Prestige Group acquires 21 acres of land at ₹450 crore in Bengaluru

Real estate developer Prestige Group has acquired approximately 21 acres of prime land in Whitefield, Bengaluru at a cost of ₹450 crore, the company said in an exchange filing.

The acquired land is being planned for residential development comprising 1,800 apartments. The estimated gross development value of the project is ten times the acquisition cost of the land, according to the company.

"The prime land in Whitefield, Bengaluru presents an excellent opportunity for us to expand our presence in a large IT corridor. This large-format project spans over 4 million square feet of developable area, with a projected GDV of ₹4,500 crore,” said Irfan Razack, Chairman and Managing Director of Prestige Group.

The project is expected to be launched within the next three quarters and is expected to be completed in four years time, according to the company.

The announcement comes at a time when the group has struck a strategic deal with major investors for development of residential projects across major locations. Earlier this week, the group announced a ₹2,001 crore deal with the Abu Dhabi Investment Authority (ADIA) and Kotak AIF to develop residential projects across prominent locations in four Indian cities.

The funds will fuel the development of greenfield residential projects across Bengaluru, Mumbai, Goa, and NCR with a combined GDV of over ₹18,000 crore which will contribute significantly to the top line, the company said.

In March, the group had acquired another 62.5 acres of prime land in Indirapuram Extension, NCR at a cost of ₹468 crore aimed at developing an integrated township. The project spans over 10 million square feet of saleable area, with a projected GDV surpassing ₹10,000 crore, the company had said in an exchange filing.

Shares of Prestige Estates Projects have gained over 14% in the last five days and are trading close to the ₹1,308 level.