HCC eyes Rs 200 cr revenue from sea link

Written by Mona Mehta | Mumbai | Updated: Oct 26 2009, 07:28am hrs
The Bandra-Worli sea link in Mumbai, an engineering marvel by Hindustan Construction Company (HCC), has generated revenues to the tune of Rs 60 crore for the company in the second quarter of the financial year, Praveen Sood, HCC group chief financial officer, told FE. He said, "By the end of the fourth quarter of 2009-10, we hope to generate revenues to the tune of Rs 150-Rs 200 crore through the Bandra-Worli sea link. As for extending the sea link from Haji Ali to Nariman Point, we will go ahead with the project only when we are allowed to bid for it."

HCC group chairman and managing director Ajit Gulabchand said the sea link project was very challenging as the company had to deal with numerous delays and litigations. He added, "We lost more than Rs 400 crore on the bridge due to changes in design and delay. We don't want to go through it again and will not go ahead with the extension till bidding is allowed."

In a bid to cash in on the opportunities in the real estate segment, HCC Real Estate, a 100% subsidiary of Hindustan Construction Company (HCC), is chalking out plans to develop 100-acre real estate projects each in Mumbai, Pune and Nasik, where the company has a land bank of 60 acres.

This would be a combination of commercial and tall residential projects, Sood said.

Gulabchand said, "Airport development project is another area we are planning to focus on strongly for the next decade."

Apart from real estate development, HCC is also planning to focus strongly on slum re-development.