Purvankara Share Price Surges After Securing ₹2,100 Crore Redevelopment Project in Mumbai

Market Performance

Purvankara's share price witnessed a notable uptick on July 7, following a significant project announcement. The stock surged in early trade as investors reacted to the company's ambitious redevelopment plans in Mumbai.

This move marks another milestone for the Bengaluru-based real estate firm, enhancing its growing presence in the western Indian market.

Main News: ₹2,100 Crore Chembur Redevelopment Deal

Purvankara has secured the redevelopment rights for eight residential societies in Mumbai's Chembur suburb.

• Estimated Gross Development Value (GDV): ₹2,100 Crore
• Project Location: Prime micro-market in Mumbai (Chembur)
• Total Projects in Mumbai and Pune: 11
• Redevelopment Area: 3.6 million sq. ft.
• Overall Area (Mumbai + Pune): 14 million sq. ft.

This redevelopment initiative adds to the company's robust pipeline in Mumbai, reinforcing its strategy to expand via key redevelopment opportunities in the city.

Company Details

Purvankara continues to build its national presence with significant projects in:

• Bengaluru (Core Market)
• Hyderabad
• Chennai
• Mumbai
• Pune
• Kolkata
• Goa

Bengaluru leads in terms of sales, contributing:

• 56% of overall sales

Other cities' contribution:

• Chennai, Mumbai, Pune: 15–17% each
• Mumbai + Pune Contribution: 21% of the planned project pipeline
• Non-Bengaluru Projects: 54% of ongoing developments
• Proposed Pipeline from Non-Bengaluru Markets: 52%

The firm has adopted a dual approach for its Mumbai expansion:

1. Redevelopment Model: Targeting marquee assets
2. Joint Development Agreements (JDAs) & Land Acquisitions

Expansion Snapshot

Here's how Purvankara's western expansion is stacking up:

• Total GDV from western region (Mumbai + Pune): ₹18,000 Crore
• GDV from redevelopment alone: ₹7,700 Crore
• Previous GDV from Mumbai (before Chembur deal): ₹9,500 Crore

With Chembur now added to key locations like Breach Candy, Pali Hill, and Lokhandwala, Purvankara is reinforcing its footprint in high-value neighbourhoods.

The existing Purva Clermont project in Chembur has also received an encouraging response, further motivating this expansion.

Summary of the Article

• Purvankara's share price climbed after the company won a redevelopment project worth ₹2,100 Crore in Chembur, Mumbai.
• The firm now has 11 projects across Mumbai and Pune, with a sharp focus on redevelopment.
• The western market is expected to generate a substantial chunk of the firm's GDV, with Mumbai and Pune contributing around ₹18,000 crores in total.
• The company's share of non-Bengaluru operations is growing rapidly, representing over 50% of both current and proposed developments.