Developers go clean & clear for high-growth market needs

Bengaluru: Large property development companies are increasingly tying up clean-title lands to cater to the rising demand for residential, data center, and warehousing projects. In 2024, land deal volumes in India rose by 47% year-on-year, surpassing 2,000 acres across the top eight cities.

This growth was driven by developers' such as Lodha, Birla Estate, Prestige Group, Sattva, Puravankara, Macrotech Developers, Brigade Enterprises, who are focusing on securing legally clear land to meet market demands in high growth markets. Separately, Amazon data services also acquired land in Palava recently.

"The residential market has experienced significant growth since 2020, with sales volumes in 2024 reaching an all-time high. This upward trajectory has been accompanied by a pronounced trend toward premiumisation, as consumer preferences shift towards higher-value properties that align with their evolving lifestyle demands.

To capitalise on these market dynamics, we will actively pursue additional land acquisitions aimed at expanding our portfolio in high-growth regions," said Mallanna Sasalu, CEO, Provident Housing, a wholly-owned subsidiary of realty developer Puravankara.

Last year it raised ₹1,150 crore from HDFC Capital Advisors, the real estate private equity arm of HDFC Group, to support future growth and expansion plans including land buyouts.

Mumbai-based Macrotech Developers, which markets its properties under the Lodha brand, has also been acquiring land through outright purchases as well as forming partnerships with landowners for the joint development. Earlier this month, it acquired nearly 20-acre land parcel in Bengaluru for development of a housing project worth ₹2,800 crore, as part of its expansion plan. Ananthay Properties, a subsidiary of Brigade Group, has signed a definitive agreement to buy about 20 acres for ₹630 crore in Bengaluru too.