolidating or growing in the locations we are at. So to give you a bird's eye view, the Western suburb will be where we will continue to focus at the same point of time, the Eastern suburbs will also be growing in our array of projects that we will launch in the future. As we had mentioned earlier, we've also moved into plotted developments, which will take us to newer shores. And hopefully, in the next financial year, we'll have a launch or 2 in one of the upwardly mobile, I would say, a fluid class place of choice. And we will have mega launches over there as well.

And sir, my last question is on the Crown project. Would it be possible to share the sales figure in units and value in 9 months FY '25?

Give me a minute, Ritik, let me just get the exact data so that I'm not saying a number which [indiscernible]. Give me a minute. I'll come back to that if that's okay.

[Operator Instructions]. We take the next question from the line of Pritesh Sheth from Axis Capital.

Congrats on a great first 9 months. Just a couple of questions. One on the launch side, while we had a great first half, but not many launches this quarter. Is it just like a normal business course or there is some slowdown in terms of approvals, which is impacting our launches? Or that's how we planned it for the quarter and Q4 is looking stronger from a launch perspective?

Thanks for that, Pritesh. And I should say that while there wasn't really any slowdown as such, but the elections always impede, let's say, newer project launches at any point of time. So that is what kind of could have been one of the factors. But very importantly, Pritesh, I should remind everybody that we've already launched 5 projects in the first half instead of 4. So we are, if at all in this quarter, 1 project launch short, which I've already clarified will be something that you will see in this quarter, and you'll see 3 project launches. We would have well crossed the INR 6,000 crore mark that we have set ourselves out for. So we've already crossed INR 4,057rores. We should be able to cross INR 6,000 crores with these 3 launches coming up in this quarter itself.

I think I agree. I mean, we had good launches in the first 9 months. So I just wanted to get a sense from an industry perspective, whether things have improved on approvals, et cetera, or not. But the second question is on the demand. Again, good numbers for us for the first 9 months. But looking at how stock markets are doing in the last probably 3, 4 months, Mumbai is generally active in terms of capital market participation, do you think this stock markets will have any sort of impact in housing demand in the near term? If you have any data points on that, which you generally look at, how much of the eventual housing demand is being driven by stock markets doing good in the last 2, 3 years?

Pritesh, thank you for the question. And basically, I can only point out to the data that is already available with us. So if you look at the data of FY '24, where Mumbai MMR had crossed 900-plus apartments in the INR 10 crore plus category. I think even last month, and if I'm allowed to say this, January saw data of about 12,000 registrations taking place. So really, this slowdown that everybody is -- well, there's some kind of moment in the market is not really seen from where we are. Having said that, what is the connection between the stock market and real estate? I think a very strong portion of the Mumbai buyer base, while, of course, Mumbai is concerned to be ahead of the stock markets, et cetera. I don't see such a huge connect at least right now from the way the data is pointing out. So we are still having a very strong buy base from the, let's say, salaried class, from the smaller business classes. And there's been a great and strong demand as we've seen in the data for all the high-end projects. I already mentioned our project in Bandra West, achieved price points of INR 1.16 lakh per square foot. And we are sold out and we're still in, let's say, the first, I think, half year of that project where we are still in the ground and still building up from there. I think it's a strong promise of delivery that is continually driving the sales, especially for new products, and the strong belief in the consumer that the product that they're going to get is going to excel whatever has been shown, and we continue to do that. Customer delight has been what we've always aimed for. And going further investor delight is also what we are continually aiming for.

Just one last on, again, our near-term trends in terms of demand. Till December, we've already seen what you've done. In January, I mean, is the momentum in terms of walk-ins, conversions, et cetera, still continuing at that same pace for Keystone, what we have been seeing in the first 9 months? So just trying to get some insight on how near-term trends are picking up.

Pritesh, this is Chandesh here. So Pritesh, traditionally, December to January has always been a slow month. That is the period where it's not an auspicious period as far as customers are concerned. So we always see a slowdown between December and January. And actually, things start picking up maybe late in January and going towards the festive season in terms of Guripada. So we are seeing that momentum already kicking in. We have a couple of launches planned to take advantage of this situation. And as Sam mentioned, we have already done in the last 9 months, we have already -- we are close to crossing our full-year presales of the previous financial year. So in that manner, we are very well poised. We have sold close to around 20% of the value of the stock that we have launched in the first 9 months. So we have seen robust sales and whatever indication we have got from our sales team and from the channel partners in the market for the launches that we have planned in this particular quarter, we hope to surpass the guidance that we have given in the beginning of the year.

We take the next question from the line of Harsh Pathak from Emkay Global.

So first of all, congratulations for the good performance this quarter and for the 9 months. So my first question is on the performance with respect to the segment-wise. I mean, if you look, your sales have been largely driven by the super-premium category in this December quarter. And even if I look at the 9 months performance, it is largely driven by the super-premium and aspirational category. But when I look at your forthcoming projects, I mean it seems to be tilted towards the affordable and the mid-mass segment. So how do you see the performance going ahead? And how do you expect the demand to pan out maybe from a 2- to 3-year perspective?

Sorry, I missed out on your name.

Harsh, this is Harsh Pathak.

Hi, Harsh, thanks for that question. So Harsh, the very fact that we have performed beautifully in the premium and super-premium segments makes us a prime, what we call choice developer in the aspirational category because the aspirational category by the virtue of its name itself is aspiring towards something much, much better. Having said that, if you see our launches have also been more in this premium category, and that is why the sales have been driven by that category. Now we also had a great launch in Thane, where we saw some very good sales taking place. So we are not letting go or seeding our position as a developer that does aspiration and mid-mass. As a matter of fact, that is an area we've continually been focused on, and we think we'll continue to grow because that's a growing market segment. Having said that, almost 56% of our sales have come through the aspiration and mid-mass segment itself. So in the 9 months, we've done INR 566 crores in the aspirational and INR 653 crores in the mid-mass, both put together about INR 1,220-odd crores in this segment itself. And coming forward, I mean, Dombivli is also going to be somewhere we've been kind of working on at the back end of the market, building it up, understanding the consumers' needs. And when we do the launch, I mean, I'm sure I'll have a story to tell you. And you can see the kind of results that we are able to give in that market also because we've had a long-standing experience of Thane and Vera. We've grown the market which are in the Dombivli belt. And Dombivli looks like a great area for greenfield development that we see to a super spurt in the growth of that area given the entire connectivity that that area is now witnessing. So we are pretty excited about it.

But then in terms of the new project additions, maybe over the next 2 to 3 years, how do you look at, I mean, additions with respect to the different subcategories in the super-premium, aspirational, and mid-mass? Maybe we have a sizable inventory on the forthcoming front in the mid-mass and affordable front. But I think on the aspirational side, the forthcoming projects, which I see in your PPT is around INR 4,500 crores and the super premium is close to INR 3,900 crores. So I think we have some limited inventory there. So how do you look at new project additions with respect to these categories?

Yes. So you look at our forthcoming project pipeline in 2 parts. One is the township and another is the non-township. So the total INR 41,000 crores above INR 20,000 crores with the township and that is the reason we look typically a larger portion into the mid-mass and the affordable segment being contributed by Thane and also by the Dombivli. If I remove the township differences, the balance pipeline is INR 20,000 crores. And out of that INR 20,000 crores, aspirational is INR 4,500 crores, which is a good about 25% of the total pipeline. So going forward, typically, we have said that we wanted to focus more on the mid-mass as well as aspirational segment. Our acquisition over the last 2 years and 9 months of the current financial year, wherein more than 73% by value we acquired in this category. We have been able to balance the portfolio whereby we are present across the price. Typically, our model mix will be about 40%, about 40% premium, super premium of the total size of the pipeline, about 40% into the mid-mass and the aspirational segment, 40%, 45%, and about 10% to 15% coming from the affordable segment. And our pipeline basically has been built and is being built taking into account this model mix.

But in terms of demand, is there a healthy trend seen in the super-premium segment still? Or is there something -- I mean, is there some moderation happening in that subsegment?

Harsh, Boman back here. I can only tell you what has happened, and I can only tell you what our data points towards. We've seen a very strong premium and super premium demand. If you're asking me, will this demand continue, at least given by the data that I have, I think definitely. And I cannot speak about everybody, but at our end, we do a lot of, what do you call the test segments that we continuously kind of interact with the buying or the consumer base. We've seen that this market, at least at this moment in time, is extremely robust. And it is -- I would like to think that it's robust because of the fact that people are looking at a better life and lifestyle, and they are looking for things of value and giving value a better premium over price. So we are seeing a very good demand over here. I can tell you with what we read that at least the next few quarters, there is no slowdown in demand for the premium segment at all.

And to dig a bit deeper into this, I mean, which are the data points that we should focus on to actually get confidence in this trend? Is it the number of footfalls? Is it the number of inquiries? I mean what is the data point we actually focus upon?

Yes, yes. That is -- we look at the kind of inquiries that take place for premium homes, not only at our website but across websites that are being kind of -- those companies are good on the digital side. Second, we always district consumer buyer basis. We district broker sentiment. We are very specific to micro down to the area of concern. So if you say Bandra, it's not Bandra. We are able to give you data of Pali Hill versus Mount Mel. And we are able to distinguish between the buyers of these 2 places also. I hope that answers your question. We are able to kind of really do a deep dive on digital data, on actual interactions on what we see in various reports that are appearing, and of course, continuously interacting with the broker fraternity. Once again, Chandresh also wants to add a point of view.

Yes. So Harsh, in terms of data points, what we have been observing is that our conversion ratios may be from deep to walk-in or from walk-in to conversion in terms of sales. Those ratios are also continuously improving. So these are the data points that we see is which makes us believe that this demand would continue. And so at Rustomjee, also, we are looking at exploring newer markets, newer micro markets in terms of premium and luxury. So we are currently not present in the South Mumbai market. Very soon, we are close to acquiring projects in that micro market. We continue to do well in Prabhadevi. So hence in Prabhadevi also, we are looking at -- and we have already acquired a project in Prabhadevi. We are looking at launching a project in Prabhadevi as well. Mahim, which was a bit subdued location, now with our launch of 180 this week, we are able to exploit the latent demand for luxury and premium in that particular micro market. So at Rustomjee, we are constantly on a lookout of where the next growth, the next additional revenue is going to come from. And we are extremely conscious in each of these newer markets, there is a latent demand which we are looking at exploiting. Does that answer your question?

Right. No, that's really encouraging to know. One last bit from my side. So whatever sales you have generated in the super-premium and the aspirational category, has that largely come from the domestic market or there is some element of the NRI buying as well?

As I mentioned, we try and keep a very good connect with our NRI market as well. But the strongest part, I mean, if you're asking the largest part has come from the local market itself. The offshoots of our outreach in the NRI market will now start seeing a lot more traction and results.

[Operator Instructions] The next question is from the line of Neel Mehta from Investec Capital.

Congrats on a good 9 months. My question is more around strategy around identifying which micro markets we want to incrementally grow within. We've obviously had a very good presence in the Western suburbs and Thane. But how do we think about newer micro markets in the MMR region, specifically also Navi Mumbai, considering infrastructure obviously has been very good out there, and you also had an airport coming up? That's my first question. And the second one, not sure if I missed the number, but if you could also quantify what the sales were from Crown during the quarter?

Neel, thank you for the reminder. I was wondering when I could put those numbers in. So we are planning to do about INR 370 crores to INR 400 crores this year from Crown. Vivek, that answers your question as well. And with regards to your first question, how do I look at newer markets? I think I'd like to say it this way that our data points towards a few markets that we kind of work on and realize before most other people catch on to the trend. We've identified Mahim, Matunga area as a growth area for us. We've identified for some time now the Eastern borderways as a growth area for us, wherever the connectivity to the Navi Mumbai side is where the new airport is coming up. We consistently have seen growth in the Western suburbs. We've identified Chembur as an area of growth for us. We think that the connectivity of Chembur and the placement of Chembur and the green spaces around Chembur should also be adding a lot of value to the lives of consumers, the way we design our projects, and you'll see a launch coming up shortly. So we definitely work towards these markets. And as far as our secret sauce goes, though I cannot say more, you pointed us definitely in a direction, or rather you've spoken about a direction where we are definitely pointed towards. And we are looking at the newer Mumbai or the Navi Mumbai market and our BD teams are -- one part of the BD team is working very strongly. We should have something to announce in this calendar year as a tie-up. But beyond that, there's not much I can say.

The next question is from the line of T.D Patel, an individual investor.

Congrats on the numbers which you've achieved for the last 9 months. I have got 3 questions. The first question I have is, is there a clear date for launching the project, which you had undertaken jointly with Ajmera in the beginning of the year?

Yes, Patel. Basically, that project is well on its way to launch. As a matter of fact, work on-site has started. And I think we should be launching that project in June or thereabouts.

Yes. And I mean just a small comment. I observed tremendous symbiotic potential between Ajmera and Rustomjee on this project. So I think it will be -- it's going to be a great collaboration between the 2 of you, especially if Ajmera may lean in more on Rustomjee. And I observed that -- the next question is that I observe you have some recent engagement in Dombivli. Are you looking to procure land? And what is the minimum land size that you're looking at?

So thank you. Thank you, Pat, for that encouraging statement about our tie-up with Ajmera. Basically, Rustomjee has believed in the spirit of partnerships, and we've -- our JV, JDs as well as our redevelopments are all a testament to our ability to work with partners over the longer term. And there have been times where partners have repeated business with us, which is a strong testament to our ability to continue growing in a partnership. With regards to Dombivli, we had informed the buyers or the market that we have entered into a JV with a landowner. Again, this is in keeping with our asset-light model. We've only put up a deposit. And going forward, all the development is going to be done by us. There's a top-line share with the landowners and Rustomjee is going to be the developer. We do not want to acquire land over there, while we will acquire land in, let's say, a future upcoming area. Dombivli for us is something where we want to kind of make the most of the current boom in that area. As I mentioned, the connectivity of Dombivli has seen a tremendous upside with the connectivity to Thane and the entire metro route network going on out there. And over time, this entire triangle, which is Bombay, Dombivli, Thane is going to be a great growth area given that Rustomjee is continuing to grow as a logistics hub and more and more employment generation is taking place out there and people are looking at an alternative to Thane also as a location to live. And Rustomjee will continue to weave the magic out there with what we've done in Thane. And you've seen Thane grow from a INR 2,000 market to a INR 25,000 market as of right now. We see a similar trend happening in Dombivli over the next few years.

So would you be open to entering JV for 25 acres worth of land in the Dombivli area?

I'm sorry, I missed your question. 25 acres of land in the Dombivli area?

Yes, would you be open to engaging in a transaction or a joint venture for 25 acres of land?

There is nothing better than an investor coming and offering us a proposal. We'll happily look at it. Of course, it will have to fit into our business development norms, and we've spelled those out well. JVs or JVs have got to be where Rustomjee puts in a minimal amount of entry fee and then goes ahead with the entire development basis, its ability and capability to turn projects around at the quickest.

Who is a relatively good point of contract to work with for this point?

We have an e-mail ID, [email protected]. If you send out your proposal out there, that will be great.

[Operator Instructions] As there are no further questions, I would now like to hand the conference over to the management for closing comments.

Thank you. On behalf of Rustomjee management, each and every one of you, a big gratitude from my heart. In case there are any further queries, we are always available. Please feel free to reach out to us, and we'll be happy to take care of any queries that you may have. Thank you for your continued support and interest in Keystone Realtors Limited. Have a lovely evening.

Thank you, members of the management. On behalf of Axis Capital, that concludes this conference. Thank you for joining us, and you may now disconnect your lines.