NeoLiv, founded by former Godrej Properties CEO Mohit Malhotra, is embarking on the development of 10 housing projects in Delhi-NCR and Mumbai. They plan to enter Joint Development Agreements (JDAs) with landlords, targeting middle-income homebuyers with units priced between Rs 1 crore to Rs 3 crore. NeoLiv has secured approval to raise $150 million, becoming one of the top 15 developers in residential real estate. Their ambitious plan includes five group housing projects and five plotted developments, with a total development potential of 10 million square feet. The company's unique asset-light development model and focus on end-to-end control set them apart.
NeoLiv, founded by former Godrej Properties CEO Mohit Malhotra, is set to develop 10 housing projects in Delhi-NCR and Mumbai. Potential locations for these projects include Noida, Gurgaon in the NCR, and areas like Goregaon, Chembur, Vikhroli, and Borivali, among others, in Mumbai. The company plans to enter into Joint Development Agreements (JDAs) with landlords for these projects, targeting middle-income homebuyers with units priced between Rs 1 crore to Rs 3 crore. NeoLiv has secured approval to raise $150 million and will become one of the top 15 developers in terms of net worth in the residential real estate market.
The company is gearing up to launch five group housing projects and an equal number of plotted developments, with a total development potential of a staggering 10 million square feet. NeoLiv is actively scouting for promising projects in the Delhi-NCR and Mumbai Metropolitan Region (MMR) and is currently engaged in discussions with landlords to enter into Joint Development Agreements (JDAs).
The company's strategy includes engaging in 7-8 JDAs by the end of the current financial year, with a massive combined development potential of 10 million square feet. In the case of plotted developments, NeoLiv may explore outright land purchases as part of its growth strategy.
While the focus for the company is primarily on deploying capital in the current year, they are already setting their sights on launching at least two residential projects in the next financial year. These future projects may comprise approximately 1,000 housing units in the NCR and about 800 units in Mumbai, with the remainder being plotted developments. Potential locations for these projects include Noida, Gurgaon in the NCR, and areas like Goregaon, Chembur, Vikhroli, and Borivali, among others, in Mumbai.
The company is commitment to cater to middle-income segment customers who seek to purchase quality homes. The bulk of its offerings will be in the price range of Rs 1-3 crore per apartment, and plots will be available in a range of Rs 50 lakh to Rs 1 crore.
NeoLiv Capital Advisor has secured approval for Category II Alternative Investment Fund (AIF) from the Securities and Exchange Board of India (SEBI). This approval empowers them to raise a substantial $150 million, which includes a $60 million green-shoe option.
NeoLiv's approach to executing real estate projects is unique. The company employs the asset-light development management model. It operates as an integrated residential platform with two arms – NeoLiv Capital Advisor and NeoLiv Real Estate. This approach allows them to both raise a fund for project investments and develop the projects themselves, providing end-to-end control.
Wealth and alternatives-focused asset firm '360 One' has recently acquired a minority stake in NeoLiv, expanding the number of equity partners to eight. Beyond development, the company plans to offer post-possession services to customers, including maintenance and facility management.
NeoLiv's entry into the real estate market with its holistic approach and strategic vision could potentially have a significant impact on the housing sector in Delhi-NCR and Mumbai, offering a ray of hope for middle-income homebuyers seeking quality and affordable housing solutions
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