Tata Housing Development Company, a unit of Tata Sons, expects to earn Rs 700 crore (Rs 7 billion) in revenue from low-cost housing in the next four years, a top company official has said.

Tata Housing is launching over 1,000 low-cost houses under the brand Shubh Griha priced between Rs 3.9 lakh and Rs 6.7 lakh in Bhoisar, on the outskirts of Mumbai, and plans to launch around 4,000 such houses across other cities in the next four years, mainly targeting industrial workers and other low-wage earners.

The company is targeting Rs 15,000 crore (Rs 150 billion)  revenue by FY13 from its projects, covering an area of 20 million square feet. It plans to build 10,000-13,000 homes by then. The company aims to earn 5 per cent of its revenue from low-cost houses.

Low-cost projects have more velocity and can be completed in two years. We see huge opportunity in this space, especially in industrial belts, said Brotin Banerjee, managing director and chief executive of Tata Housing.

The company is launching two-three such projects in Bangalore and the national capital region in this fiscal and plans joint development with land owners, wherein it will share a percentage of revenues with the owners of the land, and outright of purchase of land in other cases, according to Banerjee.