ICRA has revised the long-term rating assigned to Rs. 500.00 crore (earlier Rs. 1500 crore) bank lines of Anant Raj Industries Limited (ARIL) from LBBB (pronounced L triple B) to LBBB+ (pronounced L triple B plus). Outlook on the rating is stable.The rating upgrade takes into account the healthy response to ARIL's recently launched residential projects and leasing out of all of its completed hotel properties. ICRA's rating continues to derive comfort from ARIL's large and low-cost landholdings in the National Capital Region (NCR), its comfortable liquidity position given its significant cash balance (Rs. 316 crore as of September 2010) and its low gearing. The rating is, however, constrained by geographical risks arising from concentration of ARIL's operations in NCR, large size of its development plans in relation to projects developed in the past and low level of leases/pre-leases in its commercial and retail properties, which accentuates market risk for these properties. Moreover, ARIL's significant land acquisition and development plans are expected to push up its funding requirements and thereby its debt levels.