Q1 2027 Max Estates Ltd Earnings Call

August 17, 2026

Speaker #1: Ladies and gentlemen, good day and welcome to the Q1 FY27 earnings conference call of Max Estates Limited, hosted by Amrit Capital Private Limited. As a reminder, all participant lines will be in listen-only mode, and there will be an opportunity for you to ask questions after the presentation concludes.

Operator: Ladies and gentlemen, good day and welcome to Q1 FY27 earnings conference call of Max Estates Limited hosted by Ambit Capital Private Limited. As a reminder, all participant lines will be in a listen-only mode, and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during the conference call, please signal an operator by pressing star then zero on your touch-tone phone. Please note that this conference is being recorded. I would now hand the conference over to Mr. Karan Khanna from Ambit Capital Private Limited. Thank you, and over to you, sir.

Operator: Ladies and gentlemen, good day and welcome to Q1 FY 2027 earnings conference call of Max Estates Limited hosted by Ambit Capital Private Limited. As a reminder, all participant lines will be in a listen-only mode, and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during the conference call, please signal an operator by pressing star then zero on your touch-tone phone. Please note that this conference is being recorded. I would now hand the conference over to Mr. Karan Khanna from Ambit Capital Private Limited. Thank you, and over to you, sir.

Speaker #1: Should you need assistance during the conference call, please signal an operator by pressing star, then zero, on your touch-tone phone. Please note that this conference is being recorded.

Speaker #1: I would now like to hand the conference over to Mr. Karan Khanna from Amrit Capital Private Limited. Thank you, and over to you, sir.

Speaker #2: Thank you, Ms. Khan. And good morning, everyone. On behalf of Amrit Capital, I would like to welcome you all to the Q1 FY27 earnings conference call for Max Estates Limited.

Karan Khanna: Thank you, Muskan, and good morning, everyone. On behalf of Ambit Capital, I would like to welcome you all to the Q1 FY27 earnings conference call for Max Estates Limited. From the management today, we have with us Mr. Sahil Vachani, Vice Chairman and Managing Director, Mr. Vachan Singh, Chief Operating Officer, Mr. Nitin Kansal, Chief Financial Officer, and Mr. Aashrid Goel, Head of Investor Relations. We would like to now begin the call with opening remarks from the management, post which we will have the forum open for an interactive question and answer session. Thank you, and over to you, Sahil.

Karan Khanna: Thank you, Muskan, and good morning, everyone. On behalf of Ambit Capital, I would like to welcome you all to the Q1 FY 2027 earnings conference call for Max Estates Limited. From the management today, we have with us Mr. Sahil Vachani, Vice Chairman and Managing Director, Mr. Vachan Singh, Chief Operating Officer, Mr. Nitin Kansal, Chief Financial Officer, and Mr. Aashrid Goel, Head of Investor Relations. We would like to now begin the call with opening remarks from the management, post which we will have the forum open for an interactive question-and-answer session. Thank you, and over to you, Sahil.

Speaker #2: From the management today, we have with us Mr. Sahil Vachani, Vice Chairman and Managing Director; Mr. Vachan Singh, Chief Operating Officer; Mr. Nitin Kansal, Chief Financial Officer; and Mr. Arshit Goyal, Head of Investor Relations.

Speaker #2: We would now like to begin the call with opening remarks from management, after which we will open the forum for an interactive question-and-answer session.

Speaker #2: Thank you, and over to you, Sahil.

Speaker #3: Thank you, Karan, and good morning, everyone. I'd like to begin with some industry highlights, followed by key business updates for the quarter ended 30th June 2026.

Sahil Vachani: Thank you, Karan, and good morning, everyone. I would like to begin with some industry highlights followed by key business updates for the quarter ended 30 June 2026. The Delhi NCR residential market, to cover that first, saw a broadly resilient quarter despite a more cautious demand backdrop nationally. Delhi NCR recorded close to 8,800 residential unit launches in Q2 2026, with Gurugram continuing to lead the region, accounting for approximately a 70% share across the key vectors of Sohna Road and Dwarka Expressway. Noida Greater Noida too contributed the balance with Noida Expressway and Noida Extension emerging as key micro markets. For the H1 of calendar year 2026, the total launches across the region reached approximately 18,500 units, reflecting sustained momentum.

Speaker #3: The Delhi NCR residential market, to cover that first, broadly saw a resilient quarter. Despite the more cautious demand backdrop nationally, Delhi NCR recorded close to 8,800 residential unit launches in Q2 2026, with Gurgaon continuing to lead the region, accounting for approximately a 70% share.

Speaker #3: Across their key vectors of Sonar Road and Dwarka Expressway, Noida-Greater Noida, too, contributed the balance, with Noida Expressway and Noida Extension emerging as key micro markets.

Speaker #3: For the first half of calendar year 2026, the total launches across the region reached approximately 18,500 units, reflecting sustained momentum. On the pricing side, weighted average prices held broadly stable on a quarter-on-quarter basis, while capital values recorded healthy annual growth across both cities and rentals.

Sahil Vachani: On the pricing side, weighted average prices held broadly stable on a quarter-on-quarter basis, while capital values recorded healthy annual growth across four cities and rentals improved steadily, led by the prime micro markets that I outlined. That said, the residential sales volumes across the sector moderated through the quarter against a backdrop of global uncertainty, tightening liquidity conditions, and cautious consumer sentiment. On the commercial side, Delhi NCR recorded strong office leasing of 4.1 million square feet in Q2 2026, reflecting healthy occupier demand across key commercial markets led by GCCs, IT, flexible workspaces, and professional service firms. Coming to the business performance for Max Estates.

Speaker #3: Improvements in rentals continued steadily, led primarily by the prime micro markets that I outlined. That said, residential sales volumes across the sector moderated through the quarter against a backdrop of global uncertainty, tightening liquidity conditions, and cautious consumer sentiment.

Speaker #3: On the commercial side, Delhi NCR recorded strong office leasing of 4.1 million square feet in Q2 2026, reflecting healthy occupier demand across key commercial markets led by GCCs, IT, flexible workspaces, and professional services.

Speaker #3: Turning to the business performance for Max Estates, starting with the residential side, we are very delighted to share that Max Estates delivered a strong Q1 FY27, with presales of approximately ₹1,100 crore, registering a 5x year-on-year growth. This is a clear reflection of the continued strength of our brand and product positioning, even in a more selective demand environment.

Sahil Vachani: First, on the residential side, we are very delighted to share that Max Estates delivered a strong Q1 FY27 with pre-sales of approximately INR 1,100 crores, registering a 5x year-on-year growth, a clear reflection of the continued strength of our brand and product positioning, even in a more selective demand environment. This was anchored by the full sell-out of phase one of The Terraces at Estate 361 Gurugram, which contributed approximately INR 500 crores, while sustenance sales across the existing portfolio added another INR 600 crores. Collections for the quarter stood at approximately INR 575 crores, consistent with our historical collection range of 20% to 25% of the sales value, enabling us to fund construction without incremental debt on any of our residential projects. On the embedded value, the total revenue potential across our launched residential and mixed-use portfolio stands at INR 17,500 crores.

Speaker #3: This was anchored by the full sellout of phase one of the terraces at Estate 361, Gurgaon, which contributed approximately ₹500 crore, while sustenance sales across the existing portfolio added another ₹600 crore.

Speaker #3: Collections for the quarter stood at approximately ₹575 crore, consistent with our historical collection range of 20% to 25% of the sales value, enabling us to fund construction without incremental debt.

Speaker #3: On any of our residential projects, on the embedded value, the total revenue potential across our launched residential and mixed-use portfolio stands at INR 17,500 crore.

Speaker #3: Of this, INR 13,500 crore is already sold and contracted, comprising INR 3,500 crore already collected and a further INR 10,000 crore to be collected as construction progresses.

Sahil Vachani: Of this, INR 13,500 crores is already sold and contracted, comprising INR 3,500 crores already collected and a further INR 10,000 crores to be collected as construction progresses. It is important to note that our current P&L reflects only a fraction of what is already contracted. Translating the sold portfolio into profitability terms, the embedded PBT is estimated in the range of INR 4,500 to INR 5,500 crores. This is a critical distinction of how we think about the business. A substantial majority of our future reported earnings is already locked in well ahead of P&L recognition, which meaningfully de-risks our earnings trajectory. Looking ahead, our residential launch pipeline, spanning both unsold launch inventory and future launches, stands at approximately INR 16,100 crores.

Speaker #3: It's important to note that our current P&L reflects only a fraction of what is already contracted. Translating the sold portfolio into profitability terms, the embedded PBT is estimated in the range of ₹4,500 to ₹5,500 crore.

Speaker #3: This is a critical distinction of how we think about the business: a substantial majority of our future reported earnings is already locked in, well ahead of P&L recognition, which meaningfully de-risks our earnings trajectory.

Speaker #3: Looking ahead, our residential launch pipeline, spanning both unsold launched inventory and future launches, stands at approximately ₹16,100 crore. Of this, ₹4,000 crore is already launched and available for sale this year, while the remaining ₹12,000 crore approximately represents new project launches planned through the course of FY27, as we continue to target annual addition of 2 million square feet of residential development.

Sahil Vachani: Of this, INR 4,000 crores is already launched and available for sale this year, while the remaining INR 12,000 crores approximately represents new project launches planned through the course of FY27, as we continue to target annual addition of 2 million square feet of residential development. Max Estates launched The Terraces in May, its newest residential offering within Estate 361 in Dwarka Expressway, Gurugram. The Terraces brought together smart residences and community shared spaces across a host of amenities. This particular aspect within the development has a broad GDV of INR 1,200 crores, and is part of Estate 361, which has an overall GDV of INR 9,000 crores. Phase 1, with a GDV of INR 500 crores, was fully sold out in the launch quarter. Estate 361 is built as a fully intergenerational community encompassing The Terraces for young couples and first-time homeowners.

Speaker #3: Max Estates launched The Terraces in May, its newest residential offering within Estate 361 on Dwarka Expressway, Gurgaon. The Terraces brings together smart residences and eight community shared spaces across a host of amenities.

Speaker #3: This particular aspect within the development has a broad GDV of ₹1,200 crores, which is a part of Estate 361, which has an overall GDV of ₹9,000 crores.

Speaker #3: Phase one, with a GDV of ₹500 crore, was fully sold out in the launch quarter. Estate 361 is built as a fully intergenerational community, encompassing the terraces for young couples and first-time homeowners.

Speaker #3: At Estate 105 Noida, driven by the strong response to the project, we have revised the development mix to a residential portfolio, enhancing our project GDV to ₹6,000 crore, with phase two of this plan set to launch in FY27.

Sahil Vachani: At Estate 105 Noida, driven by the strong response to the project, we have revised the development mix to a residential portfolio, enhancing our project GDV to INR 6,000 crores with phase 2 of this planned in FY27 as a launch. Max One, which was part of the transformative revival of the long-stalled Delhi One project, has now got well underway. The acquisition and subsequent clearances provided a decade's worth of relief to erstwhile homebuyers who were brought into the Max Estates family. Including bookings recognized post-RERA approval from the erstwhile developer, the project spans 2.5 million square feet, with a total GDV of approximately INR 3,200 crores and an annuity income of INR 145 crores. Delighted to share that the project has achieved the highest sale value in Noida, with a sales price of INR 37,000 per square foot, excluding GST.

Speaker #3: Max One, which was part of the transformative revival of the long-stalled Delhi One project, has now got well underway. The acquisition and subsequent clearances provided a decade's worth of relief to erstwhile home buyers who were brought into the Max Estates family.

Speaker #3: Including bookings recognized post-RERA approval from the erstwhile developer, the project stepped in at 2.5 million square feet, with a total GDV of approximately ₹3,200 crores and an annuity income of ₹145 crores.

Speaker #3: Delighted to share that the project has achieved the highest sale value in Noida, with a sales price of ₹37,000 per square foot, excluding GST.

Speaker #3: Coming to our new launch in Gurgaon, Sector 59, on Golf Course Extension Road: it has a development potential of 1.3 million square feet, with a GDV potential of more than ₹3,500 crore, and we are expected to launch in Q3 of FY27.

Sahil Vachani: Coming to our new launch in Gurugram, Sector 59 on Golf Course Extension Road. It has a development potential of 1.3 million square feet with a GDV potential of more than INR 3,500 crores, and we are expected to launch in Q3 of FY27. Overall, like I mentioned, the company has a residential pipeline of INR 16,000 crores and continues to target an annual addition of 2 million on residential development. Coming to the commercial portfolio. On the commercial side, all three of our operating assets, Max Towers, Max House, and Max Square, continue to operate at 100% occupancy, which remains perhaps the single most important data point for our commercial business. It validates both the quality of our product and the strength of tenant demand in the micro markets where we operate. Max Towers continues to command a significant re-leasing premium. The latest lease signed at INR

Speaker #3: Overall, like I mentioned, the company has a residential pipeline of ₹16,000 crores and continues to target an annual addition of 2 million. On residential development, coming to the commercial portfolio—on the commercial side, all three of our operating assets, Max Towers, Max House, and Max Square, continue to operate at 100% occupancy, which remains perhaps the single most important data point for our commercial business.

Speaker #3: It validates both the quality of our product and the strength of tenant demand in the micro-markets where we operate. Max Towers continues to command a significant re-leasing premium. The latest lease was signed at ₹156 per square foot per month, against a current weighted average rental of ₹132—a mark-to-market upside of over 50%, and a premium of more than 50% to immediate micro-market rentals.

Sahil Vachani: 156 per square foot per month against a current weighted average rental of INR 132, a mark-to-market upside of over 50% and a premium of more than 50% to immediate micro market rentals. In addition, the project, both Max Towers and Max Square, have received a five-star rating from British Safety Council in its first ever occupational health and safety audit, evaluating over 50 best practice elements. Coming to the construction pipeline, Max Square 2, having a leasable area of 1 million square feet, is on track and is expected to receive occupancy certificate by Q2 FY28. It is expected to add INR 125 crores to the annuity portfolio. Strong leasing momentum highlighted by the signing of an LOI for a long-term re-lease of approximately 90,000 square feet at 25% premium to the prevailing micro market.

Speaker #3: In addition, the projects Max Towers and Max Square have received a five-star rating from the British Safety Council, in its first-ever occupational health and safety audit, evaluating over 50 best practice elements.

Speaker #3: Coming to the construction pipeline, Max Square 2, having a leasable area of 1 million square feet, is on track and is expected to receive the occupancy certificate by Q2 FY28.

Speaker #3: It is expected to add ₹125 crores to the annuity portfolio. Strong leasing momentum is highlighted by the signing of an LOI for a long-term lease of approximately 90,000 square feet at a 25% premium to the prevailing micro market.

Speaker #3: Coming to Max District, which is in Gurgaon and also under construction, it has a leasable area of 1.6 million square feet. It is on track and is expected to receive occupancy across Q3 in FY28 and Q3 of FY29, respectively.

Sahil Vachani: Coming to Max District, which is in Gurugram and also under construction, it has a leasable area of 1.6 million, is on track, also expected to receive occupancy across Q3 in FY28 and Q3 of FY29 respectively. We expect it to add INR 200 crores to the annuity portfolio. Here, strong leasing momentum highlighted by the signing of an LOI for a long-term re-lease of 200,000 square feet at 35% premium to the micro market rental. As our under-construction pipeline progresses, we expect to achieve our annual rental income of approximately INR 700 crores at peak occupancy. We will also continue to target 1 million square feet of new business development towards this portfolio moving forward.

Speaker #3: We expect it to add ₹200 crore to the annuity portfolio. And again here, strong leasing momentum is highlighted by the signing of an LOI for a long-term lease of 200,000 square feet at a 35% premium to the micro market rental.

Speaker #3: As our under-construction pipeline progresses, we expect to achieve our annual rental income of approximately ₹700 crores at peak occupancy. We will also continue to target 1 million square feet of new business development towards this portfolio moving forward.

Speaker #3: Overall, we enter Q2 of FY27 with very strong conviction in our execution capability and pipeline visibility. I will now hand over the call to my colleague Nithin, our CFO, who will take you through the next section.

Sahil Vachani: Overall, we enter Q2 of FY27 with a very strong conviction in our execution capability and pipeline visibility. I now hand over the call to my colleague, Mr. Nitin Kansal, who is our CFO, to take you through. Thank you.

Speaker #3: Thank you.

Speaker #2: Thank you, Sahil. Good morning, everyone, and thank you for joining the call. I'll begin with an important update regarding the credit rating of Max Estates.

Nitin Kansal: Thank you, Mr. Sahil Vachani. Good morning, everyone, and thank you for joining the call. I will begin with an important update with regard to the credit rating of Max Estates. Last week, ICRA, one of the premium rating agencies of the country, assigned Max Estates a first-time issuer rating of A plus with a stable outlook on a consolidated basis covering the company and its 14 subsidiaries. In arriving at this rating, ICRA assessed uncommitted receivables of close to INR 9,500 crores as of 26 March, and a cash flow adequacy ratio of about 105%, meaning our contracted receivables cover pending construction costs and residential debt. This is the first external credit assessment that the company has had, and we think it is useful independent read on the points Mr. Sahil Vachani has described earlier. Now let me take you through the operational and financial highlights for Q1 FY27.

Speaker #2: Last week, Iqra, one of the premium rating agencies of the country, assigned Max Estates a first-time issuer rating of A+ with a stable outlook.

Speaker #2: On a consolidated basis, covering the company and its 14 subsidiaries, in arriving at receivables of close to ₹9,500 crore as of March 26, and a cash flow adequacy ratio of about 105%—meaning our contracted receivables cover pending construction cost and residential debt.

Speaker #2: This is the first external credit assessment the company has had, and we think it is a useful, independent read on the points Sahil has described earlier.

Speaker #2: Now, let me take you through the operational and financial highlights of Q1 FY27. The consolidated revenues stood at ₹52 crore in Q1, while consolidated EBITDA stood at ₹8 crore.

Nitin Kansal: The consolidated revenues stood at INR 52 crores in Q1, while consolidated EBITDA stood at INR 8 crores. Consolidated profit before tax stood at INR 11 crores and PAT stood at INR 8 crores. All the commercial estates are 100% leased, and the total area stood at 1.2 million square feet, with a lease rental income from Max Towers, Max House, and Max Square up 5% year on year to INR 40 crores in Q1. Max Asset Services bank revenue stood at INR 15 crores in Q1, a growth of 16% on year on year basis. As on 26 June, the net debt stood at INR 234 crores, with a gross debt of INR 1,960 crores, including these lease rental discounting borrowings of INR 934 crores, while cash and cash equivalents stood at INR 1,727 crores. That means a net debt of INR 234 crores.

Speaker #2: Consoled profit before tax stood at 11 crores and PAT stood at rupees 8 crores. The all the commercial assets were 100% leased, and the total area stood at 1.2 million square feet, with a lease rental income of from Max Towers Max House and Max Square of 5% year on year to rupees 40 crores in Q1.

Speaker #2: Max Estates services, bank revenues stood at rupees 15 crores in the Q1, a growth of 16% on year-on-year basis. As on June 26, the net debt stood at rupees 234 crores, with a gross debt of 1,960 crores, including lease rental discounting borrowings of 934 crores, while cash and cash equivalent stood at rupees 1,727 crores, with that means a net debt of 234 crores.

Speaker #2: Overall, we believe Max Estates remains well positioned with a strong launch pipeline, healthy collections, and growing annuity visibility across both our residential and commercial businesses.

Nitin Kansal: Overall, we believe Max Estates remains well-positioned with a strong launch pipeline, healthy collection, and growing annuity visibility across both our residential and commercial businesses. With this, I would now request Karan to open the floor for the question and answer session. Thank you.

Speaker #2: With this, I would now request Karan to open the floor for the question-and-answer session. Thank you.

Speaker #1: Thank you very much. We will now begin the question-and-answer session. Anyone who wishes to ask a question may press star one on the touchtone telephone.

Operator: Thank you very much. We will now begin the question and answer session. Anyone who wishes to ask question may press star and one on the touchtone telephone. If you wish to remove yourself from question queue, you may press star and two. Participants are requested to use handset while asking a question. Ladies and gentlemen, we will wait for a moment while the question queue assembles. The first question is from the line of Parth Soda from Trinetra Asset Managers. Please go ahead.

Speaker #1: If you wish to remove yourself from the question queue, you may press star and two. Participants are requested to use handsets while answering the questions.

Speaker #1: Ladies and gentlemen, we'll wait for a moment while our question queue assembles. The first question is from the line of Parth Sodha from Three Netra Asset Managers.

Speaker #1: Please go ahead.

Speaker #3: Yes. So am I audible?

Speaker #2: Yes, please.

Parth Soda: Yes. Am I audible?

Parth Sodha: Yes. Am I audible?

Speaker #3: Yes, good morning, and thank you for the opportunity. My first question is on employment marketing expense—it has increased materially in Q1.

Nitin Kansal: Yes, please.

Parth Soda: Yes, good morning, and thank you for the opportunity. My first question is on employee marketing expense. It has increased materially year-on-year in Q1. How should we think about the quarterly cost run rate and EBITDA margins over the rest of 2027?

Parth Sodha: Yes, good morning, and thank you for the opportunity. My first question is on employee marketing expense. It has increased materially year-on-year in Q1. How should we think about the quarterly cost run rate and EBITDA margins over the rest of 2027?

Speaker #3: How should we think about the quarterly cost run rate and EBITDA margins over the rest of 2027?

Speaker #2: Thank you. This is Nithin Kansil. I'd like to answer your question. See, I think the underlying aspect of the advertising and marketing cost lies in the accounting principle.

Nitin Kansal: Thank you. This is Nitin Kansal. I would like to answer your question. See, I think the underlying aspect of the advertising and marketing cost lies in the accounting principle. The way the accounting principles are defined under Ind AS 115 pertains that in the case of residential sales, the entire sales is accounted for in the P&L at the time of transferring the position to the customer, whereby although the advertising and marketing costs are all charged to P&L. If you see in the current quarter, we had launches and ongoing sales and marketing effort going in the current quarter as compared to the same quarter in the previous year, in which we did not have any lease. So the current year quarter looks like, give an impression of being elevated as compared to on a year-on-year basis.

Speaker #2: And the way the accounting principles are defined and the Ind AS 115 pertains is that in the case of residential sales, the entire sale is accounted for in the P&L at the time of transferring the possession to the customer. While the advertising and marketing costs are all charged to the P&L, if you see, in the current quarter we had launches and ongoing sales and marketing efforts going on in the current quarter.

Speaker #2: As compared to the same quarter in the previous year, which in which we didn't had any lease. So the current year quarter looks like give an impression of being elevated as compared to on year-on-year basis.

Speaker #2: Going forward, these sales and marketing expenses will be in line with the launches we have planned over the course of the year.

Nitin Kansal: Going forward, these sales and marketing expenses would be in line with the launches which we have planned within the course of the year.

Speaker #3: Okay, got it. And my second question is: with ₹11,900 crore of residential GDV planned across Estate 361 Phase 2, Estate 105 Phase 2, and Sector 59, which of these projects do you see as the biggest contributor to FY27 pre-sales?

Parth Soda: Okay, got it. My second question is, with INR 11,900 crore of residential GDV planned across Estate 360, Max One Phase 2, Estate 105 Phase 2, and Sector 59, which of these project do you see as the biggest contributor to FY27 pre-sales?

Parth Sodha: Okay, got it. My second question is, with INR 11,900 crore of residential GDV planned across Estate 360, Max One Phase 2, Estate 105 Phase 2, and Sector 59, which of these project do you see as the biggest contributor to FY27 pre-sales?

Speaker #2: So all the we would not like to single out a single project. All these three projects, if you distributably give a contribution, and the important factor to note is that all these projects are in a these projects in a different micro markets.

Nitin Kansal: We would not like to single out a single project. All the three projects equally distributively give a contribution. An important factor to note is that all these projects are situated in a different micro market. While Estate 360 happens to be on the Dwarka Expressway, Sector 59 happens in the upcoming Golf Course Extension Road, and we have Estate 105, which is in Noida. So it is widely distributed and would be very much equally distributed across these three projects.

Sahil Vachani: We would not like to single out a single project. All the three projects equally distributively give a contribution. An important factor to note is that all these projects are situated in a different micro market. While Estate 360 happens to be on the Dwarka Expressway, Sector 59 happens in the upcoming Golf Course Extension Road, and we have Estate 105, which is in Noida. So it is widely distributed and would be very much equally distributed across these three projects.

Speaker #2: While Estate 361 happens to be on the Dwarka Expressway, Sector 59 happens to be the case in the Gulf in the upcoming Gulf Coast Extension Road, and we have got Estate 105, which is in Noida.

Speaker #2: So, it's widely distributed and it would very much be if you distributed it across these three projects.

Speaker #3: Okay, that's all from my side. Thank you.

Parth Soda: Okay. That is all from my side. Thank you.

Parth Sodha: Okay. That is all from my side. Thank you.

Speaker #1: Thank you. A reminder to all the participants: you may press *1 to ask a question. The next question is from the line of Aman from Gopesha.

Operator: Thank you. A reminder to all the participants, you may press star and 1 to ask questions. The next question is from the line of Aman from GoPaisa. Please go ahead.

Speaker #1: Please go ahead.

Speaker #2: I wanted to check how exactly the relation was between Ax India and Max Estates. Particularly with respect to Anantara, I noticed from Max India's presentation that we are co-hosting some of the Anantara projects in Estate 361 or Estate 360.

[Analyst] (GoPaisa): Good afternoon, sir. I wanted to check how exactly the relation works between Max India and Max Estates, particularly with respect to Antara. I noticed from Max India's presentation that we are co-hosting some of the Antara projects in Estate 361. So how exactly does it work? How does it work commercially? And not commercially, what kind of revenue share, cost share do we have with this? And also the monetization of the Antara project. Thank you.

Aman Jain: Good afternoon, sir. I wanted to check how exactly the relation works between Max India and Max Estates, particularly with respect to Antara. I noticed from Max India's presentation that we are co-hosting some of the Antara projects in Estate 361. So how exactly does it work? How does it work commercially? And not commercially, what kind of revenue share, cost share do we have with this? And also the monetization of the Antara project. Thank you.

Speaker #2: So how exactly does it work? How does it work commercially? And how does it work commercially? And what kind of revenue share, cost share, do we have with this?

Speaker #2: And also the monetization of the Anantara project. Thank you.

Speaker #3: Sure. Thank you. And thank you, Aman, for asking this question. Aman, just a bit of clarity: Max India and Max Estates—Max India being the holding company, Santara—are two distinct listed entities, having separate management altogether.

Nitin Kansal: Sure. Thank you, Aman, for asking this question. Aman, just as a clarity, Max India and Max Estates, Max India being the holding company of Antara, are two distinct listed entities having separate managements altogether. At this point of time, the Estate projects, Estate 360 and 361 are completely housed on the balance sheet of Max Estates. All the development which is happening in these projects, although are being marketed under the brand name of Antara, the entire profit and loss, cost, all benefits and expenses are on the balance sheet of Max Estates. As we speak today, Antara acts as a knowledge partner to Max Estates for which they are given a fee, which is a fixed fee in the range of close to 9.5%, which is a development manager fees given to them.

Sahil Vachani: Sure. Thank you, Aman, for asking this question. Aman, just as a clarity, Max India and Max Estates, Max India being the holding company of Antara, are two distinct listed entities having separate managements altogether. At this point of time, the Estate projects, Estate 360 and 361 are completely housed on the balance sheet of Max Estates. All the development which is happening in these projects, although are being marketed under the brand name of Antara, the entire profit and loss, cost, all benefits and expenses are on the balance sheet of Max Estates. As we speak today, Antara acts as a knowledge partner to Max Estates for which they are given a fee, which is a fixed fee in the range of close to 9.5%, which is a development manager fees given to them.

Speaker #3: At this point in time, the Estate projects—Estate 361 and Estate 361—are completely housed on the balance sheet of Max Estates. All the development that is happening in these projects, although being marketed under the brand name of Antara, has the entire profit and loss, cost, all benefits, and expenses on the balance sheet of Max Estates.

Speaker #3: As we speak today, Antara acts as a knowledge partner to Max Estates for which they are given a fee, which is a fixed fee in the range of close to nine and a half percent, which is a development manager fee is given to them.

Speaker #3: And this is what Antara helps us with. It propels and gives us the community flavor of our intergenerational community, which gives us multiple pronged venues to sell our product.

Nitin Kansal: What Antara helps us is it propels and gives us the community a flavor of an intergenerational community, which gives us a multi-pronged avenues to sell our product. Whereby if you see in the last quarter, we launched The Terraces. We have got Max Estates luxury residences. We have got a senior living residences under the brand name Antara, and then we have got The Terraces. All these things make a complete package in our projects in Estate 360 and 361. Just to summarize, our relationship with Antara is purely an arm's length basis, and they get a 9.5% fee on the top line as a development manager for Max Estates.

Sahil Vachani: What Antara helps us is it propels and gives us the community a flavor of an intergenerational community, which gives us a multi-pronged avenues to sell our product. Whereby if you see in the last quarter, we launched The Terraces. We have got Max Estates luxury residences. We have got a senior living residences under the brand name Antara, and then we have got The Terraces. All these things make a complete package in our projects in Estate 360 and 361. Just to summarize, our relationship with Antara is purely an arm's length basis, and they get a 9.5% fee on the top line as a development manager for Max Estates.

Speaker #3: If you see, in the last quarter we launched Terraces. We have got Max Estates luxury residences, we have got senior living residences under the brand name Antara, and then we have got the Terraces.

Speaker #3: So, all these things make a complete package in our projects in Estate 360 and 361. So, just to summarize, our relationship with Antara is purely on an arm's length basis, and they get a 9.5% fee on the top line to run this, to act as a development manager for Max Estates.

Speaker #2: This just give me a clarity on this one. Nine and a half percent of what exactly of what?

[Analyst] (GoPaisa): Just give me a clarity on this one. 9.5% of what exactly? Of what?

Aman Jain: Just give me a clarity on this one. 9.5% of what exactly? Of what?

Speaker #3: Of the top line.

Speaker #2: So what is happening there?

Nitin Kansal: Of the top line. Just to clarify, in the case of Estate 360, one third of the project was being marketed and developed under the brand name Antara. So on the one third portion, which is close to what? Ballpark in the range of INR 1,200 to 1,500 crores of Estate 360, which was under the aegis of Antara. Only on that they get 9.5% and not on the entire project.

Sahil Vachani: Of the top line. Just to clarify, in the case of Estate 360, one third of the project was being marketed and developed under the brand name Antara. So on the one third portion, which is close to what? Ballpark in the range of INR 1,200 to 1,500 crores of Estate 360, which was under the aegis of Antara. Only on that they get 9.5% and not on the entire project.

Speaker #3: Just to clarify, in the case of Estate 360, one-third of the project was being marketed and developed under the brand name Antara so on the one-third portion which is close to ballpark in the range of 1,200 to 1,500 crores of Estate 360 which was under the ages of Antara only on that they get 9.5% and not on the entire project.

Speaker #2: Since it becomes, so technically it becomes an Antara project which we are developing, so is this strategy—do they help us get extra in terms of extra rate per square feet, or how does it help to have the Antara?

[Analyst] (GoPaisa): Technically it becomes an Antara project, which we are developing. Is this strategy, do they help us get extra in terms of extra date for equity or how does it help to have the Antara? I understand it is a holding company, but how exactly does it help Max Estates to use the Antara brand?

Aman Jain: Technically it becomes an Antara project, which we are developing. Is this strategy, do they help us get extra in terms of extra date for equity or how does it help to have the Antara? I understand it is a holding company, but how exactly does it help Max Estates to use the Antara brand?

Speaker #2: I understand it's a holding company, but how exactly does the estate use the Antara?

Speaker #3: So what happens is, I think I'll like to differ on this. It does not become an Antara project; it remains a Max Estates project. And what happens, because of the expertise which is coming on the table for the senior living component through Antara, Antara is able to drive better price realizations on the assets, which, and whereby making it self-funded.

Nitin Kansal: Sure. What happens is, I think I would like to differ on this. It does not become an Antara project. It remains a Max Estates project. What happens because of the expertise which is coming on the table for the senior living component through Antara is able to drive better price realizations on the assets, and thereby making it a self-funded. The way to look at it is we, without having a cost escalation, in fact, better economics, we are able to get a better sales velocity on the section which is unsold under the brand name of Antara.

Sahil Vachani: Sure. What happens is, I think I would like to differ on this. It does not become an Antara project. It remains a Max Estates project. What happens because of the expertise which is coming on the table for the senior living component through Antara is able to drive better price realizations on the assets, and thereby making it a self-funded. The way to look at it is we, without having a cost escalation, in fact, better economics, we are able to get a better sales velocity on the section which is unsold under the brand name of Antara.

Speaker #3: So the way to look at it is we without having a cost escalation in fact better economics we are able to get a better sales velocity on the section which is unsold under the brand name of Antara in the Estate 360 we had a continuous basis we had a price escalation of price differentiation of Antara as compared to luxury residences in the range of 7 to 10 percent.

Sahil Vachani: In the Estate 360, we had the continuous basis. We had a price escalation or price differentiation of Antara as compared to luxury residences in the range of 7% to 10%. What it means that whatever fee which we were paying to them was getting realized, and they were able to realize a pricing which was a premium to Max Estates residences.

Speaker #3: What it means is that whatever fee we were paying to them was getting realized, and they were able to realize a pricing which was at a premium to Max Estates residences.

Speaker #2: So you're saying 18% of the extra revenue we make, and that is in itself passed through to them.

[Analyst] (GoPaisa): You are saying 18% of extra revenue we make and that is in itself passed through to them.

Aman Jain: You are saying 18% of extra revenue we make and that is in itself passed through to them.

Speaker #3: It's not 18%. I think I think I'll again repeat the revenue the revenue is fully to the account of Max Estates on the top line if we sell an apartment of five crores the top line accrues to Max Estates and if it's a senior living apartment they get 45 48 lakh rupees as a fee and that is also paid as we collect over the life cycle of the project and not upfront.

Sahil Vachani: It's not 18%. I think I'll again repeat.

[Analyst] (GoPaisa): Okay.

Aman Jain: Okay.

Sahil Vachani: The revenue is fully to the account of Max Estates. On the top line, if we sell an apartment of INR 5 crore, the top line accrues to Max Estates, and if it's a senior living apartment, they get INR 45 lakh, 48 lakh as a fee, and that is also paid as we collect over the life cycle of the project and not upfront.

Nitin Kansal: The revenue is fully to the account of Max Estates. On the top line, if we sell an apartment of INR 5 crore, the top line accrues to Max Estates, and if it's a senior living apartment, they get INR 45 lakh, 48 lakh as a fee, and that is also paid as we collect over the life cycle of the project and not upfront.

Speaker #2: The other revenue streams which.

Speaker #1: Mr. Karan, hello. Hello. Hello, Mr. Aman. I just request you to rejoin the queue for the follow-up question, please.

[Analyst] (GoPaisa): Are there revenue streams which Supernova

Aman Jain: Are there revenue streams which Supernova

Operator: Mr. Karan. Hello. Hello, Mr. Aman. I just request you to rejoin the queue for the follow-up question, please.

Speaker #2: Thank you.

Speaker #1: Yeah. Thank you. A reminder to all the participants: you may press *1 to ask a question. The next question is from the line of Karan Khanna from Ambedkar.

Sahil Vachani: Thank you.

Aman Jain: Thank you.

Operator: Thank you. A reminder to all the participants, you may press star and one to ask questions. The next question is from the line of Karan Khanna from Ambit Capital. Please go ahead.

Speaker #1: Please go ahead.

Speaker #4: Yeah, hi. Thanks for the opportunity. So firstly, Sahil, a question at a broader macro and, you know, the industry level. We're seeing a lot of new, graded developers taking a chance in the Gurgaon and Delhi NCR market at large.

Karan Khanna: Yeah. Hi. Thanks for the opportunity. Firstly, Sahil, a question at a broader macro and the industry level. We are seeing a lot of new graded developers taking a chance in the Gurugram and Delhi NCR market at large, with premium projects which have been launched lately. While obviously this shows that demand has been quite resilient, how should one read the success of one of your peers project from Mumbai and at Golf Course Extension Road? What does this do to your project in Sector 59? More importantly, with increased competition, how should one think about BD potential given that there will be higher demand from the landowners, and the overall scope for absorption of inventory given that many new projects have similar ticket sizes?

Speaker #4: With premium projects which have been launched lately, while obviously this shows that demand has been quite resilient, how should one read the success of, you know, one of your peer's projects in Mumbai, and you know, at Golf Course Extension Road? And what does this do to your project in Sector 59? And more importantly, with increased competition, how should one think about BD potential given that there will be higher demand from the landowners and the overall scope for absorption of inventory, given that many new projects have similar ticket sizes?

Speaker #3: Yeah, thank you for that, Karan. So, we do continue to believe that there is a wave of consolidation that is happening in the real estate space, and that consolidation towards organized, trusted, listed players will continue.

Sahil Vachani: Yeah, thank you for that, Karan. We do continue to believe that there is a wave of consolidation that is happening in the real estate space, and that consolidation towards organized, trusted, listed players will continue. We are seeing a trend of that. In specific, we remain very encouraged by the response some of our peers have received in the Gurugram market. It is reflective of the inherent demand for a good quality offering and product and a brand. As Max Estates, we believe that we firmly operate in that category where, from a product differentiation perspective, from a brand recognition perspective, we do believe that we will be able to command very strong sales.

Speaker #3: And we are seeing a trend of that. Specifically, we remain very encouraged by the response some of our peers have received in the Gurgaon market.

Speaker #3: It is reflective of the inherent demand for a good quality offering, product, and brand. As Max Estates, we believe that we firmly operate in that category.

Speaker #3: Where from a product differentiation perspective from a brand recognition perspective we do believe that we will be able to command very strong sales. And our track record has shown that to us like the fact that we have closed 5,300 crores plus sales in the last two financial years and even in Q1 having done 1,100 crores of sales as we speak.

Sahil Vachani: Our track record has shown that to us by the fact that we have closed INR 5,300 crore-plus sales in the last two financial years, and even in Q1, having done INR 1,100 crores of sales as we speak. On the business development part, I think we remain very confident and optimistic that while there will continue to be a consolidation amongst the listed and organized players, Max Estates continues to be one of them and will continue to do the BD within our guidelines, and within our parameters, and we continue to do that as we move forward. We remain very optimistic about that as well.

Speaker #3: On the business development part I think we remain very confident and optimistic that there will be while there will continue to be a consolidation amongst the listed and organized players Max Estates continues to be one of them and will continue to do the BD in the within our guidelines and within our parameters and we continue to do that as we move forward.

Speaker #3: So, we remain very optimistic about that as well.

Speaker #4: Sure. And then, second question, Sahil, is on the BD pipeline. You had earlier said that Ghaziabad, Jewar, and Faridabad were markets you were studying, but your core focus remained Gurgaon, Delhi, and Noida.

Karan Khanna: Sure. Second question, Sahil, is on the BD pipeline. You had earlier said that Ghaziabad, Jewar, and Faridabad were markets you were studying, but your core focus remain Gurugram, Delhi, and Noida. With Ghaziabad now appearing more prominently in the BD conversation as well as on slide 29 of your investor presentation, has Max Estates moved beyond evaluating markets to actively pursue specific parcels? If so, could you give us some sense on the potential scale, deal structure, and return hurdles that you are seeing in Ghaziabad versus your traditional Gurugram, Noida markets?

Speaker #4: With Ghaziabad now appearing more prominently in the BD conversation, as well as on slide 29 of your investor presentation, has Max Estates moved beyond evaluating markets you know to actively pursue specific parcels? If so, could you give us some sense of the potential scale, deal structure, and return hurdles that you're seeing in Ghaziabad versus the traditional Gurgaon and Noida markets?

Speaker #3: Yeah, so you know, we at Max Estates will continue to evaluate many, many opportunities within the greater NCR region as well, and we are already doing that, as is evident and as we've shown.

Sahil Vachani: Yeah. We at Max Estates will continue to evaluate many opportunities, and within the greater NCR region as well, and we are already doing that as is evident and as we have shown. It is a little premature at this stage to give guidelines or to give guidance on what the commercial parameters of a deal that we have not yet closed are. But I think broadly, just to give you perspective, NCR and the larger part of NCR, we remain very confident to continue to accelerate our growth journey.

Speaker #3: It's a little premature at this stage to give guidelines or to give guidance on what the commercial parameters of a deal that we have not yet closed are.

Speaker #3: But I think broadly, just to give you perspective, NCR and the larger part of NCR—we remain very confident to continue to accelerate our growth journey in.

Speaker #4: Sure. And then lastly, Nithin, in the last call you had indicated ₹2,500 to ₹3,000 crore of FY27 collections against ₹1,578 crore last year, with project deployment of around ₹1,500 to ₹1,800 crore.

Karan Khanna: Sure. Lastly, Nitin, in the last call, you had indicated INR 2,500 to INR 3,000 crores of FY27 collections against INR 1,578 crores last year. With project deployment of around INR 1,500 to INR 1,800 crores. Given Q1 collections were around INR 500 crores, are you still comfortable with the INR 2,500, INR 3,000 crore full year range? Importantly, should we expect OCF to remain meaningfully positive even as construction spend accelerates at Estate 105, Max One, and Estate 361?

Speaker #4: Given that Q1 collections were around ₹500 crore, are you still comfortable with the ₹2,500 to ₹3,000 crore full-year range? And, importantly, should we expect OCF to remain meaningfully positive even as construction spend accelerates at Estate 105 Max 1 and Estate 361?

Speaker #3: Absolutely, Karan. In fact, the Q1 collections have given us more confidence that we are on track to achieve our target collections and OCF for the current year.

Nitin Kansal: Absolutely, Karan. In fact, the Q1 collections has given us more confidence that we are on track to achieve our target collections and OCF for the current year. We expect our collections to be in the range of INR 2,500 to INR 2,700 crores in the current year, which would be a combination of the projects which we have already sold, which will be hitting the construction milestones, and the fresh sales which we are planning to do, which is in equal proportion to many of them. We would be deploying. So if I can break up, my deployment would be on two prong.

Speaker #3: And we expect our collections to be in the range of ₹2,500 to ₹2,700 crores in the current year, which would be a combination of the projects which we've already sold, which will be hitting the construction milestones, and the fresh sales which we are planning to do, which is in equal proportion to many of them. And we would be deploying—if I can break up my deployment—it would be on two prongs.

Speaker #3: One would be, we would be deploying close to ₹1,500 to ₹1,800 crores on the projects, and we would be having OCF of close to ₹750 to ₹1,000 crores left, which we would be planning to deploy on the BD efforts ongoing in the company.

Sahil Vachani: One would be on the, we would be deploying close to INR 1,500 to INR 1,800 crores on the projects, and we would be having OCF of close to INR 750 to INR 1,000 crores left, which we would be planning to deploy on the BD efforts ongoing in the company.

Nitin Kansal: One would be on the, we would be deploying close to INR 1,500 to INR 1,800 crores on the projects, and we would be having OCF of close to INR 750 to INR 1,000 crores left, which we would be planning to deploy on the BD efforts ongoing in the company.

Speaker #4: Great, thank you. These are my questions. I'll come back in the Q5 follow-ups.

Karan Khanna: Great. Thank you. These were my questions. I will come back in the queue for any follow-ups.

Speaker #3: Thank you, Karan.

Speaker #1: Thank you. The next question is from the line of Ritesh Seth from Axis Capital. Please go ahead.

Nitin Kansal: Thank you, Karan.

Operator: Thank you. The next question is from the line of Pritesh Sheth from Axis Capital. Please go ahead.

Speaker #2: Yeah. Hi. Hi Sahil. Hi. Hi team. Good morning and thanks for this opportunity. Just two, three questions. Firstly, if I talk about the velocity that we have achieved in, you know, in projects which we have launched—361 Max, 1, and Estate 105.

Pritesh Sheth: Yeah. Hi, Sahil. Hi, team. Good morning, and thanks for this opportunity. Just two, three questions. Firstly, if I say the velocity that we have achieved in projects which you have launched in Estate 361, Max One, and Estate 105, we can see 50% to 70% of the in-

Speaker #2: We can see like 50 to 70 percent of the.

Speaker #1: Mr. Ritesh, your line is not clear.

Operator: Mr. Pritesh, line is not clear.

Speaker #2: Hello? Is it fine now?

Speaker #4: Yeah. Better. Please go ahead.

Pritesh Sheth: Hello? Is it fine now?

Speaker #2: Yeah. Okay. Okay. So I was just checking on the one should have now, given that we have sold 50 to 70 percent of the inventory in the first six months.

Sahil Vachani: Yeah, better now.

Operator: Yeah, go ahead.

Pritesh Sheth: Okay. I was just checking on the Max One should have now, given that we have sold 50% to 70% of the inventory in first 6 months. How should we think about velocity? Should we, going forward, also assume that whenever a project is launched within 6 months, there is enough demand where we achieve this kind of velocity and within 1 year or 2 years, we should be able to sell out these projects? Apart from that, for Max One, while it's basically on the ultra-luxury side, there how should or the sale can the project?

Speaker #2: You know, how should we think about velocity? Like, you know, should we, going forward, also assume that whenever a project is launched, within six months there is enough demand where we achieve this kind of velocity, and within one or two years we should be able to sell out these projects?

Speaker #2: And apart from that, for Max 1, while it's on the ultra-luxury side, you know, where there—how should we, or how can, the sales—can the project...

Speaker #3: Yeah. So you know just to give you an overview we are not giving forward looking guidance in terms of sales but as you have seen our track record we remain extremely optimistic and confident in you know in achieving very robust sales.

Sahil Vachani: Yeah. Just to give you an overview, we are not giving forward-looking guidance in terms of sales. As you have seen our track record, we remain extremely optimistic and confident in achieving very robust sales. You mentioned the numbers that we have done. I would like to highlight that even in this quarter, almost 50% of our sales came from sustenance sales and 50% came from a new launch, approximately. So we remain very confident on the strength of the product, on the strength of the brand, on the pull that we have on our geographical diversification and on our product diversification to continue the growth trajectory for Max Estates at large.

Speaker #3: You've seen that you mentioned the numbers that we have done. I would like to highlight that even in this quarter, almost 50 percent of our sales came from sustenance sales, and approximately 50 percent came from a new launch.

Speaker #3: So, we remain very confident in the strength of the product, the strength of the brand, the pull that we have, our geographical diversification, and our product diversification to continue the growth trajectory for Max Estates at large.

Speaker #2: Sure, but from guiding for FY27, or...

Pritesh Sheth: Sure. Apart from guiding for FY27 or

Speaker #1: Mr. Ritesh, we can't hear you. Your line is not clear.

Operator: Mr. Pritesh, we cannot hear you. Your line is not clear properly.

Speaker #2: Okay. Is it better now, or should I come back in?

Pritesh Sheth: Okay. Is it better now or should I come back in?

Speaker #1: It's better.

Speaker #2: Yeah. Okay. Just as a follow-up, do you still want to give guidance for FY27? Or now that we have seen the first full quarter and half of the second quarter as well, are you more confident in guiding for FY27?

Operator: It is better.

Pritesh Sheth: Yeah. Okay. Just as a follow-up, you still want to avoid giving a guidance for FY27, or now that we have seen first full quarter and H1 of second quarter as well, you are more confident on guiding for FY27?

Speaker #3: Yeah. So, like I said, we are not giving guidance for FY27. All we are saying is that we do have about ₹16,000 crore of inventory available with us to sell, you know, for the coming year and beyond.

Sahil Vachani: Yeah. So like I said, we are not giving a guidance for FY27. All we are saying is we do have about 16,000 crores of inventory available with us to sell for the coming year and beyond. We remain very confident, optimistic that what we have is in fantastic location. It is a great product mix. It is a great product diversification basis our strategy. So we remain very confident on that.

Speaker #3: So we remain very confident optimistic that what we have is in fantastic location. It's a great product mix. It's a great you know product diversification bases our strategy.

Speaker #3: So, we remain very confident on that.

Speaker #2: Sure, sure. And of the launches, you highlighted Q3, we will have the Sector 59 launch. But apart from that, the balance inventory in 361 and Estate 105—how should one think about phasing that out?

Pritesh Sheth: Sure. Just one last. In terms of launches, you highlighted Q3, we will have Sector 59 launch. Apart from that, the balance inventory in Estate 361 and Estate 105, how should one think about phasing that out?

Speaker #3: Yeah. So, some of it will obviously go to FY28, and you know, we'll plan it in that. Like I said, after ₹16,000 crores, there will be some which will come in Q3, and there will be some that will come in FY28 as well.

Sahil Vachani: Yeah. Some of it will obviously go to FY28 and we will plan it in that. Like I said, of the 16,000 crores, there will be some which will come in Q3, and there will be some that will come in FY28 as well.

Speaker #2: You want to exactly split the 16,000, half and half. It will be more in FY28 and less in FY27.

Pritesh Sheth: You want to exactly put the number, like 16,000 can take half and half? Or it will be more in FY28 and less in FY27.

Speaker #3: Like I said, we will decide that based on the, you know, market scenario and macroeconomic environment.

Sahil Vachani: Like I said, we will decide that basis the market scenario and macroeconomic environment.

Speaker #2: Sure. Sure. Okay, just one last question on Delhi. Should one think about the timeline?

Pritesh Sheth: Sure. Okay. Just one last on the Max One thing about the time.

Speaker #3: Yeah. So this has been, Ritesh, one of the most, you know, important milestones in this development, whereby the hurdles have finally got cleared. And now, you know, with the DDA finally agreeing to this, the new guidelines that have come have cleared the path for land pooling to finally take off.

Sahil Vachani: Yeah. This has been

Sahil Vachani: Yeah

Pritesh Sheth: Yeah

Sahil Vachani: Pritesh, one of the most important milestones in this development, whereby the hurdles have finally got cleared. Now, with the DDA finally agreeing to this, the new guidelines that have come has cleared the path for land pooling to finally take off. We as Max Estates continue to be extremely excited and optimistic, and we believe that this is a complete transformational policy for the state of Delhi, for development in Delhi and for housing in Delhi. So it's completely a very, very transformative, broad policy and contours of the deal, which is in line with what has been the discussions that DDA has had over the many past many years. So we are very happy that finally this has come through.

Speaker #3: And we, as Max Estates, continue to be extremely excited and optimistic, and we believe that this is a completely transformational policy for the state of Delhi, for development in Delhi, and for housing in Delhi.

Speaker #3: So, it's completely a very, very transformative, broad policy and contours of the deal, which is in line with what has been the discussions that DDA has had over the past many years.

Speaker #3: So, we are very happy that, finally, this has come through.

Speaker #2: And in terms of timelines for getting to the listed entry, how should one think about it?

Pritesh Sheth: In terms of timelines of getting to the listed entity.

Speaker #3: Yeah, it's difficult to mention timelines. As you know, this has just happened a few days ago, so we are still, you know, trying to get more details on it.

Sahil Vachani: Yeah, it's difficult to mention timelines. As you know that this has just happened a few days ago, so we are still trying to get more details of it. We understand that there is still some notification that Ministry of Housing and Urban Affairs has to do. Then, we have to understand in more detail some of the aspects. But yes, it is something that we will look at as Max Estates very, very seriously.

Speaker #3: We understand that there is still some notification the Ministry of Housing has to do. So, and then, you know, we have to understand in more detail some of the aspects.

Speaker #3: But yes, it is something that we will look at as Max Estates very, very seriously.

Speaker #2: Sure. Okay, that's it from my side. Thank you for answering all the questions, and all the best to you.

Pritesh Sheth: Sure. Okay. That's it from my side. Thank you for answering all the questions and all the best.

Speaker #3: Thank you. Thank you.

Speaker #1: Thank you. The next question is from the line of Parikshit Gupta from Fair Value Capital. Please go ahead.

Nitin Kansal: Thank you.

Sahil Vachani: Thank you.

Operator: Thank you. The next question is from the line of Parikshit Gupta from Fair Value Capital. Please go ahead.

Speaker #2: Thank you very much for the opportunity. Excuse me, and congratulations on a good quarter. My first question is a continuation from one of the other participants on business developments.

Parikshit Gupta: Thank you very much for the opportunity. Excuse me. Congratulations on a good quarter. My first question is in continuation from one of the other participants on business developments. In the previous quarter's con call, we also articulated the fact that the discussions with landowners were opportunistic given the volatility in pricing. Can you please help us understand the current scenario. I mean, how the discussions are going. Is the pricing more favorable or anything on that sort, please?

Speaker #2: In the previous quarter’s concall, we also articulated the fact that the discussions with landowners were opportunistic, given the volatility in pricing. Can you please help us understand the current scenario?

Speaker #2: I mean, how are the discussions going? Is the pricing more favorable or anything of that sort, please?

Speaker #3: I think we continue to remain very optimistic and push on the business development pipeline. As you know, as I discussed, we have identified our key geographies and we continue to drive them.

Sahil Vachani: I think we continue to remain very optimistic and push on the business development pipeline. As I discussed, we have identified our key geographies and we continue to drive them. At this stage, I would not like to comment any more on how some of those discussions are going, obviously because of the competitive nature of each of those opportunities. But it's suffice to suggest that we are very optimistic and we are continuing to push the business development pipeline.

Speaker #3: At this stage, I would not like to comment any more on how some of those discussions are going, obviously because of the competitive nature of each of those opportunities.

Speaker #3: But it suffices to suggest that we are very optimistic, and we are continuing to push the business development pipeline.

Speaker #2: Okay, thank you for that. My second question is just a bookkeeping question. When you mentioned that the 1 million square feet of commercial real estate will be added each year, is that inclusive of the 700 crore annuity guidance, or is it on top of that?

Parikshit Gupta: Okay, thank you for that. My second question is just a bookkeeping question. So when you mentioned that the 1 million square feet of commercial real estate will be added each year, is that inclusive of the INR 700 crore annuity guidance or is it on top of that?

Speaker #3: Yeah, thank you. This is Nithin. Just to answer that, ₹700 crores is on account of the projects which have already been done and under construction or under development at this point of time.

Nitin Kansal: Yeah. Thank you. This is Nitin. Just to answer that, INR 700 crore is on account of the projects which we have already done and under construction, under development at this point of time. So 1 million is over and above what the INR 700 crore is.

Speaker #3: As we've said, the ₹1 million is over and above what the ₹700 crore is.

Speaker #2: Understood. This is very helpful. That's it for now. I'll join back the queue if I have any questions, and good luck for the quarter.

Parikshit Gupta: Understood. This is very helpful. That is it for now. I will join back the queue for any questions, and good luck for the quarter.

Speaker #3: Thank you so much.

Speaker #1: Thank you. The next question is from the line of Jayakant Beria from IIFL Capital. Please go ahead.

Nitin Kansal: Thank you so much.

Operator: Thank you. The next question is from the line of Jaykant Beniya from IIFL Capital. Please go ahead.

Speaker #2: Yeah. Hi. Thanks for the opportunity. I just wanted to get a sense of the cash flows for this quarter. Our collections were quite healthy.

Jaykant Beniya: Yeah. Hi. Thanks for the opportunity. I just wanted to get a sense of the cash flows for this quarter. Our collections were quite healthy, but our net debt has seen some increase. Can you give some flavor on how the cash flows have been deployed in the quarter?

[Analyst] (IIFL Capital): Yeah. Hi. Thanks for the opportunity. I just wanted to get a sense of the cash flows for this quarter. Our collections were quite healthy, but our net debt has seen some increase. Can you give some flavor on how the cash flows have been deployed in the quarter?

Speaker #2: But our net debt has seen some increase. So, can you give some flavor on how the cash flows have been deployed in the quarter?

Speaker #3: So I think the way we have to think is that although our debt has gone up, our cash balance has also gone up.

Nitin Kansal: Well, I think the way we have to think is that although our debt has gone up, so has our cash balance has also gone up. The debt which is going up is on account of the construction finance we have taken on the commercial assets. Currently, we have got three assets which are underway. We have got Max Square 2, Max District, and Max One which is underway. As we speak today, what is happening is the debt drawn on this project, which is towards construction finance, is getting added and which adds to the overall debt of the company.

Sahil Vachani: Well, I think the way we have to think is that although our debt has gone up, so has our cash balance has also gone up. The debt which is going up is on account of the construction finance we have taken on the commercial assets. Currently, we have got three assets which are underway. We have got Max Square 2, Max District, and Max One which is underway. As we speak today, what is happening is the debt drawn on this project, which is towards construction finance, is getting added and which adds to the overall debt of the company.

Speaker #3: The current debt, which is going up, is on account of the construction finance we have taken on the commercial assets. Currently, we have got three assets which are underway.

Speaker #3: We have got Max Square Two, Max Districts, and Max One, which is underway. So, as we speak today, what is happening is the debt drawn on these projects, which is towards construction finance, is getting added, and this adds to the overall debt of the company.

Speaker #2: Okay. And the so how do we explain the rise in net debt then because our net debt also has gone up. So have we deployed so have our construction spends accelerated in the quarter or?

Jaykant Beniya: Okay. So how do we explain the rise in net debt then? Because our net debt also has gone up. Have our construction spends accelerated in the quarter or?

[Analyst] (IIFL Capital): Okay. So how do we explain the rise in net debt then? Because our net debt also has gone up. Have our construction spends accelerated in the quarter or?

Speaker #3: Our construction spend is across the assets. In addition to what we are deploying in the projects, we are also paying for the land. We also have a land revenue share towards landowners, which goes over there.

Nitin Kansal: Our construction spend is across the assets. What is happening in addition to what we are deploying on the projects, we also have a land revenue share towards landowners, which go over there. If you see in terms of actual deployment, it is accelerated in the quarter.

Sahil Vachani: Our construction spend is across the assets. What is happening in addition to what we are deploying on the projects, we also have a land revenue share towards landowners, which go over there. If you see in terms of actual deployment, it is accelerated in the quarter.

Speaker #3: So, if you see, in terms of actual deployment, it has accelerated in the quarter.

Speaker #2: Okay, okay. My second question was on the commercial side. So, have we made any progress in terms of pre-leasing for after a strong FY27, after a strong FY26 where we saw some good pre-leasing momentum for our under-construction assets?

Jaykant Beniya: Okay. My second question was on the commercial side. Have we made any progress in terms of pre-leasing after a strong FY26, where we saw some good pre-leasing momentum for our under-construction assets? Because our peers are saying that there are some deferrals by large clients. How are we seeing the leasing momentum for our assets?

[Analyst] (IIFL Capital): Okay. My second question was on the commercial side. Have we made any progress in terms of pre-leasing after a strong FY26, where we saw some good pre-leasing momentum for our under-construction assets? Because our peers are saying that there are some deferrals by large clients. How are we seeing the leasing momentum for our assets?

Speaker #2: So, because our peers are saying that there are some deferrals by large clients, how are we seeing the leasing momentum for our assets?

Speaker #3: So we see strong traction. If you see, in our last quarter we had mentioned about both our under-construction projects: Max District having close to 200,000 square feet of area getting pre-leased, and in the case of Max, close to 100,000 square feet of area getting pre-leased.

Sahil Vachani: We see a strong traction. If you see in our last quarter, we had mentioned about both our projects, under construction projects, Max District having close to 200,000 square feet of area getting pre-leased. In the case of Max One, close to 100,000 square feet of area getting pre-leased. I have to assure you, as we speak today, in both the projects, we have a pipeline which is in excess of 3 million square feet, which is under discussion. The also important part to note is that our pre-leasing momentum is not only on the quantum, it is also the increase in premiums or the rates which we are getting. Both the pre-leasing happened at a 25% to 30% and we are gradually trying to inch up the premium on the remaining pre-leasing, which we are planning to do.

Speaker #3: I have to assure you, as we speak today, in both the projects, we have a pipeline which is in excess of 3 million square feet that is under discussion.

Speaker #3: An important point to note is that our pre-leasing momentum is not just about the quantum, but also about the increase in premiums or the rates that we are getting.

Speaker #3: Both our pre-leasings happened at a 25% to 30% premium, and we are gradually trying to inch up the premium on the remaining deals.

Speaker #2: Sure. That's helpful. Thank you.

Jaykant Beniya: Sure. That is helpful. Thank you.

[Analyst] (IIFL Capital): Sure. That is helpful. Thank you.

Speaker #1: Thank you. The next question is from the line of Akash Gupta from Nomura. Please go ahead.

Operator: Thank you. The next question is from the line of Akash Gupta from Nomura. Please go ahead.

Speaker #2: Hi. Am I audible?

Speaker #1: Yes sir.

Speaker #3: Yes please.

Akash Gupta: Hi, am I audible?

Speaker #2: Hi, sir. My first question is on the launch lineup for FY27. I wasn't clear. So we have ₹16,000 crore of GDV launch pipeline. Could you just give us a sense of what is the value of launches that we are looking at in the balance nine months, if possible, quarterly?

Operator: Yes, sir.

Nitin Kansal: Yes, please.

Sahil Vachani: Yes, please.

Akash Gupta: Hi, sir. My first question is on the launch lineup for FY27. I was not clear. We have INR 16,000 crores of GDV launch pipeline. Could you just give us a sense what is the value of launches that we are looking in the balance 9 months, quarterly, if possible? That is my first question.

Speaker #2: That's my first question.

Speaker #3: So, I think broadly, we will have close to, I would say, ₹5,000 crore of launches that we are looking to do in the remaining half of the year.

Sahil Vachani: I think broadly we will have close to, I would say INR 5,000 crores of launches that we are looking to do in the remaining half of the year that we have, in the H2 of the year. Between INR 5,000 to INR 5,500 crores of new launches. We will have about INR 3,000 to INR 4,000 crores of old inventory that we have available with us as well, that is already launched, that we continue to sell through the sustenance process.

Speaker #3: That we have in the second half of the year. And yeah, between ₹5,000 to ₹5,500 crore of new launches. And we will have about ₹3,000 to ₹4,000 crore of old inventory that we have available with us as well.

Speaker #3: That is already launched, and we continue to sell it through the sustenance project.

Speaker #2: Understood. And my second question is on the FY27 pre-sales guidance. I am seeing a slight 50, and we have continued to give guidance for the past three years, but now we have changed our strategy.

Akash Gupta: Understood. My second question is on the FY27 pre-sales guidance. I am seeing slide 15, and we continue to give guidance for the past 3 years, and then now we have changed our strategy. All your peers are also giving guidance, or at least on the pre-sales and launches. I just wanted to understand why has there been a change in strategy?

Speaker #2: All your peers are also giving guidance, or at least on the pre-sales and launches, so I just wanted to understand why there has been a change in strategy?

Speaker #3: We feel that giving a guidance is in the current microeconomic environment is not the best thing for the long-term health of the company and is not in the is it be a very focused on the quality of sale that we do in how we sell in who we sell to etc.

Sahil Vachani: We feel that giving a guidance, in the current macroeconomic environment, is not the best thing for the long-term health of the company, and we are very focused on the quality of sale that we do, in how we sell, in who we sell to, et cetera. Therefore, I do not want to lock ourselves in by giving guidance and especially in a macroeconomic environment, which is extremely volatile. We have taken the path of not giving sales guidance, and we will stick to that.

Speaker #3: And therefore, I don't want to, you know, lock ourselves in by giving guidance, especially in a microeconomic environment which is extremely volatile. So, we have taken the path of not giving sales guidance and we will stick to that.

Speaker #2: Understood, sir. Thank you so much.

Speaker #3: Thank you.

Akash Gupta: Understood, sir. Thank you so much.

Speaker #1: Thank you. The next question is from the line of Ritvik Seet from Vanna Financial. Please go ahead.

Nitin Kansal: Thank you.

Sahil Vachani: Thank you.

Operator: Thank you. The next question is from the line of Ritwik Seth from Vana Financial. Please go ahead.

Speaker #2: Hi, good morning. Just one question from my end: For the Sector 59 project, are we launching the entire project together, or will it be phase-wise?

Ritwik Seth: Hi. Good morning. Just one question from my end. The Sector 59 project, are we launching the entire project together or it will be phase-wise?

Ritwik Sheth: Hi. Good morning. Just one question from my end. The Sector 59 project, are we launching the entire project together or it will be phase-wise?

Speaker #3: We will take that decision, you know, as we get closer to the time. I think it's not a very large project in terms of the number of units that we are planning.

Sahil Vachani: We will take that decision as we get closer to the time. I think it is not a very large project in terms of the number of units that we are planning. This is a decision that the management team will take closer to launch.

Speaker #3: So this is a decision that the management team will take closer to launch.

Speaker #2: Okay. But we have the approval for the entire project, right?

Ritwik Seth: Okay. We have the approval for the entire project, right?

Ritwik Sheth: Okay. We have the approval for the entire project, right?

Speaker #3: Yes. Of course.

Speaker #2: Okay. Okay, great. All the best, and thank you.

Sahil Vachani: Yes, of course.

Ritwik Seth: Okay, great. All the best, and thank you.

Ritwik Sheth: Okay, great. All the best, and thank you.

Speaker #3: Thank you so much.

Speaker #1: Thank you. The next question is from the line of Abhishek Lodhia from Antique Stock Broking. Please go ahead.

Sahil Vachani: Thank you so much.

Operator: Thank you. The next question is from the line of Abhishek Lodhia from Antique Stock Broking. Please go ahead.

Speaker #3: Yeah, good morning. Sorry, just one question. So, we are developing commercial assets. I just want to understand what kind of capex is still remaining, as I see we are expecting the occupancy certificate by Q2 FY28 for at least phase one.

Abhishek Lodhia: Yeah. Good morning, Sahil and team. Just one question. We are developing commercial assets. Just want to understand what kind of CapEx is still remaining. As I can see, we are expecting the occupancy certificate by Q2 FY28 for at least phase 1. That's one. Whether that will basically weigh on our balance sheet any more from here or how should we see the cash flow moving ahead?

Speaker #3: And yeah, so that's one. And whether that will basically weigh on our balance sheet any more from here, or how should we see the cash flow moving on?

Speaker #2: Hi Abhishek, good morning. Abhishek, just to get context on the remaining capex to be done on the commercial assets—to begin with, to clarify, currently we have achieved financial closure on all our commercial assets.

Nitin Kansal: Hi, Abhishek. Good morning. Abhishek, just to get context in the remaining CapEx to be done on the commercial assets. To begin with to clarify, currently we have achieved financial closure on all our commercial assets. What we had underwritten, both the equity partners have put in their share of equity, and we have also got debt sanction from leading banks like SBI, ICICI, and Axis. The remaining capital which we need to deploy on these assets is amount of close to in the range of INR 1,500 to 1,800 crores and which is completely tied up as we speak.

Sahil Vachani: Hi, Abhishek. Good morning. Abhishek, just to get context in the remaining CapEx to be done on the commercial assets. To begin with to clarify, currently we have achieved financial closure on all our commercial assets. What we had underwritten, both the equity partners have put in their share of equity, and we have also got debt sanction from leading banks like SBI, ICICI, and Axis. The remaining capital which we need to deploy on these assets is amount of close to in the range of INR 1,500 to 1,800 crores and which is completely tied up as we speak.

Speaker #2: What we had underwritten, both the equity partners have put in their share of equity, and we have also got debt sanctioned from leading banks like SBI, ICICI, and Nexus.

Speaker #2: The remaining capital which we need to deploy on these assets is an amount close to, in the range of, ₹1,500 to ₹1,800 crore, which is completely tied up as we speak.

Speaker #3: Okay. Okay. So basically, the current balance sheet already includes that kind of provision, right?

Abhishek Lodhia: Okay. Basically current balance sheet already includes that kind of provision, right?

Speaker #2: The equity provisions have been made. As and when we draw the construction finance, if you see, we have been stating that our long-term strategy is to put in equity to the tune of 40 percent, and the remaining is done through debt.

Nitin Kansal: The equity provisions have been made as and when we draw the construction finance. If you see, we have been stating that our long-term strategy is to put in equity to the tune of 40%, and the remaining is done through debt. And once the project is commissioned, then construction finance is converted into lease rental discounting. If you see from the balance sheet reflection, this incremental debt of INR 1,500 crores is not reflected. But the whole objective is once the projects are completed, this construction finance would be converted into a lease rental discounting.

Sahil Vachani: The equity provisions have been made as and when we draw the construction finance. If you see, we have been stating that our long-term strategy is to put in equity to the tune of 40%, and the remaining is done through debt. And once the project is commissioned, then construction finance is converted into lease rental discounting. If you see from the balance sheet reflection, this incremental debt of INR 1,500 crores is not reflected. But the whole objective is once the projects are completed, this construction finance would be converted into a lease rental discounting.

Speaker #2: And once the project is commissioned, the construction finance is converted into lease rental discounting. If you see from the balance sheet reflection, this incremental debt of ₹1,500 crores is not reflected.

Speaker #2: But the whole objective is, once the projects are completed, this construction finance would be converted into a lease rental discounting.

Speaker #3: Okay, thanks for the clarification. Sorry.

Speaker #2: Thank you Abhishek.

Abhishek Lodhia: Okay. Thanks for the clarification, Mr. Sahil Vachani.

Speaker #1: Thank you. The next question is from the line of Jigar from Financial Research. Please go ahead.

Nitin Kansal: Thank you, Abhishek Lodhia.

Sahil Vachani: Thank you, Abhishek Lodhia.

Operator: Thank you. The next question is from the line of Jigar from Financial Research. Please go ahead.

Speaker #2: Yeah. Thank you for taking our questions, and congratulations on the very good results. Sir, I want to understand a bit more about Max India's understanding that we have regarding Antara.

[Analyst] (Financial Research): Yeah. Thank you for taking our question, and congratulations on very good results. Sir, I wanted to understand a bit more about the Max India understanding that we have regarding Antara. I think you alluded a little bit about Estate 360 and maybe Estate 361 also. If you could just go through it once again, please. Thank you.

Speaker #2: I think you alluded a little bit to Estate 360, and maybe I missed it—and Estate 361 also. If you could just go through it once again, please.

Speaker #2: Thank you.

Speaker #3: Yeah, so I'll try and explain it. I think the way we need to look at it is in the context of where you have a hotel owner and a hotel operator, right?

Sahil Vachani: Yeah. I will try and explain it. I think the way we need to look at it is in the context of where you have a hotel owner and a hotel operator, right? You have brands that run hotels, they are operating hotels, and they take management fee for operating that, and the property owner is separate. In the same way, just to give you that analogy, Max Estates is the developer of the senior living component as well. Antara is the operator of it, and Antara takes a development management fee for the operations of it. That is what they will take, and that is how they are scaling with us. We are, as Max Estates, developing Antara as part of our various developments, not in all of them, but in some of them.

Speaker #3: So, you have brands that run hotels—they are operating hotels, and they take a management fee for operating that. The property owner is separate.

Speaker #3: In the same way, just to give you that analogy, Max Estates is the developer of the senior living component as well. Antara is the operator of it, and Antara takes a development management fee for the operations of it.

Speaker #3: And that's what they will take, and that's how they are scaling with us. And we are, as Max Estates, developing Antara as part of our various developments.

Speaker #3: Not in all of them, but in some of them. And Nitin had highlighted that we do pay, about Antara, as a development management fee, 9–9.5 percent of the sales value. It's also important to note at this time that Antara sells at a premium of approximately 10 percent compared to our own Max Estates sales.

Sahil Vachani: Nitin had highlighted that we do pay Antara as a development management fee, 9%, 9.5% of the sales value. It is also important to note at this time that Antara sells at a premium of approximately 10% compared to our own Max Estates sales. Therefore, we are able to offset that cost in that sense. I hope that is clear.

Speaker #3: So, therefore, we are able to offset that cost in that sense. I hope that's clear.

Speaker #2: Yeah. So, Estate 360—you mentioned that's the senior living portion. The intergenerational community would be about ₹1,200 to ₹1,500 crore, right?

[Analyst] (Financial Research): Yeah. Estate 360, you mentioned that the senior living portion, the intergenerational community, will be about INR 1,200 to 1,500 crores, right?

Speaker #3: Approximately yes correct.

Speaker #2: And what about 361? What would be this thing out of the total? I think 361, about 9,000 crores is the peak GDV, right?

Sahil Vachani: Approximately, yes. Correct.

Nitin Kansal: Approximately, yes. Correct.

[Analyst] (Financial Research): What about 361? What would be the- I think out of the total, I think 361 and suppose INR 9,000 crores is the peak GDV, right? How much would be the-

Speaker #2: So how much would that be?

Speaker #3: I think between 50 and 10th is approximately the sales value on that.

Sahil Vachani: I think between 50% is approximately the sales value on that.

Speaker #2: Sorry, you got cut. Sorry. Sorry. Please repeat.

Speaker #3: 15 to 20 percent of the total value would be Antara.

[Analyst] (Financial Research): Sorry, you got cut. Sorry.

Sahil Vachani: 15% to 20% of the total value would be Antara.

Speaker #2: Of 361.

Speaker #3: Yes.

[Analyst] (Financial Research): Of 361?

Speaker #2: Okay. Thank you so much, and all the best. Thank you.

Sahil Vachani: Yes.

[Analyst] (Financial Research): Okay. Thank you so much, and all the best.

Speaker #1: Thank you. The next question is from the line of Tushar Agarwal, an individual investor. Please go ahead.

Nitin Kansal: Thank you.

Sahil Vachani: Thank you.

Operator: Thank you. The next question is from the line of Tushar Agarwal, an individual investor. Please go ahead.

Speaker #2: Hi, good morning team. I have a couple of questions. First is on the lease rental part. You mentioned that the inventory you have released is at a premium.

Tushar Agarwal: Hi, good morning, team. I have a couple of questions. First is on the lease rental parts. You mentioned that the inventory that you have pre-leased is at a premium. So that premium is on today's market rate or when the properties be occupied on those protected market rates in those years?

Speaker #2: So, that premium—is it on today's market rate, or is it based on the projected market rates for when the property will be occupied in those years?

Speaker #3: Thank you, Tushan. So the premium is based on today's prevailing market rates. When we do projections, we have been projecting numbers based on what we get today.

Nitin Kansal: Thank you, Tushar. The premium is on today's prevailing market rates. When we do our projections, we have been projecting numbers of what we get today.

Sahil Vachani: Thank you, Tushar. The premium is on today's prevailing market rates. When we do our projections, we have been projecting numbers of what we get today.

Speaker #2: Understood. And what is the yield that we are targeting on our projects?

Tushar Agarwal: Understood. What is the yield that we are targeting on our projects?

Speaker #3: So when we underwrite the project at the time of Greenfield, that is in the range of 12 to 14 percent is when we underwrite.

Nitin Kansal: When we underwrite the project at the time of greenfield, that is in the range of 12% to 14%, is when we underwrite. By the time the project is completely constructed and leased, if you see the prevailing cap rates of the prevailing REITs is more in the range of 6.5% to 7%, thereby resulting in a significant capital appreciation from the time we take over the asset and the project is delivered and leased. This entire cycle journey happens in the range of three to five years.

Sahil Vachani: When we underwrite the project at the time of greenfield, that is in the range of 12% to 14%, is when we underwrite. By the time the project is completely constructed and leased, if you see the prevailing cap rates of the prevailing REITs is more in the range of 6.5% to 7%, thereby resulting in a significant capital appreciation from the time we take over the asset and the project is delivered and leased. This entire cycle journey happens in the range of three to five years.

Speaker #3: And by the time the project is completely constructed and leased, if you see, the prevailing cap rates of the prevailing REITs is more in the range of 6.5 to 7 percent.

Speaker #3: Resulting in a significant capital appreciation from the time we take over the asset until the project is delivered and leased. This entire cycle, this journey, happens in the range of 3 to 5 years.

Speaker #2: Understood. And on the Antara front, how much percent of the project do you plan to keep moving forward in your other projects?

Tushar Agarwal: Understood. On Antara front, how much percent of the project do you plan to keep moving forward in your other projects?

Speaker #3: So, this is not a "see what is happening, we would like to have a certain portion of senior living component"—but this is not crystallized that all our projects will have a certain portion of Antara. That is depending upon how the market situation is and what is the market acceptability and receptiveness of senior living in that community.

Nitin Kansal: What is happening, we would like to have a certain portion of senior living component, but that is not crystallized that all our projects will have a certain portion of Antara. That is depending upon how the market situation is and what is the market acceptability and acceptance of senior living in that community. It is a dynamic feature which we keep on evaluating on a project-to-project basis.

Sahil Vachani: What is happening, we would like to have a certain portion of senior living component, but that is not crystallized that all our projects will have a certain portion of Antara. That is depending upon how the market situation is and what is the market acceptability and acceptance of senior living in that community. It is a dynamic feature which we keep on evaluating on a project-to-project basis.

Speaker #3: So, it's a dynamic feature, which we keep on evaluating on a project-to-project basis.

Speaker #2: Understood. Do you see the 9.5 percent fees which you pay to Antara going down sometime in the future, or is it a fixed-fee kind of thing?

Tushar Agarwal: Understood. Do you see the 9.5% fees which you pay to Antara going down sometime in the future or is it a fixed fee kind of a thing?

Speaker #3: It's not a fixed fee. It's a dynamic thing since it's a commercial transaction between two commercial entities. It's always commercially negotiated and comes to a certain conclusion.

Nitin Kansal: It is not a fixed fee, it is a dynamic thing. Since it is a commercial transaction between two commercial entities, it is always commercially negotiated and comes to a certain conclusion. To give a firm commitment, the number remaining static, going up and down would not be possible for us at this point of time.

Speaker #3: To give a firm commitment, the number remaining static or going up and down would not be possible for us at this point of time.

Speaker #2: Antara also will be charging for their services in the future. So, do we get some revenue share from their portion of revenues?

Tushar Agarwal: Antara also will be charging for their services in the future, so do we get some revenue share from their portion of revenues?

Speaker #3: So then Antara would not be charging anything. They would be one of the facility managers at that point of time, because they have deep expertise in managing senior living residences.

Nitin Kansal: Antara would not be charging anything. They would be one of the facility managers at that point of time, because they have a deep expertise in managing the senior living residences. That would be all on the balance sheet of Max Estates, and the entire revenue stream will accrue to Max Estates only. Whatever fees would be given to them would be a function of charges at that point of time.

Speaker #3: But that would be all on the balance sheet of Max Estates, and the entire revenue stream will accrue to Max Estates only. Whatever fees would be given to them would be a function of charges at that point in time.

Speaker #2: And lastly, are we exploring some other markets, or...?

Tushar Agarwal: Are we exploring some other markets or-

Speaker #3: Sorry, just to add to that—in case your question was about the operating facilities, etc., that fee for the Antara component will go to Antara itself.

Tushar Agarwal: Are we exploring some other markets or-

Nitin Kansal: Sorry, just to add to that. In case your question was about the operating facilities, et cetera, that fee for the Antara component will go to Antara itself.

Sahil Vachani: Sorry, just to add to that. In case your question was about the operating facilities, et cetera, that fee for the Antara component will go to Antara itself.

Speaker #2: Understood. And do we have plans to explore other markets, or will we still be focusing on the NCR market only in the near future?

Tushar Agarwal: Understood. Do we have plans to explore other markets or we will be still focusing on NCR market only in the near future?

Speaker #3: Yes, we continue to focus on the NCR and the larger NCR region itself.

Nitin Kansal: Yes, we continue to focus on the NCR and the larger NCR region itself.

Sahil Vachani: Yes, we continue to focus on the NCR and the larger NCR region itself.

Speaker #2: Great, thank you so much. I'll get back in touch with you.

Tushar Agarwal: Right. Thank you so much. I will get back in the queue.

Speaker #1: Thank you. The next follow-up question is from Aman from Gopesha. Please go ahead.

Operator: Thank you. The next follow-up question is from the line of Aman from GoPaisa. Please go ahead.

Speaker #2: All my questions are answered. Thank you very much.

Speaker #3: Thank you Aman.

[Analyst] (GoPaisa): All my questions are answered. Thank you very much.

Aman Jain: All my questions are answered. Thank you very much.

Speaker #1: Thank you. Are there any further questions from the participants? If not, I would now like to hand the conference over to the management for closing comments. Over to you, sir.

Nitin Kansal: Thank you, Aman.

Operator: Thank you. As there are no further questions from the participants, I would now hand the conference over to the management for closing comments. Over to you, sir.

Speaker #3: Thank you so much. Thank you, everyone, for joining the conference. We look forward to interacting after the next quarter's results as well. Thank you so much.

Nitin Kansal: Thank you so much. Thank you everyone for joining the conference. Look forward to interacting towards the next quarter results also. Thank you so much.

Speaker #1: Thank you. On behalf of Amrit Capital Private Limited, that concludes this conference. Thank you for joining us, and you may now disconnect your lines.

Operator: Thank you. On behalf of Ambit Capital Private Limited, that concludes this conference. Thank you for joining us and you may now disconnect your lines. Thank you.

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