Prestige Group has partnered with the Abu Dhabi Investment Authority (ADIA) and Kotak Alternate Investment Fund to develop residential projects in India valued at Rs 18,000 cr ($2.4bn). The partners will invest Rs 2,001 cr ($270m) into the venture, which aims to stimulate the development of early-stage housing projects. The collaboration aligns with Prestige Group’s expansion and diversified growth objectives.
Prestige Group has secured an investment of $102 million from HDFC Capital Advisors and GIC. The funds will be used for greenfield residential projects in Bengaluru, Mumbai, Goa, and the National Capital Region (NCR). The deal will enable Prestige to access funds at lower costs. HDFC Capital Advisors and GIC, meanwhile, anticipate superior returns on their investment.
Prestige Group has a diverse portfolio encompassing residential, office, retail, hospitality, property management, and warehouse sectors. The Group has successfully completed 300 projects, covering a remarkable development area of 188 million square feet.
The Prestige Group has partnered with the Abu Dhabi Investment Authority (ADIA) and Kotak AIF in a landmark deal that is set to strengthen the residential sector in India. This follows a similar deal in 2018 when ADIA partnered with US-based Hines to invest $500m in office projects in India. In 2019, Warburg Pincus also invested Rs 1,100 crore in a joint venture with the Runwal Group to develop shopping malls. Furthermore, Blackstone has collaborated with the Embassy Group on various projects, including office parks and the creation of India’s first Real Estate Investment Trust (REIT).
“Given the increasing demand and consolidation in the sector, this deal will help in accelerating growth and expansion,” said Venkat K Narayana, group CEO, Prestige Group. These funds will fuel the development of greenfield residential projects across the cities of Bengaluru, Mumbai, Goa, and NCR with a combined GDV of over Rs 18,000 crore, contributing significantly to the topline,” he added.