Ruling out a rate cut in its existing projects, Parsvnath Developers on Monday said the company would price its upcoming residential projects at a 10 per cent price lower than the prevailing market rate.
“In all our upcoming projects, the prices would be 10-15 per cent lower than the prevailing market prices,” said Pradeep Jain, chairman, Parsvnath Developers.
The company also disclosed that the promoters have pledged over 10 per cent of their 80 per cent holding within the company with public sector banks to repay the loan taken for the Delhi Metro project. “It is over 10 per cent but not majority of our holding has been pledged,” said Jain.
The company said it was currently focusing on completing its ongoing projects.
“Our focus is on competing ongoing projects and starting new projects in locations where there is demand,” Jain said. “We will come up with some drop in prices through cutting down the size of the apartment or bringing down facilities and specifications.” The company has been cutting corners by downsizing staff and reducing salaries for senior officials.
“Salaries of senior level officials have bee reduced by about 20 per cent. Few directors, including me, have taken a slary cut of 50 per cent,” said Jain.