Puravankara's Rs 7,000 Crore Investment Plan

Puravankara has laid out one of its most ambitious expansion plans in recent years. Bengaluru-based real estate developer Puravankara will invest over Rs 7,000 crore over the next few years in new residential project launches that are expected to generate Rs 15,000 crore in sales, said Mallanna Sasalu, chief executive officer (CEO) – South, Puravankara. The company is backing this outlay with a clear margin target: the company aims to sustain a gross margin of 28–30 per cent on project sales, backed by robust demand in the mid-income and premium housing segments.

Geographically, the plan spans the developer's core southern markets as well as its newer western footholds. "We are seeing consistent traction across key southern markets such as Bengaluru, Chennai, and Hyderabad, along with growing interest in Pune and Mumbai. The upcoming launches are expected to consolidate our presence in these regions," Sasalu told Business Standard. On the ground, this translates into a dense launch calendar: the developer plans close to 13 project launches in Bengaluru (Phase 1), one in Mangaluru (Phase 1), three in Kochi (Phase 1), two in Chennai (Phase 1 and 2), one in Coimbatore and multiple launches in Mumbai during FY27.

Mumbai stands out as a strategic priority within this plan. In Mumbai, the developer is sharpening its focus on redevelopment opportunities, while also remaining open to greenfield and brownfield projects. The company plans five launches in Mumbai during FY27, with a gross development value (GDV) of ₹10,600 crore alongside a developable area of 3.81 million square feet. Sasalu framed this as an early-mover advantage, noting "We are at the beginning of a redevelopment cycle in Mumbai," he said, adding that the scarcity of projects in such locations provides resilience even during slower market conditions.

On pricing, the developer expects broad stability despite rising costs. Sasalu pointed out that property prices are likely to remain steady as developers face rising land, labour and raw material costs, and estimated that construction input costs have already risen by around 6.5 per cent due to higher prices of cement, steel and labour. Even so, Puravankara does not follow a fixed strategy of increasing prices by a predetermined percentage, with pricing remaining market-driven, going with the flow of input cost. For the year ahead, the company has guided for pre-sales of ₹11,200 crore and plans to sell nearly 10.74 million square feet.

Recent quarterly numbers back the momentum behind this plan. In Q1FY27, EBITDA margin improved to 25% in Q1 FY27 from 15% in Q1 FY26, and the company handed over 745 homes covering 0.94 million sq. ft., compared with 667 units in the year-ago quarter. The launch pipeline that will absorb the Rs 7,000 crore outlay has also grown: Puravankara has a launch pipeline of 20.48 msft across Southern and Western markets, with an approximate GDV of ₹27,300 crore. Management has quantified the medium-term payoff too — as of 30 June 2026, the estimated surplus from ongoing projects stood at Rs 8,976 crore, while estimated surplus from commercial and pipeline projects stood at Rs 2,220 crore and Rs 8,636 crore, respectively, taking the overall estimated surplus across all categories to Rs 19,831 crore over the next three to five years.

The scale of this rollout builds on an already-large operating base. The company currently operates across nine cities, including Bengaluru, Chennai, Hyderabad, Kochi, Pune, Mumbai and Goa, and has completed 93 projects totalling 55 million square feet across nine cities — Bengaluru, Chennai, Hyderabad, Coimbatore, Mangaluru, Kochi, Mumbai, Pune, and Goa. Management has also flagged intent to widen this footprint further, with Sasalu noting the company is closely studying opportunities in the Delhi-NCR region.

For homebuyers, the practical takeaway is a wave of fresh launches across price points and cities over the next few quarters — from Bengaluru's dense Phase 1 pipeline to premium Mumbai redevelopment addresses and expanding Pune and Chennai portfolios. Given rising input costs and Puravankara's stated shift toward premiumisation, buyers eyeing early-entry pricing in newly announced or pre-launch projects may find the current window advantageous before per-square-foot rates catch up with the broader market.