Building trust brick-by-brick Prime Lands on a 30-year real estate journey

Prime Lands Group, one of the leading real estate companies in Sri Lanka, is on the back after winning their maiden award for – Developer of the Year 2025 Sri Lanka, awarded by Real Estate Asia, awarded only one for the country.  In this interview with Mirror Business, Prime Lands Co-Founder/ Executive Chairperson Sandamini Perera, and Prime Lands Group Chairman B. Premalal  spoke about what does it take win such awards, their troubles, travails, and triumphs. That also expanded to their past, the company contribution to the industry, company and projects for the future.  Following are the excerpts of the interview:

 Q: Since establishment, how far has Prime Lands come in its journey? Where does it stand in the industry?

Sandamini Perera: Actually, we started as a very small company. Just with a few people. It was a 30-year journey. Today, we are the largest real estate developer in Sri Lanka. Largest, meaning, if you take customer-base, geographically-steady, types of products, number of units – in everything, we are in front. Above all, customer trust and we were able to be positioned as the most trusted real estate brand in Sri Lanka.   

 Q: What makes Prime Lands stand out from the rest?  

B. Premalal: Yeah, as we said, one of the cornerstone of the real estate business is the trustworthiness. You absolutely need not worry about the money, when you invest in us. The second is the novelty. The innovative products, designs, concepts, all that come into the picture. Not only the innovative products, the innovative financial solutions. Earlier, you have not heard of giving 10% downpayment, that we only introduced. The market grabbed it, and everyone are following it, including the banks. There are even zero downpayments. We revolutionized the financial solutions side of the real estate. We are always a young company, though we are 30-years-old. I can remember, a consultant came in recently. They said we might be a 30-year company, but they see global giants, that amount of vibrance, determination, activities and innovations – all those are in this company.       

Perera: As a trendsetter, we always raised the industry bars. In product-wise, quality-wise, process, plans, especially customer service. As a service provider and leader, it is our duty and responsibility, to raise the standards of this industry. Specially, the real estate industry. 

 Q:What, based on you, has allowed the entity to enjoy the position it does today?

Premalal: The vision, our leadership, our employees. Not only we have consecutively for 5-6-years, won the best developer, best luxury developer and all that, from the Great Place to Work. That is our staff, innovativeness, our approach, our customer care. All these combined. It’s not only particular one and our financial strength. Our financial discipline, so that when people invest in us, they do not have to worry about it. When we sell an apartment, that land of the apartment belongs to us, not to someone else. People must look into that.

When you go around Colombo, there are half-completed apartments and so on. Most of those lands even do not belong to the company. These are called financial discipline and financial foresight (owning and delivering projects timely). All these factors, led to the success of market leader we are enjoying today.    

 Q: What are the challenges faced in the industry? How are they different from pre-COVID?

Premalal: In the past, we were faced with the import restrictions, financial crisis, covid – these are things the entire industry had to bear the brunt. Now, it’s mostly sorted. To meet those challenges, we need to have the financial discipline and all the strengths. To meet any challenge, company should be strong. Exactly why, people must look into who is your real estate partner  

Companies have life cycles. The same way we humans have life cycles, so do companies and industries. Therefore, situation fluctuates. Challenges would be there (the approval process). Form of challenges would be different. Sometimes, very unreasonable neighbourhood. In Sri Lanka, it is becoming a habit, for a neighbour’s they try to make it a national problem. For a neighbour’s problems, they try to make it a national problem.  

Different projects pose different set of problems. These are the day-to-day life in real-estate. At the outset of the company, the challenges were different, and we were fighting with then-giants like Ceylinco. We were small. Now, we are giants. Our task as a strong company, to meet those challenges, which are part and parcel of the day-to-day to operations.  

Perera: Actually, whatever the constructions and developments we do, the main thing are the approvals and the local authority highly effect to this journey. Without that we cannot. When we invest billions for a property, and sometimes if we have to wait six-to-one-year, interest cost is going to kill you. That is one of the main obstacles. 

When you apply for an approval, Urban Development Authority (UDA) issues a letter instructing to get approvals to start your construction. The approvals are a very simple, standard process. 

 Q:What is the industry’s most pressing need at this point, and who needs to deliver it?

Premalal: Pressing needs are, the government should understand the role of the real estate. Specially what the developers are doing. I’m sure they are in the learning process of understanding it. This industry gives an employment of over Rs. 1.2million. The industry is also pumping in 7-8% to the Gross Domestic Production (GDP). Therefore, this is very vital to the company. When you go to a country and go around, how many cranes are working and so on. Then only we see whether this country is progressing. Not by looking at the GDP or anything. 

When we build an apartment, the 35-40% of the sales value goes to the government since day 01 of company buying the land. 4% stamp fee when we buy the land. When we sell the apartment, it is not the apartment value, what we sell. It is the apartments inflated value (market value). It is actually more than 4% actually of the selling value. 18% VAT. 

When the company earns a profit, 30% of the corporate tax. Then, the company gives dividends from the remaining profit, 15% dividends tax. There is a 36% payee tax. Even this building, 40% of the value goes to the government. Still this government does not understand the value of this industry and contribution of this industry and how they should support this industry. 

Now, National Debt is US$ 103.7 million. Of that, we are getting Rs. 16.17 billion export income from merchandise export and service exports. If we can export real estate to this industry, yearly if you can export 100units, nearly 50million to the foreigners, then within five years time you can entirely pay off the national debt. That is the value of the real estate. That should be understood by the government.  

We also need the government support to take Sri Lankan real estate image to the world.  

Perera: Let’s say, we did a Rs.1 billion project, government gets Rs. 400 million by way of taxes. When we do a development and because of this company 8000-9000 families depend. Directly, we might be having around 800 staff. But in our sites, at any given time, there are three labours working for one unit. 3 into 3000, 9000 labourers are working. We are also contributing to this economy, massively. They (government) must think in that way also.  

Employment and income generated from the industry, are the things that are key factors.    

 Q:Bringing the focus to the recently won award, what, based on you, put Prime Lands in the spotlight for it?

Nalinda Heenatigala: I was there to receive the award on behalf of the company. This award given is only one award for one country. This is that kind of an award. We have won that developer of the year for Sri Lanka 2025. This is a special award from Real Estate Asia. Along with other countries and competitors, Malaysia, Hong Kong, Thailand, Singapore, we are the only company from Sri Lanka and that speciality of that award is, one award for one country. 

Comparing with other developers, one Malaysian, their turnover in SLR 4,560 billion, the other turnover from a Hong Kong company, SLR 1560 billion – this is the range. Among that developers, we got one for our country and company. 

Premalal: They have considered past developments by the companies. Past developments to everything they have considered. It is a very vital award and there is lot of criteria’s – design, past achievements, quality, not only the future and so on. It’s a country-level award. It’s a tremendous achievement for the company and on a country-level. 

We have got many accolades. Among them one is winning Best Property Group continuously.  

 Q: Tell us about your new projects. What can we expect to see soon?

Premalal: From an apartment concept, we are now going into a different version. For an instance, YOLO, You Only Live Once, very futuristic project. We have another project called – Veniziya (a water villa basing it on the Negombo Lagoon). J’Adore, Negombo, also another project. 

This is the only company that handed over 70 projects (45 apartment building projects + 25 housing projects). That is why when we introduce our products to the market, even if the industry is not faring well, our products are moving. 

From a mere building or a house, it’s a complete lifestyle change. Back to the futuristic one, these are lifestyles we are creating and a very good quality one. Not substandard or anything.  

Negombo J’Adore, we have sold over 90%. Veniziya, we have not even launched the product, but it’s around 65-70%. That is because of our market acceptance, product quality, concepts and all that. 

As an industry, we want to project Sri Lanka’s real estate in the world map. Simply how we are powerful as a brand. 

Perera: Earlier, we only sold a house or a unit. We talked about the size of the bedroom, pantry, living room and etc. Now, it is a lifestyle. Normally, customers do not ask what is tile your use and etc. They want to now see how their lifestyle would be changed and how it would be there. That is the difference. 

 Q: If you were to pick top three projects of Prime Lands, what are they and why?

Perera: “THE” project is Prime Grand Project, Ward Place, Colombo 07, it is completed. Sold and handed over to the customers. Secondly, housing, Thalawathugoda-Clover, that also goes as luxury villas. This is nearing completion. The Palace, by Gampaha, has 480 units, all completed and only left with the handing over process.     

 Q:What are the company’s plans for further growth and expansion?

Premalal: We’re planning to grow in the next 4-5 years even 4-5 folds. We’re also very bullish about the market. We have a stable economy and government. Parameters are good. Unemployment and interest are low. If we do properly, we can grow. Industry and company have the tremendous potential. Very exciting projects are lined up.  

 Q: Your mission reads making Earth a better place. The Earth is losing greenery and increasingly becoming a concrete jungle. Your take on this? 

Premalal: In our projects, we are using green concepts. For an example, world is using 60-70% vertical living, in Sri Lanka, not even 10%. Horizontal living is the less greenery. This Grand Project (Prime Grand Project) we have one acre, and 336 houses. If we go horizontally, for 336 houses, we need 35-40acres to do that. Going up is the way that saves up space and greenery. In Sri Lanka, many horizontal can be converted into a vertical building.  

Perera: Our mission is committed to creating a better place on earth. What we refer is happy people, happy families – those are the things. When you have a place to live happily, that is your goal. Not simply an apartment or a land. People with good values. The vision does travel beyond creating earth a better place. Happy Life, Happy family and good neighbourhood – these are the key things. 

Real estate awards 2025 - Developer of the Year Sri Lanka

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