The reason why this stock has not performed and may not perform in future is because kalpataru properties has claimed 1,528 crores from shreeram for not effecting sale and transfer of about 5 acres of land it had agreed to selll to kalpataru properties in around 2004 after receiving 30 crores money form kalpataru. This fact is mentioned in its rights issue filing with SEBI. Page 103 and 131 it is stated......

Arbitration proceedings are underway which have been filed by Kalpataru Properties (Pvt) Ltd [formerly known as Kalpataru Construction (Overseas) Pvt Ltd] in respect of development rights of Plot 5A admeasuring 20,955.4 sq. mtrs of the Company's Worli Estate for which it has received Rs.30 crores. The Bombay High Court had passed a status quo order on about 23,500 sq. mtrs of the said Estate. Recently, Kalpataru Properties (Pvt) Ltd have filed a claim of compensation for Rs.1,528.93 crores alongwith interest as alternative to their original claim for specific performance. The Company has received legal advice from its lawyers that the said claim for compensation is not tenable, and the chances of it being held against the Company are highly remote. The Company has since filed papers for a counter-claim for Rs.2,677.32 crores from the said Kalpataru Properties (Pvt) Ltd.

So whatever profit it may make out of Palais Royale it may end up loosing it. All talk of 10,000 crore worth land bank are baseless...it has 17 acres land at worli and thats all.....which may be worth about 2000 crores. The above document is available online on SEBI website at