Puravankara arm to invest Rs 3,500 cr for expansion plan

Provident Housing Limited (PHL), a completely owned subsidiary of Puravankara, plans to infuse more than Rs 3,500 crore to develop its housing portfolio and venture into new cities over the coming five years. The company is in the process of entering Mumbai and Pune in a proposal to double its residential portfolio to 20 million sq ft. It presently has a portfolio of 12.07 million sq ft. The renewed buyers' confidence has been instrumental in the recovery of the housing market in Q3 2021, which has registered good sales and launches in the last few quarters. They are not just entering newer cities but will also be aggressive in their development plans, as per Mallanna Sasalu, chief operating officer, PHL. After a break in the second quarter of 2021 due to a resurgence in the Covid-19 pandemic and restrictions inflicted by several state governments, sales gained momentum during the third quarter as the economy picked up, helped by aggressive vaccination drives. Provident currently adds more than 50% of the group's income and has witnessed its business increase by 14% y-o-y in Q3. In 2020, the IFC Emerging Asia Fund infused $76 million alongside Puravankara Group in its affordable housing projects in India. PHL has ventured into the Kochi property market with a 3.4 million sq ft development that is likely to produce a sales value of Rs 3,000 crore. The project was supported by IFC. In the coming quarter, they will enter the Pune market and aim for more opportunities in existing cities such as Hyderabad and Bengaluru. Image Source Also read: Puravankara to infuse Rs.15.5 bn to build 3 mn realty project in Kochi