Magicbricks
Godrej &Piramal invests into ISPRAVA, a real estate firm to create high-end luxury holiday home firm
A consortium of HNIs including Nadir Godrej of the Godrej Group and Anand Piramal, Promoter of the Piramal Group have invested Rs 11 Crores in a bridge round to a real estate firm Isprava, with the vision to see it become the leader in high end luxury holiday homes. The homes would be designed and constructed with sophisticated luxury holiday homes for discerning individuals in area such as Goa and the Nilgiris. Nadir Godrej on the board of Isprava and the Holding company develops villas in places like Goa and Nilgiris and also other locations in the future. Godrej has invested from Godrej industries and not Godrej family.
Isprava builds vacation homes and it is a different model, in a different space from Godrej properties. Besides selling home it helps investors to rent out or lease out homes, which is a synergistic move. Isprava purchases land and develops either in one single home or multiple units, so at any given point of time there are multiple projects which can be single or multi unit. Goa villas cost from 3 – 25 crores. Nilgiri homes cost from 2.5 – 10 crores. Goa is a location they focus on and do multiple projects. They are developing 30 units at different locations and they are at different stages of construction. Additionally the company is developing in Coonnor and Kotagiri too. Each villa is exclusive and has different architect and designer. The potential buyer can only make limited changes to it. Isprava buys only free hold land and transfer the title to the buyer. Isprava has sold 14 villas in last three years and has completed 6 villas. There are approximately 30 villas under construction this year out of which 8 of them are sold.
We have gated communities priced between 2 to 5 crores which include lawyers, investment bankers, people working across companies. Over 5 crores, we target industrialists, celebrities, actors and sportsmen. The well-known buyers who have already booked homes will be revealed including – Founder of Infosys, Founder of SpiceJet, with the latest buyer Sunil Gavaskar. Isprava has fully furnished and maintained by a property management team on owners behalf and believes true luxury stems from exclusivity hence each Isprava home tells a story. Each Villa has an individual structure that has old seasoned wood, antique furniture, antiques from old palaces & mansion.
Nadir Godrej of Godrej Group of companies stated, “Isprava is into holiday homes and it also creates opportunities both for building, selling as well as for renting the homes. These two activities are very synergistic as leasing and renting the homes for a short stay enables people to buy the home. We have known the promoters of Isprava for a very long time and we even had a share holding in the predecessor company as well with current investment of 10% of the funded raised. The rental income makes it affordable for investors and Gross yield on the property varies from 7 -9 % while net yield after expenses can be from 3 -5 %. ”
Talking about the homes, Nibhrant shah, Founder and CEO, ISPRAVA stated, “I never invested in real estate. I was an investment banker in New York and had some money left over. Hence wanted to purchase a home in Goa. When I looked at the competition, be it National / local developers, they all produced cookie cutter homes which didn’t have the quality that I desired. That’s when I decided to built unique homes but beautiful home and provide a service to the buyers. Each Isprava home is designed by leading international designers, fully furnished using antique furniture sourced from old palaces and mansions and is maintained by a property management team on the owner’s behalf. Isprava believes true luxury stems from exclusivity hence each home has its own story.”
Isprava was created when an investment banker in New York and London, moved back to India and started Themis, an accounting services firm. The opportunities in the country had exploded, but the flip side of that was city life had become even more stressful. Escalating noise, pollution and traffic, egged him to search for a second home to get away over the week-end. This search led him to discover many problems with the standard approach to real estate development. Homes lacked exclusivity and authenticity, personal comfort was often an afterthought, and integrity wasn’t always a priority
ABOUT ISPRAVA:
Isprava launched in 2013 and was built on the fundamental idea that owning a second home could be simple, enjoyable and provide benefits that even a five-star hotel could not. Isprava is on the way to becoming the leader in the luxury holiday home segment in India.The company plans to do this while staying true to their values; its core are three pillars which drive the brand. To offer exclusivity through one of a kind holiday homes which have been exquisitely crafted in the Indo-European tradition. To offer the highest levels of comfort, down to every last detail including furnishings and property management. Finally, Isprava functions with integrity in their dealings, whether this means complying with government paperwork and regulations, operating with consideration for the community or completing projects on time.