Godrej Properties announces a redevelopment project in Mumbai [May 2012]

Real estate development arm of the Godrej Group, Godrej Properties, through its wholly owned subsidiary Godrej Projects Development Private Limited (GPDPL), entered into a Development Management Agreement with RR Builders to redevelop a MHADA property in Byculla, Mumbai. GPDPL will act as development manager and will be responsible for the conceptualisation, design, sales, and marketing of the Byculla project.
According to a statement released by Godrej Properties, “GPDPL shall be entitled to a development management fee of Rs. 50 crore from RR Builders over the duration of the project. GPDPL will also receive part of the revenue as a promote beyond certain defined selling prices. The entire costs for design, construction, and development of the project will be borne by RR Builders in its role as owner-developer, while the cost for sales and marketing will be borne by Godrej Properties in its role as development manager”.