Puravankara Secures ₹2,000 Crore Real Estate Project in Mumbai's Pali Hill

Puravankara, a leading real estate developer, has been unanimously selected as the preferred developer for a ₹2,000 crore redevelopment project in the upscale Pali Hill area of Mumbai. The project involves redeveloping a residential housing society spread over two and a half acres, making it one of the largest land parcels in the prestigious neighborhood.

The upcoming project has a cumulative estimated development potential of 4.10 lakh square feet of carpet area, with over 2.15 lakh square feet available for sale. Real estate prices in Pali Hill range from ₹1 lakh to ₹1.2 lakh per square foot, indicating the project's potential Gross Development Value (GDV) exceeding ₹2,000 crore.

Why this matters: Puravankara's selection for this high-value project in Mumbai's prime real estate market showcases the company's expertise and reputation in the industry. The successful execution of this redevelopment project could significantly boost Puravankara's portfolio and market position.

Puravankara is also in advanced stages of discussions for the redevelopment of three to four other prestigious housing societies in Mumbai. The company recently secured rights to redevelop two housing societies in the Lokhandwala area of Andheri West, spanning a total of three acres. Mumbai and Pune have emerged as new focus areas for Puravankara's redevelopment efforts.

The real estate developer reported its best-ever annual sales performance for the fiscal year 2023-24, with sales growing 90% year-on-year to ₹5,914 crore. Puravankara aims to deliver 2,000 units with a development potential exceeding 2 million square feet across Bengaluru, Pune, Chennai, and Mumbai by the end of FY24.

Puravankara's shares have outperformed in the past month, rising 69%, and are up nearly 90% so far in 2024. The company's stock was locked in a 5% upper circuit at ₹377 on April 24 following the announcement of the Pali Hill project.

The Mumbai property market in 2023 has witnessed its best annual performance, driven by strong demand in the luxury, premium, and mid-income segments. "The residential society to be redeveloped is spread slightly over two and a half acres," a Puravankara official stated, emphasizing the scale of the Pali Hill project. With Puravankara's track record and the promising market conditions, the successful completion of this redevelopment project is expected to set a new benchmark in Mumbai's real estate landscape.

Key Takeaways

• Puravankara selected for ₹2,000 cr redevelopment project in Mumbai's Pali Hill area.
• Project has 4.10 lakh sq ft development potential, with 2.15 lakh sq ft for sale.
• Puravankara's expertise showcased, could boost portfolio and market position.
• Company aims to deliver 2,000 units across 2 million sq ft by FY24 end.
• Puravankara's shares up 69% in a month, 90% YTD, following project announcement.