Puravankara Enters Redevelopment Space with Acquisition of 3-Acre Project in Mumbai’s Andheri

Puravankara, a real estate developer, has successfully obtained the redevelopment rights for two housing societies spanning three acres in Mumbai’s Andheri suburb. The potential gross development value of the project is estimated at Rs 1,500 crore. This move marks Puravankara’s entry into the redevelopment business in the western region, showcasing its commitment to expanding its presence in Mumbai’s thriving real estate market. The combined land parcel has a development potential of 5.8 lakh sq ft carpet area, with approximately 3.65 lakh sq ft available for sale. The acquisition aligns with Puravankara’s growth strategy of acquiring new land parcels to enhance its development potential.

This project adds to Puravankara’s ongoing efforts in Mumbai, where two residential projects in Chembur and Shil Phata are already under construction. These existing projects have a total development potential of over 1.5 million sq ft, expected to be completed in the next 2-4 years. The addition of the Andheri project will bring Puravankara’s on-ground development work to over 2.1 million sq ft. The company’s foray into the redevelopment segment reflects the strategic move to capitalize on the potential of Mumbai’s real estate market, especially in high-demand areas like Andheri-Lokhandwala.

“Andheri-Lokhandwala has emerged as a prominent hotspot in Mumbai’s realty map due to several ongoing and upcoming infrastructure projects. Our team of experts will work closely with societies to ensure a smooth and seamless redevelopment process for housing societies,” said Rajat Rastogi, CEO – West & Commercial Assets-Pan India, Puravankara. The company’s growth strategy also includes plans to launch two new projects in Pune in the ongoing financial year.

Puravankara reported a significant 102% year-on-year rise in sales worth Rs 1,600 crores for the quarter ending September, with sales volume increasing by 89% to 2.01 million sq ft. The developer is actively working on delivering around 2,500 units with an area of over 2.5 million sq ft in the second half of the ongoing financial year.

Redevelopment projects play a crucial role in Mumbai’s property market, addressing the challenges posed by limited vacant land parcels in the city. The Maharashtra government’s decision in July to exempt members of housing societies undergoing redevelopment from paying stamp duty on allotted permanent accommodation is expected to further encourage such projects across the state.