Balgopal Commercial Secures ₹200 Crore Redevelopment Project in Mumbai

Balgopal Commercial Limited's subsidiary, Dreamax Realtors, has secured a redevelopment project worth ₹200 crores from Oshiwara Gokul Co-operative Housing Society Limited. The agreement involves the comprehensive redevelopment of land admeasuring 2,531.62 sq meters situated in Jogeshwari (West), Mumbai. The project carries a gross merchandise value (GMV) of approximately ₹200 crores.

Dreamax Realtors, formerly known as Lotus Realtors, executed a Supplemental Development Agreement (SDA) to revise and update a prior Development Agreement dated June 15, 2011. The disclosure was made to BSE Limited under Regulation 30 of the SEBI (Listing Obligation and Disclosure Requirements) Regulations, 2015.

The Developer will undertake the redevelopment of the Society's land located at Adarsh Nagar, New Link Road, Oshiwara. The Company's entitlement of free sale component from the project is presently estimated to be around 51,086 square feet. This estimation is subject to the provisions of the Development Control & Promotion Regulations for Greater Mumbai, 2034, and applicable laws.

The project timeline stipulates completion within 42 months, plus a 6-month grace period from the receipt of the Commencement Certificate (C.C.) or Handover Date, whichever is later. The order has been awarded by a domestic entity and does not involve any related party transactions. The key project parameters are outlined below:

| Particulars: | Details | |----------------------------------------|--------------------------------------------------| | Entity Awarding the Order: | Oshiwara Gokul Co-operative Housing Society Limited | | Nature of Order: | Supplemental Development Agreement (SDA) | | Project Area: | 2,531.62 sq meters | | Estimated Free Sale Component: | 51,086 square feet | | Broad Consideration: | GMV ₹200 crores approx. | | Execution Period: | 42 months plus 6-month grace period |

The Company confirmed that neither the promoter group nor group companies have any interest in the entity awarding the order. The filing was signed by Ankit Ladha, Company Secretary & Compliance Officer.

This significant project is expected to bolster Balgopal Commercial's revenue and profitability over the next 42 months. The free sale component of 51,086 sq ft is a substantial addition to the company's existing real estate portfolio, enhancing its market presence and financial prospects. However, the project also comes with potential risks and challenges, including regulatory approvals and timelines, which the company will need to manage effectively to ensure successful completion.

Historical stock returns for Balgopal Commercial show mixed performance, with a 5-year return of +5,014.75%, indicating strong long-term growth potential. The company's ability to execute this project successfully will be a key factor in maintaining and potentially improving these returns.

| 1 Day | 5 Days | 1 Month | 6 Months | 1 Year | 5 Years | |-------|---------|----------|-----------|---------|----------| | -1.58%| +0.58% | -5.37% | -19.17% | +13.99% | +5,014.75%|