ASBL to Pass on GST Benefits via Product Upgrades: CEO Ajitesh
Hyderabad: ASBL, a Hyderabad-based real estate developer, has provided insights into the evolving rental market dynamics while unveiling progress on its flagship residential project, Loft, situated in the city’s Financial District.
Speaking to the media, ASBL’s founder and CEO, Ajitesh Korupolu, highlighted that recent GST reforms have the potential to slightly reduce construction costs, particularly in cement. He emphasized that the company plans to pass on these benefits to consumers through product upgrades rather than direct price cuts.
Korupolu outlined how the rental market is increasingly driven by newly married couples and young families. Investors, predominantly professionals nearing retirement, are now seeking rental income as an additional source of financial security. Properties that offer strong walkability, allowing residents to walk to offices, are commanding a premium, with rental yields fetching an additional Rs50 per sq ft. Compact apartments in the 1,700–1,900 sq ft range are proving more profitable for investors compared to larger units over 2,500 sq ft, as the rent-per-square-foot remains higher in mid-sized homes.
The company also contrasted residential rental assets with commercial real estate. Unlike commercial spaces, where ownership is fragmented, exits are difficult, and rental control lies with agencies, residential units offer clear ownership, easier exits, and direct control over leasing decisions. Corporates are increasingly preferring to lease single-owner commercial buildings over multi-owned ones due to the challenges in cost-sharing for upgrades.
The Loft project, which is currently 60 per cent complete, is designed to meet the demand from mid-level professionals earning Rs24–30 lakh annually. The development consists of 894 three-bedroom apartments, sized 1,700 and 1,900 sq ft, spread across two 45-storey towers. The handover is scheduled for December 2026.
ASBL’s strategic approach to leveraging the changing market dynamics and GST benefits positions it well to meet the evolving needs of both residents and investors in the Hyderabad real estate market.
