How BTI revolutionised home ownership in Bangladesh

In an interview with The Business Standard, FR Khan, the managing director of BTI, discusses the history of the country's real estate sector and the company's journey through it.

One of the big goals of BTI right now is to introduce home automation technology to Bangladesh, says FR Khan, the managing director of the company. 

"With this technology, electrical equipment of the entire house can be controlled through a specific remote device. BTI also uses CPVC (a modern thermoplastic used in plumbing) for harvesting rainwater, a built-in water purification system, eco-friendly paint, LED lighting, pliable windows and sliding doors, and sanitary piping, which is very durable," he added. 

"During the pandemic, we came to think that people's homes should be the centre of their well-being. There should be a beautiful environment, green surroundings with abundant fresh air, play areas, walking areas, as well as theatres for entertainment," Khan elaborated on BTI's design philosophy. 

He added that homes should have separate sports facilities and gymnasiums, music rooms, swimming pools, and recreation areas for four age groups — children, youths, and middle-aged and elderly people.

"In the future, our plan is to make a garden in every apartment. Each apartment will have its own vertical garden as well as the surrounding open spaces. Since buyers won't have the scope to build gardens on their own, we will build the facility for them," he also said.

Customers come first 

"Our company's motto is customer satisfaction, which has been the case from BTI's inception," said Khan. 

When BTI began its journey in 1984, a total of three companies — Eastern Housing, Property Development and a company of Ispahani Group — were doing business in the country's housing sector. 

"From its inception, BTI has been committed to the best in service and quality with a focus on meeting the needs of its customers. BTI's mission was to reach the pinnacle of the home building industry.

"I studied civil engineering at Bangladesh University of Engineering and Technology (Buet) and did my postgraduate diploma in real estate in Japan. I got my Master's degree in Structural Engineering in IT. In Japan, I learned that housing is not for one person but we have to work for many customers at once. I learned to serve the society from there," BTI's managing director explained.

In 1984, BTI started with three projects. In 1990, the company had six projects. Around 1995, it started building costlier luxury apartments in Gulshan. 

"We had the expensive project in hand then with a price tag of Tk1,500 per square foot. In our first project, the price was Tk900-1,200 per square foot," he said.

When asked whether there were buyers for such high-priced apartments at that time, Khan replied, "People value trust and quality. All entrepreneurs including myself were professional engineers. Besides, we started the business based on a specific social position. So, we had buyers."

Real estate sector took off after 1992

In the '90s, real estate companies found it difficult to buy land for housing as individual owners did not want to give up their lands easily. There were complications regarding the registration of lands and flats as well.

"It was then that BTI took the initiative to build houses by sharing apartments with the landowners and approached the government for legislation," Khan said while talking about the history of the real estate industry.

The veteran developer explained that only land registration was possible at the time. 

"As a result, if you bought a flat, you would not be the owner of the land. We started linking the flat ownership with the land ownership. Later, when the democratic government came to power, we took it to the parliament and established it as a law. When buying a flat, the buyer also owns the land. It was first done by us. Then, in 1992, we were the first to start a housing project in Gulshan and in 1993 in Baridhara. It was a milestone for the real estate sector."

In housing, the FAR (Floor Area Ratio) came into effect in 2008. Then the building height restriction was lifted and aesthetically taller buildings started to emerge with a lot of free space around the buildings.

"After the arrival of FAR, we thought a change should be made and contacted the best architects in the country. We focused on increasing ventilation and making the houses greener," Khan said. 

Recession and pandemic could not affect BTI's business

FR Khan said the housing industry continued to expand after 2000. But many people were not able to understand that this situation would not last. But BTI adopted some approaches to deal with future transitional moments. 

In the financial year 2007-08, the housing industry began to suffer due to political unrest. At this time, the profit of BTI decreased somewhat, but it did not fall into a quandary. The big blow hit the housing sector during 2009-12. But BTI was able to maintain its position only by making certain plans ahead of time. 

"We did not even face a problem during the pandemic. People who looked for safe accommodation stayed with us because of the trust we built with them. None of our projects were delayed."

Asked in what way BTI is different from others, FR Khan said innovation is what sets the company apart. "We bring innovation to every project. Customers are overwhelmed by our diversity. That is why they feel comfortable with us."