Bengaluru-based real estate developers are increasingly turning their attention to Mumbai’s real estate market, aiming to expand and strengthen their presence across cities. This trend has been particularly evident among large, listed developers, drawn by the high margins and sales velocity the city offers. The Mumbai Metropolitan Region (MMR) is regarded as one of the largest and most diverse real estate markets in India, offering products across a wide range of price segments, from ultra-luxury to affordable housing.
Developers like Puravankara Limited, which entered Mumbai in 2021, have been focusing on both residential and commercial segments in the region. The company has several ongoing projects in Mumbai and Pune, with plans to launch additional projects in the coming year. Rajat Rastogi, CEO of Puravankara, emphasized the significance of the MMR, comparing its size to the entire South India market. He highlighted that the variety of housing options available makes it an attractive destination for developers from across the country.
Prestige Group, another Bengaluru-based realty giant, has also been expanding its footprint in Mumbai. As of FY24, the company has seven ongoing projects in Mumbai, with plans for more in the near future. This push into Mumbai reflects the growing appeal of the city’s high-margin business opportunities.
The allure of Mumbai’s redevelopment space, particularly in premium locations like Juhu, Bandra, and Malabar Hill, is another key factor driving southern developers to enter the market. Despite challenges like lengthy approval processes and negotiations with existing tenants, the high returns on investment in Mumbai make it a highly lucrative proposition.
Real estate experts agree that Mumbai’s competitive market, with prices starting at ₹25,000 per sq ft, presents an attractive opportunity for developers from Bengaluru and other southern cities. The city’s growing demand for luxury housing is encouraging these developers to venture into the financial capital and tap into its potential.
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