July 2, 2025: Raymond Group chairman Gautam Singhania has said that while Raymond Realty aspires to develop ultra-luxury homes worth Rs 100 crore in the future, its current strategy is rooted firmly in the ‘affordable luxury’ segment of the housing market.
“Today, we make a Rs 16 lakh jacket. That’s just 0.00001% of what we do,” he remarked, underscoring the brand’s capability to deliver high-end products but also its intention to take a measured approach in real estate.
Raymond Realty, which currently has a 30% market share in its segment within Thane, plans to expand its footprint within Mumbai’s micro-markets and potentially Pune in the future. “Mumbai is not a single market. It’s thousands of micro-markets—you have to decide where to play,” Singhania said. The company currently has ongoing projects in Mahim, Bandra, and Wadala.
He emphasised that comparing all real estate developers on the same scale is misleading. “It’s like comparing Armani and Raymond—both make clothes, but they cater to different markets,” he said, drawing a parallel between fashion and housing to illustrate market segmentation.
While Raymond Realty is open to developing premium apartments—potentially even Rs 100 crore homes in select markets—Singhania clarified that such plans would only represent a very small portion of its portfolio: “Out of 20 million sq ft, we might build 200,000 sq ft of luxury.”
Maintaining a sharp focus on financial discipline, Singhania added, “I’m happy to walk away from any deal that doesn’t meet our return expectations.” CEO Harmohan Sahni reiterated this approach, noting that every project must ensure a minimum 20% profit margin.
Commenting on the overheated nature of the current real estate market, Singhania said, “I’m seeing deals so aggressive, I doubt anyone can make money from them.”
Source: Hindustan Times
