Real estate developer Prestige Estates Projects Ltd. is set to invest around ₹7,000 crore to develop a large-scale township in Ghaziabad, as part of its efforts to expand its presence in the Delhi-NCR property market.
As reported by the Business Standard, the Bengaluru-based company acquired a 62.5-acre land parcel in Siddharth Vihar, Indirapuram Extension, in March 2024. This land will be used for the Prestige City project, which will encompass 10 million square feet of residential space. The township will also include retail and educational components, making it a mixed-use development aimed at end users.
Prestige Estates is focusing on increasing its footprint in the Delhi-NCR market, a region with high potential for residential sales. The company has already entered the commercial property market in Aerocity, Delhi, where it is developing a project. Additionally, Prestige has made significant investments in the residential segment by acquiring land parcels in Delhi, Noida, and Ghaziabad.
Irfan Razack, chairman and managing director of Prestige Estates, is optimistic about the region’s growth prospects. He believes the company can achieve ₹10,000 crore in annual housing sales in the Delhi-NCR region, provided it continues to secure land for future developments.
The Prestige City township project in Ghaziabad is expected to be launched in the current quarter, pending all necessary approvals. Razack noted that the land was purchased for over ₹450 crore, and the total project cost is estimated to be around ₹6,000-7,000 crore. The company plans to fund construction costs through customer sales bookings.
Prestige Estates will offer two-, three-, and four-bedroom apartments in this township, which will cater primarily to end users. Razack mentioned that the company expects to generate more than ₹10,000 crore in revenue from the project over its lifetime.
Apart from the Ghaziabad township, Prestige Estates is expanding its portfolio with other projects in the region. The company acquired a one-acre land parcel in central Delhi for an ultra-luxury residential project, which is awaiting regulatory approvals. Additionally, Prestige tied up with a landowner for a housing project in Sector 150, Noida, although this project has not been launched due to pending approvals.
In the commercial segment, Prestige is developing a hotel and office space project in Aerocity, Delhi. The office space, covering 7 lakh square feet, has already been fully leased to top-tier corporate clients. The hotel component is expected to be completed by the end of 2025.
Prestige Estates has been a key player in India’s real estate sector for over three decades. The company operates across multiple segments, including residential, office, retail, hospitality, property management, and warehouses, with a presence in over 13 major cities.
In the 2023-24 fiscal year, Prestige reported record sales bookings of ₹21,040 crore and set a target of ₹24,000 crore for the current fiscal year. However, sales in the April-September period of 2024 were lower compared to the same period last year, falling to ₹7,052.2 crore from ₹11,007.3 crore. In the July-September quarter alone, sales bookings dropped to ₹4,022.6 crore from ₹7,092.6 crore the previous year.
Despite these short-term challenges, Razack remains confident about the long-term potential of the Delhi-NCR market. He emphasized that Prestige Estates is evaluating additional land parcels in the region to build a pipeline of future projects.
Razack acknowledged that entering a new market like Delhi-NCR involves understanding local market dynamics and consumer preferences. He highlighted that the company conducts thorough studies before making investments in new geographies. Although approvals for some projects, such as the one in Noida’s Sector 150, have been delayed, he expressed optimism that the regulatory process would soon be cleared, allowing the company to proceed with its plans.
With a legacy spanning over three decades, Prestige Estates has completed over 300 projects, covering a developable area of 190 million square feet as of June 2024. The company remains committed to expanding its portfolio across India, particularly in the high-growth Delhi-NCR region.
As Prestige continues to pursue new land acquisitions and complete its ongoing projects, it is poised to strengthen its position as one of India’s leading real estate developers, with a focus on residential, commercial, and mixed-use developments.