Godrej Properties Ltd (GPL) has been on a land acquisition spree across property markets such as Pune, Bengaluru and National Capital Region (NCR), to develop a pipeline of housing and plotted projects.
The Mumbai-based firm on Wednesday said it has acquired a 9-acre land parcel in the suburban Pune’s Pimpri-Chinchwad area for a group housing project.
Earlier this week, the company, which focuses on residential projects, said it has entered into an agreement to develop 33 acres in Bannerghatta Road, Bengaluru. The agreement is for an outright purchase with 5% area share to the landowners.
The real estate firm has been steadily acquiring land parcels and expanding in in four major markets — Mumbai Metropolitan Region (MMR), Delhi-NCR, Bengaluru and Pune where it has strong presence.
“Pimpri-Chinchwad is an important micro-market in Pune and we are happy to add this land parcel to our portfolio. This will further expand our presence in Pune and fits with our strategy of deepening our presence in key micro markets across India’s leading cities,” said Mohit Malhotra, managing director and CEO, Godrej Properties.
In March, GPL also acquired around 50 acres of land in Sonipat, Haryana. The project will have one million sq ft of plotted development.
“Sonipat as a micro-market has seen a lot of infrastructure developments over the last couple of years and is going to play a vital role in the NCR growth story,” Malhotra said.
GPL’s executive chairman Pirojsha Godrej recently said the company will invest around ₹7,500 crore over the next 12-18 months on development of new projects, PTI reported in February.
In a recent note, rating agency Crisil said that established residential realtors sold ₹34,000 crore of inventory in the first nine months of 2021-22, equal to sales in the whole year of 2020-21 reflecting a significant recovery in the housing market.
Improved affordability and preference for larger homes owing to a surge in remote working driven by the Covid-19 pandemic have fuelled this boom, Crisil said.
As a result, the market share of 11 listed players, which includes GPL, in six cities has risen to 20-22% currently from 14-16% before the pandemic struck.