Bengaluru-based Sobha Ltd has signed a joint development agreement for the launch of a new residential project on a 12-acre land in Sector 63A, Gurgaon. This is Sobha’s third project in the area with other developments in Sector 99 and Sector 63.
According to the documents accessed by CRE Matrix, the deal, which was registered on July 12, involved a stamp duty payment of Rs 4.3 crore. Sobha is likely to add about 9 million square feet of residential space in FY25, significantly enhancing its pipeline of projects. This is indicative of the growing interest in Gurgaon’s real estate market, particularly, near Golf Course Extension. This neighborhood boasts luxury living and superior infrastructure.
According to Gaurav Kumar, MD, Capital Markets and Land, CBRE, it is because of the strong demand from end-users that Gurgaon has become a dynamic location with infrastructure development for high-end residential projects. In line, Shalin Raina, MD, Residential Services, Cushman & Wakefield, opined that the fast pace of growth and charm witnessed by the Golf Course Extension was because of top-grade developers and improved infrastructure.
Sobha posted good FY24 results, with sales at Rs 6,644 crore, up 28 percent, and the average price realization at an all-time high at Rs 10,922 per sq ft. It expects to launch 9 mn sq ft in FY25, compared to 7 mn sq ft in the previous year. Additionally, Shobha is working swiftly to advance the remaining land bank into project stages with a potential of 25-30 million square feet, reflecting its aggressive expansion strategy.
With the realty markets becoming increasingly competitive, strategic joint development lets Sobha enter new markets, This approach positions the company for continued growth in the rapidly changing Gurgaon market.
Recent Transactions
Land deals for residential projects are on the rise as developers seek to capitalize on the growing demand for housing in urban areas. In a recent transaction, Chintels India transferred the ownership of two land parcels near Dwarka Expressway to Shobha Group.
In another transaction, Oberoi Realty acquired a prime 14.81-acre land parcel in Gurugram. worth Rs.597 crore.
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