Just over a decade back, Salarpuria was known in the industry circles for its foray into the real estate sector.
The Sattva Group emerged in the background of Salarpuria.
Today, Sattva Group has ventured into the education segment and the aviation industry with its acquisition of two companies- Sattva AASPL and Sattva eTech.
It also has a school, Greenwood High in Bangalore.
Bijay Agarwal, CMD, Salarpuria Sattva Group speaks to Vyas Sivanand about his Group’s future expansion plans and the current real estate scenario in Bangalore.
Can you elaborate on your diversification from real estate?
The Sattva Group primarily operates on the tenet that opportunity, when available, should be seized to make the best use of whatever it offers.
Our diversification into the aviation segment as well as education industry is an offshoot of this firm belief.
The Group has been managing Greenwood High International School for the last three years.
The school is currently rated amongst the best in Bangalore.
Our involvement with the school is our way of giving something back to the society.
The foray into the aviation industry is again a similar opportunity that was seized.
We are supplying to HAL and have recently struck a deal with a Nuclear Power project for supplying components.
Tell us about your flagship projects.
We have one flagship project coming up in Bangalore South, housing over 1800 apartments on 22 acres.
The development boasts of many luxury and unique facilities such as a heated swimming pool, Helipad, exclusive shopping arcade, 2-screen theatre that is for the exclusive use of the residents, etc.
Yet another commercial project offering over 1 million Sq.
feet on the outer ring road in Bangalore, has won an award for the Best IT project.
Comment on the real estate scenario prevailing in Bangalore.The current scenario is quite good and holds lot of promise.
Prices are likely to be stepped up in the next quarter to make up for higher cost of cement and steel which have gone up by 10 -15 per cent.
While the current year is unlikely to see any steep or spectacular change in the demand, the next year may see a change.
Prices may be more stable with economy faring better and the likelihood of RBI making home loans more affordable.
What are your views on the post-budget scenario in the real estate segment?
The increase in service tax rates by a further 2 per cent was unexpected and is likely to impact prices.
The increase in service tax is contrary to the popular expectation that the tax would be decreased.
However, with the Finance Minister expressing optimism that the economy will grow over 6.5 per cent, we are very positive and expect good growth in the real estate segment in the coming years.
What are your plans in terms of expansion?
We will soon be launching a 3 million Sq.
feet IT Park near Koramangala.
We are also looking at 3-4 residential projects, one of which will be a 52-acre project coming up in Vizag.
A residential-cumcommercial space spanning 1.5 million Sq feet will soon be launched in Hyderabad.
You have acquired land in the Aerospace SEZ in Devanahalli.
You have also tied up with the Russian defence sector.
What is this development about?
The agreement is for technical equipment.
More details will be disclosed at a later date.