Over the past decade, Mumbai and Bengaluru have witnessed significant real estate developments with several prominent developers expanding their presence across these two major cities. Companies like Bengaluru-based Prestige Group and Puravankara, along with Delhi-based DLF, have either entered or announced plans to venture into each other’s markets, reflecting a trend of cross-city expansion.
Market Attraction and Expansion Strategy
Real estate experts attribute this trend to developers’ aspirations to consolidate their foothold in key urban centers. Mumbai, being the financial capital and the largest real estate market in India, offers a diverse range of products from ultra-luxury to affordable housing, attracting developers seeking better margins and high sales velocity.
Prestige Group and Puravankara’s Strategy
Prestige Group, for instance, has expanded its footprint with multiple ongoing projects in Mumbai alongside its robust presence in Bengaluru and other cities. Similarly, Puravankara Limited has focused on residential and commercial segments in Mumbai and Pune, aiming to enhance its portfolio and market share in these lucrative markets.
National Players’ Entry into Bengaluru
The allure of Bengaluru, known for its robust commercial market and high demand for residential properties, has attracted developers from Mumbai seeking to become national players. Cheaper land prices compared to Mumbai also contribute to balanced profit margins for developers expanding into Bengaluru.
End-User Driven Bengaluru Market
Unlike speculative markets, Bengaluru’s real estate sector is driven by end-users. Established developers like Godrej Properties, Tata Housing, and Mahindra Lifespaces have successfully penetrated Bengaluru’s market by focusing on quality and delivering projects that meet the demands of savvy customers.
