Someone’s been making the most out of the economy’s recovery.
Riding high on the business recovery of its shopping malls, DLF’s rental arm DCCDL (DLF Cyber City Developers Ltd), has clocked in a whopping Rs 3,350 Cr as its rent income during the last fiscal year. Brisk retail sales and higher store demands have pushed the rents upwards.
The retail business of the real estate giant experienced one of the greatest booms as its malls demanded that tenants pay rents that are 10-15% higher than pre-covid levels.
The return of shoppers and retailers squandering for expansion is why real estate firms like DLF are reversing the discounts that were offered to struggling retailers back in the days when the pandemic hit its peak.
Out of the said total rental income, the rent from office spaces grew 5% – from Rs. 2,753 Cr in the previous year to Rs. 2,889 Cr in FY21-22.
On the residential realty front, DLF’s Chairman Rajiv Singh has also announced that the company will not enter into the development of low-income housing as it is a construction-intensive activity.
The company will instead continue to focus on developing luxury and upper mid-income residential properties.
Too long? Here’s a one-liner: DLF’s rental arm DDCL achieves 10% growth in its rent income, clocks Rs 3,350 Cr with just retail rent last fiscal year; Chairman reveals that focus will remain on luxury and upper mid-income residential properties.