Construction Company Signs Rs 1,000 Crore JDA for 5.5-Acre Project in East Bengaluru

DSIJ Intelligence-2 / 10 Jul 2025/ Categories: Mindshare, Trending

Construction Company Signs Rs 1,000 Crore JDA for 5.5-Acre Project in East Bengaluru

Despite a 29.93 per cent rise in the past three months, the company has posted negative returns of 40.30 per cent over the past 12 months.

Puravankara Ltd has entered into a Joint Development Agreement (JDA) for a 5.5-acre land parcel located in Balagere, East Bengaluru. The project has an estimated gross development value (GDV) exceeding Rs 1,000 crore and will span a total saleable area of 0.83 million square feet. Strategically positioned near major IT hubs, this new development targets the high residential demand driven by strong infrastructure and connectivity in the area.

The company plans to launch the project within the next six to nine months. The development is expected to strengthen Puravankara’s presence in Bengaluru’s emerging corridors, especially in high-potential micro-markets like Balagere. The area has witnessed consistent sales and rental demand, making it a low-risk, high-demand location suitable for faster inventory movement. The project will be developed under a capital-efficient JDA model, reducing market exposure while enabling portfolio expansion.

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Ashish Puravankara, Managing Director, stated that the scale and location of the project are ideal for an ultra-luxury offering, aligned with the company’s goal of delivering high-quality, community-focused housing. Mallanna Sasalu, CEO – South, highlighted Balagere's growth potential, noting its proximity to tech parks and established infrastructure.

On July 10, the share price of Puravankara surged over 2 per cent in early trade, reaching an intraday high of Rs 303. However, by 10:25 am IST, the stock was trading at Rs 293.20, down 0.86 per cent. The stock opened at Rs 295.05. Despite a 29.93 per cent rise in the past three months, the company has posted negative returns of 40.30 per cent over the past 12 months.

Puravankara Group, headquartered in Bengaluru, operates across nine cities and has delivered over 90 projects covering 53 million square feet. Its residential brands include Purva, Provident Housing Limited (PHL), and Purva Land. The company is also involved in commercial real estate, interior design, and construction technology through subsidiaries like SICL and Purva Streaks. As of March 2025, the group holds a land bank of 25 million square feet and has 37 million square feet under development.

Disclaimer: The article is for informational purposes only and not investment advice.