NEW DELHI: Paradigm Realty has repaid its Rs 175 crore debt to Edelweiss Financial Services, two quarters ahead of schedule. The early repayment was made through sales collections and refinancing at an interest rate of under 13% per annum.
The debt initially raised two years ago to fund the residential phase of 102 Downtown, a 10-acre mixed-use township in Oshiwara, Andheri West. The project, developed jointly with Prozone Realty, encompasses a 4.5 million sq ft development potential, including 1.3 million sq ft of residential spaces and a proposed shopping center.
Edelweiss Financial Services achieved a cumulative 18-19% internal rate of return (IRR) on the investment, which included quarterly coupon payments starting from the third quarter after the initial funding.
The new financing facility is Rs 135 crore sanctioned at an interest rate that can reduce to 12% upon achieving performance milestones, will also be utilised for company’s project expenditures in addition to partially replacing the Edelweiss debt.
The group is in advanced discussions to secure Rs 125 crore for its Borivali (West) project at a rate of below 11% per annum, alongside negotiations for raising over Rs 300 crore for three upcoming projects (Carter Road, Pali Hill Road and Prabhadevi) through reputed NBFCs and fund houses.
