Top builders tap new cities as housing sales pick up

BENGALURU Leading developers are entering new markets for residential projects, as rising urbanization and an expanding middle class fuel a housing boom.

- Madhurima Nandy

Developers are exploring opportunities particularly in cities such as Hyderabad, Pune, Bengaluru and Gurugram that have seen high sales.

Mumbai-based Godrej Properties Ltd this week acquired 12.5 acres in Hyderabad's Rajendra Nagar locality to develop a premium residential project, marking its entry into the city. Shriram Properties Ltd, which has so far focused on South India, is entering Pune with a mid-market housing project in suburban Undri. It has signed a development management agreement with the landowner for the project.

"The residential market is buoyant, and Pune is the second-best property market today in terms of sales. It is also a city which is similar to Bengaluru, a market we know well, in terms of demand and customer profile. The sector has seen a lot of consolidation, and larger developers have a good opportunity to expand and grow in newer cities," said M. Murali, chairman and managing director, Shriram Properties.